City of Austin
FOR IMMEDIATE RELEASERelease Date: Feb. 09, 2026
Contact: Tamarind Phinisee 5129742271 Email
More than 130 units to come online this year, offering homeownership opportunities to income-qualified households
AUSTIN, TX – Austin Housing, in partnership with Austin Habitat for Humanity (Austin Habitat) and the Housing Authority of the City of Austin (HACA), is proud to announce the development and preservation of two additional affordable housing communities: Prospect Heights in District 1 and Persimmon Point in District 2. Together, these communities will deliver 138 homeownership units for income-qualified Austinites earning at or below 80 percent of the Median Family Income (MFI). Additionally, the Whisper Valley began construction in October 2025 during the Jimmy & Rosalynn Carter Work Project. Full details on all Austin Habitat communities are available online at austinhabitat.org/homeownership.
“Creating opportunities for homeownership is one of the most meaningful ways we can help families put down roots and thrive,” said Deletta Dean, Director of Austin Housing. “This partnership with Austin Habitat for Humanity reflects our commitment to ensuring Austin remains a place where families can raise their children, invest in their future, and remain in the city they call home.”
Construction for Prospect Heights was completed in January and included intentional displacement prevention efforts to target potential homebuyers with longstanding family ties to the city. Persimmon Point is expected to be completed in November of this year.
Michele Anderson, CEO of Austin Habitat for Humanity, says the developments are vital to providing homeownership opportunities to families.
“Persimmon Point, Prospect Heights, and Whisper Valley represent more than just new homes — they represent hope and opportunity for families who want to put down roots in Austin,” said Michele Anderson, CEO of Austin Habitat for Humanity. “These communities are only possible through strong partnerships with the City of Austin and the critical financing that helps us make homeownership a reality for more hardworking Austinites.”
Prospect Heights
Caption: Rendering courtesy of Austin Habitat for Humanity
Located within the city’s Homestead Preservation District A, Prospect Heights brings 12 townhomes (6 duplexes) to East Austin. The site is located blocks from the redevelopment of the historic Rosewood Courts, the first African American public housing community in the nation, built in 1939. The community will offer 11 three-bedroom townhomes and 1 four-bedroom townhome ranging, from 1,400 to 1,700 square feet, priced between $156,600 and $182,700. Key amenities include a community gathering space, a central East Austin location, and low-maintenance designs that help reduce long-term housing costs.
Homes will be purchased through Austin Habitat for Humanity, with buyers entering into a land-lease agreement with HACA’s special purpose entity. HACA will retain ownership of the land and lease it back to the homeowner. This model lowers the purchase prices of the homes by excluding the land value, and homeowners will only pay property taxes on the house itself. Homes will be purchased through Austin Habitat for Humanity, with buyers entering into a land-lease agreement with HACA's special-purpose entity.
Through the restrictive covenant that guarantees 99 years of affordability, the owner's annual appreciation is capped at 2% of the initial sales price. This is also reflected in their tax valuation, which only increases their taxable amount by 2%, saving thousands of dollars in annual tax expenses.
Anderson says Prospect Heights represents what’s possible when strong public-private partnerships come together to address the region’s housing challenges.
“These homes will provide long-term stability, help families build generational wealth, and strengthen the surrounding community,” Anderson says. “Prospect Heights will offer families safe, energy-efficient homes in a connected neighborhood, providing residents with stability, improved health outcomes, and long-term financial security through affordable homeownership.”
Approximately $1.2 million came from the Austin Housing Finance Corp. (AHFC), through the Ownership Housing Development Assistance (OHDA) program from 2022 General Obligation (GO) Bonds to offset construction costs, which amounts to $100,000 per home. The development was completed in January. AUSTIN HABITAT celebrated the completion of the development with a “Homecoming” event on Thursday, Feb. 5.
Michael Gerber, CEO for HACA, says Prospect Heights advances HACA’s vision to create first-time homeownership opportunities for local families through partnerships.
"Prospect Heights represents a bold and intentional step forward for the Housing Authority of the City of Austin as we expand what opportunity can look like for the families we serve,” said Michael Gerber, HACA CEO. “This homeownership community began with HACA’s vision to bring first-time ownership to the Rosewood site, and with the continued support of Austin Housing and our partnership with Austin Habitat for Humanity, that vision is now a reality for 12 families.”
Persimmon Point
Caption: Image courtesy of Austin Habitat for Humanity
In addition to Prospect Heights, Austin Habitat for Humanity is developing other communities across Austin to expand affordable homeownership opportunities.
This includes Persimmon Point, located at 7051 Meadow Lake Blvd. in Southeast Austin (District 2). This new community will feature 126 condos and townhomes designed to create long-term affordability and stability. All homes are reserved for households earning at or below 80% MFI. Available homes include:
- 42 two-bedroom flats (952 sq. ft.) – $155,000
- 30 two-bedroom flats (1,120 sq. ft.) – $160,000
- 12 two-bedroom townhomes (1,152 sq. ft.) – $160,000
- 12 three-bedroom flats (1,322 sq. ft.) – $195,000
- 30 three-bedroom townhomes (1,320 sq. ft.) – $205,000
With prices starting at just $152,000, Persimmon Point offers a direct pathway to homeownership in Austin. Interested residents can learn more at https://austinhabitat.org/programs/apply/persimmon-point/.
$12.9 million in AHFC funding through the Ownership Housing Development Assistance (OHDA) program using 2018 and 2022 GO Bonds ($8.9 million), Community Development Block Grant (CDBG) funds ($942,896), and Preference Policy funds ($2.25 million). Because the development received Preference Policy funding, a percentage of the homes will be reserved for local residents displaced from Austin or with direct family ties to the city.
Persimmon Point previously held a groundbreaking in 2023. Construction is expected to be completed in November 2026.
Whisper Valley Update
Caption: Image of Austin Habitat homes under construction at Whisper Valley
Located just east of the State Highway 130 toll road near F.M. 973 and Braker Lane, Austin Habitat also officially kicked off construction of the initial phase of its affordable housing community in the Whisper Valley development. During the Jimmy & Rosalynn Carter Work Project 2025, volunteers helped build 25 homes in one week.
This phase includes 48 homes with three to four bedrooms, ranging in size from 1,280 to 1,490 square feet and in price from $230,000 to $245,000. Austin Habitat is on track to celebrate the completion of this first phase in May, with homes continuing to progress through final construction stages. Austin Habitat is actively recruiting homeowners for this new community, and those interested must earn at or below 80 percent MFI (median family income) to qualify.
More highlights about the Whisper Valley community can be found on Austin Habitat’s website: https://austinhabitat.org/programs/apply/whisper-valley/.
For more information on these communities and affordable housing opportunities, visit www.austintexas.gov/housing.
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About Austin Housing
Austin Housing provides equitable and comprehensive housing solutions, community development, and displacement prevention services to enhance the quality of life of all Austinites. To access affordable housing and community resources, visit www.austintexas.gov/housing.
About the Austin Housing Finance Corporation
The Austin Housing Finance Corporation (AHFC) was created as a public, non-profit corporation and instrumentality of the City of Austin. The mission of the AHFC is to generate and implement strategic housing solutions for the benefit of low- and moderate-income residents of the City of Austin.
Austin Habitat for Humanity
Austin Habitat for Humanity has served Central Texas for more than 40 years, building over 660 affordable homes and completing more than 470 critical home repairs across Bastrop, Blanco, Caldwell, Hays, and Travis counties. As part of the global Habitat for Humanity, the organization partners with families, volunteers, and donors to build homes, communities, and hope. In 2025, Austin Habitat proudly hosted the Jimmy & Rosalynn Carter Work Project, highlighting the urgent need for affordable housing. Learn more at austinhabitat.org.
About the Housing Authority of the City of Austin
Established in 1937, the Housing Authority of the City of Austin (HACA) is an independent public unit separate from the City of Austin and responsible to an autonomous Board of Commissioners. HACA frequently works in partnership with civic and community groups to meet the needs of low-income families, seniors, persons with disabilities, and persons experiencing homelessness. Its mission is to cultivate sustainable, affordable housing communities and partnerships that inspire self-reliance, growth, and optimism. As a High-Performing housing authority that assists more than 20,000 Austinites, HACA owns and operates about 2,000 units of subsidized housing in multiple developments across Austin.