KCDC First Creek at Austin (Homes) opens mixed-income housing in East Knoxville

Knoxville’s Community Development Corporation (KCDC) celebrated the official opening of the first phase of First Creek at Austin, the City of Knoxville’s first mixed-income housing development, on May 11. Ceremony participants included, (L-R) KCDC board members Robyn McAdoo, Chair Bob Whetsel and Kim Henry; Knox County Board of Education Vice Chair Evetty Satterfield; Knox County Commissioner Dasha Lundy; Judge John Rosson; Knoxville City Councilmember Seema Singh; Knoxville Mayor Indya Kincannon; KCDC Executive Director and CEO Ben Bentley; Kayla Clabough and Jim Hatfield of KCDC; Rick Neal, Stacey Fantom and April Sutherlen of Pinnacle Financial Partners; Orlando Diaz and Alex Decker of Partners Development; David Gardner of J.A. Fielden; Shannon Elliott of Johnson Architecture; Mark Williamson of J.A. Fielden. (Photo provided to ETEnlightener.com, May 12, 2022)

KNOXVILLE, TN (May 11, 2022) – Knoxville’s Community Development Corporation (KCDC) officially cut the ribbon on May 11 on the first phase of the mixed-income housing at First Creek at Austin. First Creek at Austin (formerly KCDC Austin Homes subsidized housing) is the city’s first mixed-income, affordable housing community. Business, community leaders, stakeholders and residents attended the ceremony.

“It has been incredible to watch this 23-acre site get new life,” Knoxville Mayor Indya Kincannon said. “This mixed-income housing community exemplifies the city’s commitment to provide affordable housing to all Knoxvillians and will soon be home to hundreds of families. This is an exciting day in our city.”

The City of Knoxville has invested a total of $14.1 million in site infrastructure support, including utilities, sidewalks and new roads.

The first phase of First Creek at Austin has 105 total units – 57 in one multifamily building and 48 spread across eight smaller townhome-style buildings. Amenities include upscale finishes, a fitness center, resident lounge, pet spa, playground and Wi-Fi in common areas, among others. Additional plans for the site include a park, early childhood center, community space and residential gardens. A greenway is also planned to promote connectivity among residents.

“First Creek at Austin is a remarkable affordable housing development, creating a diverse neighborhood close to downtown jobs and amenities,” said Ben Bentley, KCDC Executive Director and CEO. “It also offers a unique opportunity to develop a vibrant, urban community connected to its surroundings through improved streets and sidewalks.”

First Creek at Austin replaced the Austin Homes projects, established in 1941 on nearly 23 acres of a small portion of what was formerly the Black community of The Bottoms.

The redevelopment plan was made after months of dialogue with Austin Homes residents, stakeholders and community members in interviews and public meetings and included options for overall site use, street layouts, residential building types and open spaces.

The occupants of the Austin Homes projects were given relocation choices to other KCDC properties, which included the revitalized Five Points community and the renovated The Vista at Summit Hill which are nearby and in the same school district. Former residents were also given the right to return to the site upon the opening of First Creek at Austin, if they choose to do so. Some have returned and have already moved into the new First Creek at Austin units.

For Phase 1, KCDC worked with Knoxville-based Johnson Architecture and general contractor J.A. Fielden; Partners Development serves as KCDC’s owner representative; and Pinnacle Financial Partners is the equity partner and mortgage lender.

Construction funds came primarily through $13 million of low-income housing tax credits from the Tennessee Housing Development Agency (THDA), which allowed KCDC to raise tax credit equity to fund development. Awarded through a competitive process, the Low-Income Housing Tax Credit (LIHTC) is a credit against the federal income tax liability for 10 years for owners and investors in low-income rental housing.

Phase 2, which is expected to open in stages beginning this summer, will provide 180 units. Architecture is provided by Johnson Architecture and Southeast Venture; Hardaway Construction is the general contractor; Partners Development is the owner representative; and Pinnacle Financial Partners is the equity partner and mortgage lender.

Phase 3 is expected to open in 2024 and will include approximately 161 new housing units, including 50 supportive housing units for low-income seniors, age 62 and older, in an independent living setting and with access to supportive care such as housekeeping, meals, health-related services and transportation. Partners Development is the owner representative and the funder is yet to be determined. For property and leasing information about First Creek at Austin, visit firstcreekliving.com.

About Knoxville’s Community Development Corporation

Since 1936, KCDC has been dedicated to enhancing the quality of life for the citizens of Knoxville. KCDC’s mission is to improve and transform neighborhoods and communities by providing high-quality affordable housing, advancing development initiatives and fostering self-sufficiency. For more information, call 865-403-1100 or visit kcdc.org.

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