National CORE Breaks Ground on 208-Unit Affordable Housing Development in Austin, Texas

National CORE has broken ground on two affordable multifamily developments in Austin, Texas, marking the nonprofit developer's first new-construction residential projects in the state. The twin communities — Bailey at Berkman and Bailey at Stassney — will together deliver 208 units of affordable and supportive housing across two Austin neighborhoods, the firm announced May 18.

Project Details and Development Structure

Each community will contain 104 units, with 26 apartments at each property designated as Permanent Supportive Housing. Of those supportive units, 16 at each property are reserved for Veterans Affairs Supportive Housing, with the remaining 10 serving individuals referred through the Austin/Travis County Continuum of Care, led by Austin's Ending Community Homelessness Coalition, known as ECHO.

Bailey at Stassney will offer studio and one-bedroom apartment homes and is situated overlooking the Williamson Creek Tributary. The property is located in Austin City Council District 3, which covers East and South Austin. Bailey at Berkman will consist entirely of studio apartments and is designed to serve workforce housing needs for veterans, healthcare workers, hospitality and service workers, and individuals entering the workforce. That property falls within District 4, spanning north central and northeast Austin.

Both properties are being developed in partnership with Diva Imaging LLC, Structure Development, the City of Austin, ECHO, the Housing Authority of the City of Austin and the Texas Department of Housing and Community Affairs.

"We are so deeply proud to be celebrating two new sister communities and to be creating such strong roots in beautiful Austin, Texas," said Oscar Paul, senior development manager at National CORE. "Thank you to our partners for their unyielding support. We could not have asked for better allies for such an undertaking."

Financing and Capital Stack

Financing for both communities was assembled through a multi-source capital stack. RedStone Equity Partners provided $30.6 million in tax equity across the two projects. Citi Community Capital also participated in the financing, alongside the City of Austin, the City of Austin Homeless Strategies & Operations office, project-based vouchers and Veterans Affairs Supportive Housing.

The City of Austin contributed $5.6 million toward construction of Bailey at Stassney and $5.5 million toward Bailey at Berkman. The city also committed $2.25 million to each property to fund on-site resident services, which will be provided free to all residents.

"The Bailey developments are a great example of how affordable housing can be delivered cost efficiently without sacrificing on quality," said Matt Grosz, deputy chief investment officer at Red Stone Equity Partners. "Once complete, Bailey at Berkman and Bailey at Stassney will provide new, safe and secure housing for 208 of the City of Austin's most vulnerable residents."

Hao Li, director of Citi Community Capital, said the projects demonstrate the value of public-private collaboration. "These two developments reflect the power of strong public-private partnerships to create lasting stability and opportunity for individuals and families," Li said.

Sustainability Standards and Neighborhood Context

Both communities are being constructed to meet Austin Energy Green Building standards as part of the City of Austin's Affordability Unlocked program and SMART Housing certification process.

Sallie Burchett, manager of Diva Imaging LLC and co-developer of both communities, said the projects raise the bar for what affordable housing can deliver. "More than a place to call home, these communities will create real stability and a path forward for our veterans and neighbors who've been unhoused," Burchett said.

Both sites were selected in part for their proximity to transit, grocery stores, retail, restaurants, parks and public schools. Council Member José Velásquez, whose District 3 will include Bailey at Stassney, noted the property's location on a public transit corridor as a key asset for residents.

"I'm proud to have had the opportunity to partner with National CORE to bring needed, deeply affordable housing to District 3," Velásquez said. "The development's positioning on an excellent public transit corridor also enables residents to access the wider opportunities and resources Austin has to offer."

Mayor Pro Tem José 'Chito' Vela, whose District 4 will include Bailey at Berkman, called the development a critical resource. "Creating safe, stable housing for individuals and families experiencing homelessness is essential to building a healthier and more compassionate Austin," Vela said.

National CORE's Texas Expansion

The Bailey communities represent National CORE's first ground-up residential construction in Texas. The organization currently operates five acquired communities in the state, located in Angleton, Humble, San Antonio and Fort Worth. The Austin groundbreaking signals a shift from acquisition-focused growth to new development within the firm's Texas portfolio.

Austin Housing Director Deletta Dean framed the projects within the city's broader affordability strategy. "These communities reflect our commitment to expanding deeply affordable housing options for Austinites," Dean said. "The Bailey at Berkman and Bailey at Stassney communities will help ensure that our most vulnerable neighbors have a stable foundation and a path forward with access to housing and support services."

David Gray, director of Austin Homeless Strategies & Operations, said the developments move the city closer to a more comprehensive housing system. "Through our work with National CORE, we are creating communities that offer safety, dignity, and real opportunity for residents exiting homelessness or at risk of housing instability," Gray said.

Completion timelines and total development costs for the two projects were not disclosed in the announcement.

Sources

• National CORE, "National CORE Strengthens Texas Standing with Twin Groundbreaking Event," May 18, 2026. https://nationalcore.org/national-core-strengthens-texas-standing-with-twin-groundbreaking-event/