‘Inappropriate’: Mayor pushes back on $47M light rail office relocation plan
by: Grace Reader
Posted: Apr 13, 2026 / 02:29 PM CDT
Updated: Apr 13, 2026 / 10:08 PM CDT
https://www.kxan.com/news/local/austin/i...n-47m-light-rail-office-relocation-plan/
AUSTIN (KXAN) — Austin Mayor Kirk Watson expressed concern Monday about two items on the Austin Transit Partnership Board agenda later this week, one to negotiate an office lease in a downtown office building for up to $32 million for roughly 8 years and another to furnish the space for $15 million.
The Austin Transit Partnership (ATP) is the entity in charge of building Austin’s voter-approved light rail.
According to an ATP spokesperson, the items are now postponed.
“This proposed action comes even as the City of Austin faces serious budget challenges and is cutting important, critical programs. AISD is facing tough decisions with the closure of schools while addressing continued deficits. A Travis County tax increase to cover needs following a flooding disaster is being challenged. In this context of restraint by taxing entities, the proposed action from the local government corporation would be inappropriate,” the mayor wrote in a message board post.
ATP’s current building is near Colorado and 3rd Streets. The building it hopes to relocate to is on Congress between 2nd Street and Cesar Chavez.
The mayor suggested ATP should look at how it can co-locate with Capital Metro instead. According to CapMetro’s website, it’s headquarters are located near North Pleasant Valley Road and East 5th Street, in east Austin.
The Austin Transit Partnership responded:
“The ATP Board Chair has asked that this item be postponed to allow for additional information and a better understanding of the proposal. ATP has been located downtown near the alignment since day one, and at 200 people, has outgrown its current space. With plans to expand to around 300 people by the end of the year, ATP requires an additional 15,000 square feet of office space. We will work with the Board to come back and provide a recommendation as requested.“
“Co-locating two public entity partners, even if only partly, makes sense because it should be more cost-effective than leasing 2.5 floors in the downtown area for 10 years. Plus, co-location would enhance partner relationships,” Watson said.