Austin is slated to see a significant redevelopment with plans for two new high-rise towers that could transform the city's downtown skyline. The existing site of the DoubleTree UT Austin hotel along I-35 in downtown Austin, owned by San Diego-based hotel investment firm Pinnacle Hotels USA, is at the heart of the planned development, dubbed Pinnacle Plaza. The project envisions two 25-story towers featuring hotel rooms and residential units, with amenity decks perched 55 feet above ground level, as reported by the Austin Business Journal.

If the Austin City Council approves the rezoning, which is set for discussion in an April 18 meeting, the existing building height and density restrictions would be significantly relaxed, allowing for structures to tower up at approximately 280 feet or about 25 stories. Pinnacle seeks to amend zoning laws to allow for a more ambitious floor-to-area ratio of 8:1 and dense building coverage of up to 95%, as detailed by the Austin Business Journal. In a move signifying local support, the Swede Hill Neighborhood Association has backed the proposed changes.

Although each project is propelled by a separate developer, with Denny’s redevelopment by Ledgestone Development Group, the area hints at a rapid transition toward higher-density housing options, an observation also shared by the Austin Towers publication.

The Pinnacle Plaza project intends to retain the current 149-room DoubleTree hotel for "several years" while constructing the new residential component, optimizing a portion of its existing surface parking area. This comes as the city anticipates a significant expansion of I-35, which will likely enhance the appeal of the surrounding areas with the addition of a proposed cap over the highway that could introduce public space, potentially increasing property values and the desirability of living within the vicinity.