Dive Brief:

• Austin, TX, is getting a new microunit apartment building — called the Indie — courtesy of Transwestern Development Company, the Austin American-Statesman reported.
• The building will offer 139 furnished rental apartments — mostly studios and two-bedrooms — from 350 square feet to 520 square feet, ranging in price from $1,100-$2,000 per month.
• Transwestern said the project, scheduled for completion in 2017, is geared toward millennials and others who can’t afford Austin rents but still want to live in an urban setting near amenities, entertainment and dining.

Dive Insight:

Each apartment will feature built-in storage and other space-saving furniture, and the building will have parking for only 108 cars, as developers said they expect residents to take advantage of walking, biking, light rail and ridesharing. The apartment building will also include a 2,500-square-foot restaurant.

Austin is the latest city to experiment with microunits, or microapartments, as a solution to providing more affordable housing in the most unaffordable areas of the country. New York City got its first micro-apartment building in January, which includes 55 studio units ranging from 260 square feet to 360 square feet and renting for $2,540-$2,910. However, 14 of the units are affordable and rent for $950 a month. Nearly 60,000 people applied for the affordable units via a lottery system. 

Last year, Hawaii developer Bento Box LLC announced its plans for a $5 million microunit apartment building in Oahu, estimated to be complete early next year. The four-story building will have 54 rental units, all 300 square feet and fully furnished, and company officials said they hope their project will help address the affordable housing issue in Hawaii, with rental rates between $1,400 and $1,600 per month.