AUSTIN, TX—The next phase of transforming the former Highland Mall here into a mixed-use development is set to get underway this fall as a 300-unit apartment complex breaks ground. Greystar Real Estate Partners has been selected to build the complex, the Austin American-Statesman reported earlier this week.

Beset for years by declining sales and increasing vacancies, the mall was acquired in 2012 by Austin Community College with plans to redevelop it. The college transformed a former JC Penney store at the site into a 214,000-square-foot campus, a project which opened in 2014 and which received awards earlier this year from the American Institute of Architects' Austin chapter, the Austin Business Journal and Campus Technology magazine.

ACC and its development partner, locally based RedLeaf Properties, plan a complex of four- and five-story buildings, which is scheduled to open in 2017, the newspaper reported. It will include about 5,000 square feet of ground-floor retail space, which will help camouflage a parking garage for residents, the article stated.

“We're proud to be a part of Highland's rebirth to bring future residents a high-quality living experience,” Derek Brown, Greystar's managing director, told the American-Statesman. “Being at Highland means that in addition to a central, accessible location we will be able to offer nearby transit via MetroRail and be part of a thoughtfully planned project that will include new open spaces, a walkable environment and proximity to a growing list of neighborhood food and entertainment destinations.” Greystar recently redeveloped the former Lamar Plaza shopping center in South Austin into an MXD with 443 apartments and 85,000 square feet of retail.