The decision could delay the scheduled June 1, 2002 start of thedevelopment as the other partners scramble to find anotherresidential developer. Cencor Urban, a division of Dallas-basedCencor Realty Services Inc., is leasing the retail part of theproject and the Texas Department of Mental Health and Retardationis the property owner. "We're all going to be involved in finding areplacement," Tom Terkel, president of Cencor Urban, tellsGlobeSt.com. He adds that "conversations are ongoing" with othermultifamily developers.

Post was to have developed the 835 apartment units on the22-acre project, which also includes 150,000 sf of retail and65,000 sf of office space. The project finally received a greenlight earlier this year after several years of negotiations betweendevelopers, city and state officials and neighborhood groups.

The Triangle is situated on a triangular-shaped parcel at 45thStreet and Lamar Boulevard just north of the Central Marketdevelopment, which also is on state-owned land. The Triangle hasqualified for $7.5 million from the city of Austin's Smart Growthincentive program. The mental health agency is to receive rentalincome from the development.