A demolition proposal for two buildings at the corner of Congress Avenue and West Fifth Street in downtown Austin is set to be reviewed by the city’s Historic Landmark Commission this week. The properties, located at 422 Congress Avenue and 101 West Fifth Street, are owned by Karlin Real Estate, based in Los Angeles. City staff have recommended approval of the demolition permit, according to the Austin Business Journal.
Shiner’s Saloon, a bar that has operated on the ground floor of 422 Congress Avenue since 2008, would be directly affected if the demolition moves forward. David Jalufka, co-owner and manager of Shiner’s Saloon, stated that their lease runs through April but noted recent renewals have been short-term. “He said he would prefer to keep Shiner’s in place, but acknowledged its future is uncertain.”
The two buildings have a combined history spanning more than a century; 101 West Fifth Street was constructed in 1914 and 422 Congress Avenue in 1940. However, neither structure is considered a contributing property to the Congress Avenue National Register District, which reduces arguments for preservation.
The staff recommendation includes conditions such as salvaging any original materials found during demolition and ensuring that adjacent historic structures are not damaged. Specifically, there are concerns about protecting the neighboring building at 416 Congress Avenue, which dates back to the 1890s.
Karlin Real Estate has declined to comment on future plans for the site. Although a site plan application has been submitted to the city, it remains inactive and provides no details about potential redevelopment.
The parcel measures just 0.17 acres but sits at a key downtown intersection where high-density development is possible under Austin’s land development code. Projects participating in the Downtown Density Bonus Program could achieve a floor-to-area ratio as high as 25-to-1 without an explicit height limit if approved by City Council. However, part of the site falls within a Capitol View Corridor that restricts building heights to preserve views of the Texas State Capitol. Most of the property lies outside this corridor, potentially allowing for creative design solutions such as stepped towers.
Currently, downtown Austin has a temporary height cap of 350 feet following an October decision by City Council. Developers who opt into bonus programs may still build higher structures despite this cap.

