baumhouse Neulengbach, Austria, designed by Lichtblau Spindler Architects (Konrad Spindler and Clemens Schwarz) /// © Real Estate Agency
baumhouse Neulengbach, Austria, designed by Lichtblau Spindler Architects (Konrad Spindler and Clemens Schwarz) /// © Real Estate Agency

Mixed-use Development in Austria: A Sustainable Counterpoint

A new mixed-use development in Neulengbach, Austria combines modular timber housing with retail and local services, offering an alternative to conventional retail park development.

ACROSS ACADEMY: Executive Education for Retail & Retail Real Estate

Neulengbach is a typical smaller Austrian city with just under 10,000 inhabitants. Located between Vienna and St. Pölten, the town is centered around a medieval castle and a picturesque main square lined with centuries-old buildings. At the same time, it also serves as the regional hub for around 30,000 people living in the surrounding communities.

Like many growing regional centers, retail development in Neulengbach has gradually shifted toward the outskirts of town. Large supermarkets, DIY stores, retail boxes, and extensive parking lots now dominate the city’s peripheral commercial zones.

It is precisely in this environment that the new mixed-use project “baumhouse” is set to emerge.

© Real Estate Agency
© Real Estate Agency

A blind spot in the urban fabric

The development site is located along the
bypass road connecting Neulengbach’s various retail destinations and a traditional residential neighborhood. It occupies a transitional zone between two very different urban environments: on one side, the functional, car-oriented architecture of the town’s retail cluster; on the other, established family homes with private gardens. According to developer and project initiator Dietmar Reindl, baumhouse is intended to bridge these two worlds. The project combines residential living, retail, and local services in a single development, while also serving as a deliberate counterpoint to the often anonymous retail structures that characterize the area today.

Rather than creating another stand-alone retail property, the project combines housing, retail, and local services within a compact and sustainably designed complex. The development also follows a densification approach intended to limit additional land sealing while activating a previously underused site. The aim is to transform a previously neglected urban gap into an attractive destination for both residents and visitors.

© Real Estate Agency

At the heart of the concept is affordable housing built with a modular timber construction system. Standardized prefabricated timber modules allow for faster construction, a reduced structural weight, comparatively lower development costs and an improved CO₂ balance. Combined with fossil-free heating and cooling systems as well as rooftop photovoltaics, the project places a strong emphasis on operational and embodied sustainability.

Living above retail

In total, the project will comprise 24 apartments with two-, three-, and four-room layouts, each including its own loggia. The ground floor is dedicated to retail and local supply. The main tenant will be a 1,200-sqm store operated by Müller, offering a broad assortment ranging from perfumery and drugstore products to toys, stationery, and household goods. The project will also include a bakery and an ATM.

The development is backed by investor Raiffeisenbank Wienerwald and has received strong support from the local municipality. For Alexandra Tychi, Managing Director of financing partner Raiffeisenbank Wienerwald, the project represents an investment in the future of the region: “We want to actively help shape the future of our region. Attractive housing for people of all ages is being realized here through a forward-looking concept.” Reindl also highlights the unusually fast approval process by the city of Neulengbach, with dedication and permitting completed within only a few months. “Everybody involved wants to see this project succeed,” he says.

A Prototype for Future

Construction is scheduled to begin in summer 2026, with completion planned roughly one
year later. However, for Reindl, Neulengbach is intended to be more than a single development.

Dietmar Reindl /// © Schmiedbauer

Because the concept is based on a modular system, it can be replicated comparatively easily in other locations. Future baumhouse projects could also integrate office uses alongside housing and retail, he states.

In this sense, the project is positioned not only as a local development, but as a potential alternative model for suburban retail areas—combining everyday supply, residential use, and more sustainable construction methods within a single destination.

baumhouse: PROJECT HIGHLIGHTS

/// Mixed-use development combining housing, retail, and local services
/// Urban densification concept designed to reduce land sealing
/// Timber construction on upper floors reduces weight and improves CO₂ balance
/// High degree of prefabrication enabling faster and more efficient construction
/// 24 apartments with flexible two-, three-, and four-room layouts
/// Large loggias and landscaped rooftop areas with private gardens
/// Bakery/café with outdoor terrace and playground
/// Fossil-free heating and cooling systems
/// Rooftop photovoltaic system with energy storage and asset performance.
/// Exterior sun protection and climate-responsive façade design
/// Barrier-free adaptable bathrooms prepared for age-appropriate living
/// Integrated home-office areas in selected apartment types
/// Efficient construction approach enabling comparatively affordable rents

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