AUSTIN (statesman.com) – Construction started Wednesday on the residential portion of the Domain, an upscale “urban village” that Simon Property Group and Endeavor Real Estate Group are developing in North Austin. The massive $246 million project includes six apartment buildings, offices and 700,000 square feet of retail.

The apartments will include some moderately priced units — a condition for $37 million in sales and property tax rebates from the city. Ten percent of the units are reserved for people making 60 percent or less of the region’s median household income. Rents will range from $750 to $2,100 per month.

The first units will be available in January, and all are set to be completed by May 2007.

The Domain is bordered by MoPac Blvd., Braker Lane and Burnet Rd. Travis County approved $9.3 million in property tax rebates for the project.