A much-needed new apartment complex could soon be coming to the Memphis Medical District.

The Vic on Union project would create 286 apartments and a parking garage with more than 300 stalls at the former Office Depot site at 785 Union Ave. The building has been vacant since 2019.

Texas-based development group Hunington Residential was awarded a 12-year payment-in-lieu-of-tax incentive from a Downtown Memphis Commission body Tuesday.

The group is hoping to start work on the $46 million project in May. Construction is expected to take 2 to 2⅟₂ years.

Downtown news:As Grand Hyatt moves forward, how many more hotel rooms can Downtown support?

Downtown Memphis hotels:Downtown development: Tom Intrator to seek more incentives for Dream Hotel

Kate Good, multifamily principal partner for Hunington, told the Center City Revenue Finance Corporation this was the company’s first foray into the Memphis market. The group is based in Houston and all its current properties are in Texas.

“We are very excited to move into the Memphis market and just see a wonderful opportunity here for everything that's happening in the city and we want to be a part of that growth,” she said.

Rents for the units will be around $1,100. The apartments will have slightly smaller square footage than surrounding properties of the same caliber, Hunington representatives said, allowing them to offer rents below some of the surrounding buildings. Units will range from 386 to 680 square feet.

Memphis development:The Memphis Medical District is 'really growing.' What's next for the area?

Memphis Medical District:'Huge lifestyle change': How a Medical District program helped a Memphis mom get her dream job

With similar properties the company has built in Texas, they have seen the smaller units attract students and single people. The Vic is close to the University of Tennessee Health Science Center, Southwest Community College, multiple hospitals and other large educational institutions and employers.

The property will also include indoor and outdoor amenities including a pool, a fitness center, a coffee bar, study space, work pods, a pet spa and a game room.

Corinne S Kennedy covers economic development and healthcare for The Commercial Appeal. She can be reached via email at Corinne.Kennedy@CommercialAppeal.com

This article originally appeared on Memphis Commercial Appeal: Memphis Medical District: The Vic on Union apartment complex planned