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West 7th Passive House

Austin, TX

Forge Craft’s West 7th Passive House reimagines sustainable urban living in one of Austin’s most storied neighborhoods. Set within the Castle Hill Historic District on a steep, compact lot just blocks from downtown, the project unites a meticulously restored 1924 Craftsman cottage with a new, Passive House–certified duplex, the largest in the southern United States. 

Balancing preservation and progress, the design maintains the visual consistency of the historic streetscape while quietly introducing more than 5,600 square feet of high-performance housing behind it. The result is a rare pairing: a century-old bungalow reborn for the next hundred years and a cutting-edge duplex that sets a new benchmark for energy efficiency, health and resilience. 

Through rigorous site planning and close collaboration with city officials and preservation bodies, Forge Craft transformed a complicated hillside location into a vibrant, walkable, and sustainable model for urban infill. West 7th Passive House demonstrates that history and innovation can strengthen (rather than compete with) one another, creating three move-in-ready homes that are both rooted in place and built for the future. 

Craft Studios

Partners

Builder: Form to Finish
Interiors: Studio Ferme, Kopfer Taylor
MEP Engineer: Positive Energy
Structural Engineer: Structures

The Historic Cottage

Perched on the steep slope of Castle Hill, this 1924 Craftsman-style bungalow was on the verge of collapse when Forge Craft took it on. Originally built by local builder Claude Traweek, the modest 1,024-square-foot residence sits within both the Castle Hill Local Historic District and the West Line National Register Historic District. As part of the larger West 7th Passive House property, the cottage anchors the front of the lot, preserving the rhythm and character of the historic streetscape. 

Working closely with Austin’s Historic Preservation Office and the Historic Landmark Commission, the team rescued the house “mid-fall” down the hillside and stabilized it for its next century of life. The foundation was completely rebuilt, and the structure was taken down to the framing to add new sheathing, insulation and air sealing. Energy-efficient windows, a modern HVAC system and full electrification reduced fossil fuels while dramatically improving comfort and performance. 

Inside, the renovation blends preservation with fresh livability. Original shiplap was salvaged and reused throughout the home, most notably around a new skylight and kitchen lightwell that flood the interiors with daylight. A new primary ensuite bathroom and reconfigured plan make the compact footprint functional for a small family, couple, or roommates. Bright, airy spaces and durable finishes ensure the home is ready—and resilient—for another hundred years. 

Outside, a reimagined front stoop creates a more welcoming entry that reinforces the home’s connection to the street and neighborhood. Acting as a gateway to the Passive House duplex tucked behind, the cottage maintains the district’s historic charm while contributing to a more walkable, sustainable urban density. 

Through thoughtful design and deep collaboration, Forge Craft proved that historic preservation and high-performance building are not opposing ideals but complementary goals—reviving a 1920s bungalow as a bright, efficient, and healthy home for the 21st century. 

The Passive House Duplex

Hidden behind the restored 1924 cottage, the West 7th duplex is a shining example of sustainable urban living in Austin. Built into nearly 20 feet of grade change on a narrow 50-foot-wide lot, the 5,650-square-foot structure contains two spacious family homes—a 3,813-square-foot primary residence and a 1,687-square-foot secondary unit—each oriented to maximize natural light, privacy and outdoor connection. Together with the historic front cottage, the property provides healthy, efficient homes for three families, reimagining what density can look like within a historic district. 

This PHIUS-certified Passive House is the largest of its kind in the southern United States and serves as a demonstration project for how sustainability and preservation can coexist. Featuring warm wood interiors, skylights and expansive glazing that frame views while maintaining privacy, the duplex embodies the latest thinking in design and building science, prioritizing homes that are healthier, safer and more resilient than conventional construction. 

The project’s steep hillside and tight lot presented both challenge and opportunity. By leveraging the topography, Forge Craft created five staggered levels, offsetting the garages by six feet to integrate with the terrain. Layered courtyards, terraces and private gardens provide each home with its own outdoor sanctuary while maintaining a compact urban footprint. Garage access was discreetly integrated from the rear alley, preserving the historic streetscape and keeping the new construction largely hidden from view. 

Meeting Passive House standards meant pushing the limits of high-performance design. The envelope features continuous exterior insulation, recycled cellulose cavity insulation, air sealing to roughly 10x tighter than a standard new home, and high performance Marvin windows, reducing operational usage significantly. All-electric systems, heat pumps, a metal roof, and net-zero–ready infrastructure ensure long-term resilience and comfort. The project reached certification with only a modest 2.5% cost increase—proof that performance is attainable and economical, even in challenging climates. 

Bringing this complex design to life required close collaboration between Forge Craft, Form to Finish (builder), Positive Energy (mechanical design), New Results HVAC, city officials, and multiple oversight bodies. Together, the team navigated ADU regulations, historic review processes, and site constraints to deliver a project that balances innovation with contextual sensitivity. 

With native landscaping, a comprehensive stormwater capture and reuse system and thoughtfully designed outdoor spaces, the West 7th duplex transforms a once-crumbling hillside lot into a model for climate-conscious density, that is now home to three families in Austin’s urban core. 

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