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The second-level terrace was designed to take advantage of Austin’s southeast to northeast prevailing winds.

Now the ceiling framework gives the room more height, and two taller window units flank either side of the bed, adding to the illusion of more height. Pendants by Poul Henningsen for Louis Poulsen hang above the custom white oak bed designed by Lake Flato Architects.

Relocating windows and doors meant the original brick needed to be patched and painted in a lighter terracotta tone. Lake Flato Architects added exterior mahogany accents for a new motif that subtly recalls the previous bright red trim. Office of Tangible Space tapped L.A. artist Ben Medansky to craft custom ceramic house numbers.

The new home quotes the forms and materials of the neighborhood, but remixes them in a more contemporary combination.

In the living room, a wood stove keeps temperatures cozy. The artwork (of the ill-fated St. Francis Dam and reservoir) is by Al Stone, as is the built-in stove platform and bench seat. The sofa is from Blu Dot, the vintage Risom Lounge Chairs from Knoll and pillows by Kiriko Made.

The house is clad with shou sugi ban-treated cedar siding.

The hall workspace features a pegboard wall and a built-in bench with storage, in addition to open shelving. For the desk chair, Spot Lab refurbished and reupholstered a vintage chair that had been left on the street.

The use of the stone as a foundation allowed the budget to be reduced as it minimized the amount of work and materials.

The 1935 Laing House by Harwell Hamilton Harris is in outstanding shape, with many of its original windows, built-ins, and light fixtures intact.

A raised living space with integrated storage is open to the kitchen-and-dining area, where there's birch plywood cabinetry and Thermowood counters.