While supported by cultural and historical preservation organizations, the corridors have also been criticized for limiting the potential for the development of new tall structures in downtown Austin.

In 1931, the City of Austin, aiming to preserve the visual preeminence of the 303-foot (92 m) Texas State Capitol, enacted a local ordinance limiting the height of new buildings to a maximum of 200 feet (61 m).

From that time until the early 1960s, only the University of Texas Main Building Tower was built higher than the limit, using an exception allowing for additional height with a greater setback.

On November 10, 1962, the Austin Statesman announced that real-estate developers were planning a new high-rise residential building adjacent to the Capitol called the Westgate Tower.

[1] The proposed design for the tower was 261 feet (80 m) tall, significantly exceeding the city's height limit, although it compensated with a setback for the upper portion.

[5] The bill passed through the Texas Senate and House of Representatives in early 1983, ultimately being signed into law on May 3, 1983, and coming into effect immediately.

[6] It was later recodified in 2001 by House Bill 2812, which established the current version of the statute in the Texas Government Code Chapter 3151, entitled "Preservation of View of State Capitol".

[12] The other four recommendations were more controversial, attracting opposition from the city's Parks and Recreation Board,[13] the Heritage Society of Austin,[14] and others; no changes were ultimately made.

[20][21] On the other hand, both private and public entities looking to build in Austin (especially downtown) have expressed concern about the corridors' impact on investment, on property tax receipts, and on the supply of jobs and housing.

[19] Some major civic development projects have received exemptions from the corridor protections, including the redevelopment of the former Mueller Airport and the expansion of the University of Texas football stadium;[10] in other cases, structures already completed have been condemned and rebuilt because of the corridors, including a newly built water intake facility for the Waller Creek Tunnel.