Office-to-Residential Conversions Considered as Workers Go Remote

Reduced demand for office space after coronavirus could lead New York landlords to consider the conversion of offices to residential spaces.

1 minute read

April 14, 2020, 9:00 AM PDT

By Lee Flannery @leecflannery


One57

Henning Klokkeråsen / Flickr

Many office spaces in New York sit empty as occupants work from home in light of social distancing requirements. If the trend continues after shelter-in-place orders are lifted, office landlords could consider converting their commercial assets into residential spaces. 

"Some real estate pros maintain that companies and employees will be happier than ever to return to their offices after the crisis subsides, while others are predicting a more permanent decline in demand for office space. And they already have a solution in mind for how commercial landlords could handle this: turn their offices into residential buildings to help alleviate New York’s housing crisis," writes Eddie Small.

While office-to-residential conversions could generally increase the amount of housing in large cities, it's not a given that these options would be affordable. Profit-driven landlords would respond to economic incentives to build luxury condos rather than apartments. 

If demand for office space is decreased, says Urban Institute senior fellow Brett Theodos, it's more likely to be a symptom of economic hardship than of an increased preference for remote workspaces. Center for an Urban Future executive director Jonathan Bowles predicts that the retail sector, which was struggling even before the pandemic, is more likely to make lasting adjustments after the pandemic subsides.

Friday, March 27, 2020 in The Real Deal

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Get top-rated, practical training

Historic homes in St. Augustine, Florida.

Florida Considers Legalizing ADUs

Current state law allows — but doesn’t require — cities to permit accessory dwelling units in single-family residential neighborhoods.

March 18, 2025 - Newsweek

Aerial view of suburban housing near Las Vegas, Nevada.

HUD Announces Plan to Build Housing on Public Lands

The agency will identify federally owned parcels appropriate for housing development and streamline the regulatory process to lease or transfer land to housing authorities and nonprofit developers.

March 17, 2025 - The Wall Street Journal

Close-up of traffic congestion from behind cars on a freeway in the San Francisco Bay Area.

Conservatives’ Decongestion Pricing Flip-Flop

When it comes to solving traffic problems, the current federal administration is on track for failure, waste, and hypocrisy.

March 17, 2025 - Todd Litman

Close-up on 45 mph speed limit sign with part of Golden Gate Bridge visible in background, San Francisco, California.

San Francisco Turns On California’s First Speed Cameras

The city is the first in the state to use automated traffic enforcement to reduce speeding and traffic deaths.

March 25 - KQED

Downtown Los Angeles skyline viewed from the northwest on a sunny day with scattered clouds.

Shaping LA’s Future: Public Voting Opens for LA2050 Grants

The LA2050 Grants Challenge invites Angelenos to vote on the top issues facing Los Angeles, helping direct $3 million in funding to organizations working to build a more connected and resilient region.

March 25 - MyNewsLA.com

White CTA bus and elevated train against sunset sky in downtown Chicago, Illinois.

Chicago Transit Agencies on Brink of Major Crisis

Without additional funding, regional transit agencies will be forced to cut services by 40 percent.

March 25 - Mass Transit