Despite efforts on the part of many employers to bring workers back to the office, office buildings are now the most distressed segment of the commercial real estate market.
Move over, dead malls: there’s a new troubled kid in town. “According to a new report by MSCI Real Assets analyzing the commercial real-estate sector, around $24.8 billion of office buildings in the U.S. were in financial distress by the end of the second quarter — surpassing both retail (which includes malls) and hotels,” explains Clio Chang in Curbed.
“As remote work continues to force companies to cut back their real-estate footprints, the MSCI report showed that the measure of offices in distress was up by 36 percent since the first quarter. Meanwhile, the country’s overall office-vacancy rate is at 20 percent.”
While housing advocates tout office vacancies as an opportunity to convert these centrally located buildings to housing, it remains to be seen if that idea can overcome the costs and logistical challenges of adaptive reuse.
FULL STORY: Offices Are the New Malls
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Planetizen Federal Action Tracker
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Urban Design for Planners 1: Software Tools
This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.
Planning for Universal Design
Learn the tools for implementing Universal Design in planning regulations.
Gallatin County Department of Planning & Community Development
Heyer Gruel & Associates PA
JM Goldson LLC
City of Camden Redevelopment Agency
City of Astoria
Transportation Research & Education Center (TREC) at Portland State University
Jefferson Parish Government
Camden Redevelopment Agency
City of Claremont