emerging
Building Conversion Boom
Deeply discounted buildings are driving a surge in adaptive reuse, transforming outdated assets into valuable new real estate.
Timeframe
near-term
Categories
Subcategories
Impact areas
Detailed Analysis
The devaluation of office buildings and other assets is creating a significant opportunity for adaptive reuse. With lower acquisition costs, developers are exploring creative conversions beyond the typical office-to-residential model. "With aging office buildings and other devalued assets trading at deeply discounted rates, the adaptive reuse boom is poised to create valuable new real estate beyond just office to residential conversion."
Context Signals
Pearl House in New York City, the largest office-to-residential conversion in the city, is a prime example.
Gensler's Conversions+™ tool is mentioned as an industry-leading reuse model.
Edge
This trend could lead to the development of specialized conversion technologies and methodologies.
The repurposing of existing structures could contribute significantly to reducing the environmental impact of new construction.
