Why Vacant Offices Won’t Be Converted To Housing

Major cities across the US are experiencing high office-vacancy rates. In San Francisco, for example, the commercial vacancy rate reached 15.4 percent, more than double what it was two years ago. Despite the rising levels of homelessness (more than 560,000 people nationwide), these offices spaces likely won’t be converted into housing because such conversions can be expensive and take a long time. “You combine this market reality with the large amount of underutilized land where it is cheaper to build a new four- to five-story apartment complex than convert an existing office building to housing,” said Alan Stephenson, director of the Phoenix Planning and Development Department.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s