New Study Offers Data-Driven Approach for Office-to-Housing Conversions

Gensler, Brookings Metro, and HR&A Advisors Unveil Findings on How Cities Can Transform Underused Offices into Housing

SAN FRANCISCO — As American cities grapple with persistently high office vacancies and an escalating housing crisis, a new report provides critical insights into the potential for converting office buildings into residential spaces. “Understanding Office-to-Residential Conversion: Lessons from Six U.S. Case Studies” examines conversion activity in Houston, Los Angeles, Pittsburgh, St. Louis, Stamford, and Winston-Salem, offering a roadmap for policymakers and developers navigating this complex process.

This research — produced by Brookings Metro, Gensler, HRA Advisors, and Eckholm Studios, with support from the U.S. Department of Housing and Urban Development (HUD) — provides a data-driven framework to help cities optimize office-to-residential (O2R) policy and practice.

“Office to residential conversions feel like a way to solve two problems with one solution — but what we learned from these case studies is that across cities there are differing motivations, goals, and thus policy levers that it makes sense to pull on,” said Tracy Hadden-Loh, Fellow at The Brookings Institution.

The report finds that office-to-residential conversions present a strategic opportunity to tackle three pressing urban issues:

• Unmet housing demand: Cities like Los Angeles face a critical shortage of housing, particularly for lower-income households.
• Office market distress: Many downtowns, such as Pittsburgh’s, are struggling to repurpose aging office stock as tenant needs evolve, putting pressure on local tax revenues.
• Downtown vibrancy: Many cities are seeing weekly visits at less than 50% of pre-pandemic levels, resulting in small businesses struggling and downtowns feeling empty.

While some cities have seen organic conversion activity in high-demand housing markets, the report emphasizes that in many cases, local policy and financial incentives are essential to making proje