The popularity of working remotely has given rise to sharing, or “hoteling,” of offices and workstations, thereby reducing the demand for office space. However, the need for housing, particularly moderate-income housing in New York City for both rental and purchase, remains strong.
As a result, New York City government and residents are facing the impacts of the systematic conversion of office buildings to residential or mixed-use residential buildings. This process has been in lower Manhattan since the early 1990s. The recently unveiled Task Force Report demonstrates that more conversions are coming.
The focus of the Task Force Report is regulatory and statutory, so the focus of the City will be on zoning changes and modifications to the Multiple Dwelling Law with its density and windowed bedroom requirements in order to create more housing, some of it dormitory or supportive, as well as opening up the Midtown area for conversions. But the real driver for these conversions will be empty offices; the economics for some buildings to convert may just be too compelling.
However, because of the New York State Multiple Dwelling Law, which requires operable windows in multifamily homes (specially in bedrooms), many buildings are simply not appropriate for conversion.
Buildings with large floor plates are just not suitable. Too much space is unusable for residential purposes. Those with window or curtain walls lacking operable windows are also not good candidates. The cost of changing the façade is prohibitive. Buildings with smaller floor plates, or relatively smaller interior spaces with operable windows, are often the best options.
Changes required regardless of building height include converting gang bathrooms to individual units with sinks, showers and/or bathtubs, and creating kitchens. Based on just physical considerations, it appears that buildings under 20 stories, with floor plates that allow for residential apartment layouts with windowed bedrooms, that do not require major façade or other structural work, are the best candidates for conversion.
Buildings with large floor plates are just not suitable. Too much space is unusable for residential purposes. Those with window or curtain walls lacking operable windows are also not good candidates. The cost of changing the façade is prohibitive. Buildings with smaller floor plates, or relatively smaller interior spaces with operable windows, are often the best options.
Changes required regardless of building height include converting gang bathrooms to individual units with sinks, showers and/or bathtubs, and creating kitchens. Based on just physical considerations, it appears that buildings under 20 stories, with floor plates that allow for residential apartment layouts with windowed bedrooms, that do not require major façade or other structural work, are the best candidates for conversion.
The Task Force proposals for more dormitory or supportive housing in massive floor plate buildings, where there is limited or no passive ventilation from operable windows, are not necessarily wise. Creating stuffy dormitories without sufficient, operable windows to provide passive fresh air may be unwise from a public health perspective.
Co-op and condo boards and managers need to monitor these conversions in their respective neighborhoods.
This column presents a general discussion. This column does not provide legal advice. Please consult your attorney for specific legal advice.
Carol A. Sigmond
Partner
Greenspoon Marder LLP
590 Madison Avenue, Suite 1800
New York, NY 10022
carol.sigmond@gmlaw.com
(212)524-5074