Cities that converted empty office buildings into housing face these important questions

Cities that converted empty office buildings into housing face these important questions Main Photo

16 Jun 2024


News

It took a global pandemic to convince American businesses that their employees could work productively from home or a favorite coffee shop. Post-COVID-19, employers are struggling to find the right balance of in-office and remote work. However, hybrid work is likely here to stay, at least for a segment of workers.

This shift isn’t just changing lifestyles—it’s also affecting commercial spaces. Office vacancy rates post-COVID-19 shot up almost overnight, and they remain near 20% nationwide, the highest rate since 1979 as tenants downsize in place or relocate. This workspace surplus is putting pressure on existing development loans and leading to defaults or creative refinancing in a market already plagued by higher interest rates.

Read the full article from Entrepreneur here.

Add to Report View Custom Report