NAIOP Research Foundation | New Uses for Office Buildings: Life Science, Medical and Multifamily Conversions
By: Emil Malizia, Ph.D., CRE
Release Date: March 2022
A decline in office utilization due to the COVID-19 pandemic has raised office vacancy rates to levels previously reached during the 2008 recession. At the same time, other property types–including life science, medical office and multifamily–are in demand. More favorable market conditions for these property types are leading building owners and developers in many markets across the United States to consider converting existing office buildings to new uses.
The NAIOP Research Foundation commissioned this report to evaluate the risks and opportunities associated with office building conversions. The author conducted a review of recent publications and market data on office conversions and interviewed developers, architects and other commercial real estate professionals to provide an overview of the key considerations that go into converting an office building to a life science, medical office or multifamily use.