Insights
Jul 10, 2023 _ insights
Office Vacancies + Housing Gap = Opportunity to Solve Multiple Problems
Cities across the country are facing twin challenges:
- First, post-COVID hybrid and remote work arrangements are contributing to high vacancy rates in downtown office spaces. This not only hurts the owners of those buildings, but decreases city revenue, which weakens cities ability to provide essential services.
- At the same time, a long-standing gap in housing—especially, housing affordable to people making 30-80% of Area Median Income—makes it difficult for people with moderate incomes to live within the city.
Fortunately, there is an opportunity in this combination of struggles. As space that was once dedicated to office use opens up, is it possible to convert it to residential use? What challenges does this involve? And what can cities, like Pittsburgh, do to support those conversions?
This was the topic of a panel discussion that the Pittsburgh chapter of the Urban Land Institute recently hosted at GBBN’s office in Pittsburgh. There I joined Beth Eckenrode of AUROS Group, Leonard Klehr of the development group, Lubert-Adler, Lena Andrews of Action Housing, Inc, and Anthony Trapuzzano of Franjo Construction Corp.
I drew on our experience converting the 31-story Union Central Trust building (also known as PNC Tower) in Cincinnati for City Club Apartments to clarify the code and design considerations that shape such projects. I also encouraged city policy makers to be aggressive in supporting these kinds of projects. Though projects like this often require some public investment to work, it is worth it if they can help address multiple public problems (like office vacancies and a lack of affordable housing).
To learn more about our discussion, you can view my presentation here or read the coverage of the event from Pittsburgh Business Times.
Read more about the Union Central Trust renovation.
Amanda Markovic is a principal and Market Design Leader in GBBN’s Community Development market; AIA Pittsburgh Board Member and Blueprint for Better Champion; and a frequent presenter at regional and national community design conferences. Her recent work includes Fifth & Dinwiddie West and East, Cincinnati & Hamilton County Public Library’s Deer Park Branch, and Baldwin Burrough Public Library.
