- Developers Marty Burger and Andrew Heiberger are converting 29 W. 35th Street into 107 studio apartments in a $70M redevelopment.
- The project is one of the first office-to-residential conversions in Midtown South under new zoning changes.
- Of the total units, 27 will be below-market-rate apartments, enabling the project to qualify for a 35-year tax abatement.
New life for Midtown South
In one of the first major office-to-residential conversions under Midtown South’s updated zoning laws, developers Marty Burger and Andrew Heiberger are transforming 29 West 35th Street into 107 studio apartments, according to Bloomberg.
The $70M project aims to help ease New York City’s housing shortage. It focuses on compact, centrally located units that meet current market needs.
The Property
The building is just a few blocks south of Bryant Park and close to both Penn Station and Grand Central. It was purchased for about $25M. The redevelopment includes apartments ranging from 400 to 575 square feet. Many units will feature flexible layouts, including alcoves, home offices, or bonus rooms.
Targeted Living
All units will be studio apartments. This layout suits the existing structure and meets rising demand for smaller, transit-accessible living spaces. The developers expect strong interest from professionals looking for second homes or convenient city access.
Amenities and Affordability
Market-rate studios will rent for around $4,000 per month. Additionally, the project will include 27 below-market apartments at $1,701 per month. This affordability component qualifies the building for a 35-year tax abatement under a new incentive program.
Meanwhile, planned amenities include a rooftop deck with an outdoor movie screen, game tables, and lounge seating.
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Who’s Involved
Burger, formerly CEO of Silverstein Properties, and Heiberger, founder of Buttonwood Development, are leading the project. Allegiant Real Estate Capital is providing financing. Equity partners include David Levinson (L&L Holding Co.), Terracotta Management, and 400 Capital Management.
Why It Matters
With office vacancies rising and hybrid work becoming the norm, many commercial buildings are losing relevance. However, converting underused office space into housing presents a new path forward. This project could mark the beginning of a broader trend in Midtown South, where more such redevelopments may follow.
What’s Next
Leasing is expected to begin in early 2027. The developers see this as the first of many projects that could help meet New York’s housing demand, especially in areas well-connected to transit.
