- Vanbarton Group is set to buy 77 Water St. for roughly $95M, with plans to convert the 26-story tower into 600 apartments.
- The deal reflects the growing trend of office-to-residential conversions in downtown NYC as remote work and Wall Street’s shift to Midtown leave vacancies in older office buildings.
- Nearby conversions include the redevelopment of 55 Broad St. and the former JPMorgan Chase outpost, with more than 1.5K apartments being built in former office spaces.
According to Bloomberg, Vanbarton Group has agreed to purchase 77 Water St., a 26-story office tower in lower Manhattan, for approximately $95M with plans to convert the building into 600 rental units.
The deal, expected to close by the end of the year, is part of a broader trend of office-to-residential conversions in New York City as the financial industry shifts from downtown to Midtown and remote work leaves older office buildings vacant.
A Growing Trend
The purchase of 77 Water St. adds to a series of similar conversions in the area.
Developers such as Metro Loft and Silverstein Properties are transforming former offices into residential units, with projects like 55 Broad St. and a former JPMorgan Chase outpost leading the way.
Vanbarton’s previous office conversion at Pearl House created 588 luxury apartments near South Street Seaport, highlighting the growing demand for such developments in the city.
Conversions Surge
As the office sector continues to struggle with vacancies, the demand for residential spaces has spurred developers to turn outdated office buildings into apartments.
This shift is particularly strong in lower Manhattan, where several major projects are underway. The trend is expected to continue as the city’s housing demand remains high, while many office spaces remain underutilized.
