Converting Office Space: Unlocking Maximum Value for Office Owners

Why Convert Office Space? A Strategic Pivot for Owners

With office occupancy rates teetering in some markets, sophisticated owners and asset managers worldwide are evaluating their office space’s conversion potential. Adaptive reuse offers a path forward by transforming outdated office buildings into high-demand asset classes, such as multifamily housing or industrial logistics space.

Key Benefits of Converting Office Properties:

• Increase Asset Value – Repurposing vacant or underperforming offices into high-demand uses raises long-term property value.
• Higher Occupancy & Revenue – Office tenants are downsizing, but residential and industrial demand remains strong.
• Leverage Incentives & Zoning Flexibility – Cities offer tax breaks, grants, and regulatory support for conversions.
• Future-Proof Against Office Market Volatility – Instead of waiting for office demand to recover, conversions provide sustainable, long-term returns.

At Van Vlissingen and Co., we take a data-driven approach to identifying the best conversion strategy, ensuring your investment aligns with market demand and long-term profitability.

Solution 1: Office-to-Residential Conversions

As housing shortages persist, converting office space into residential apartments has gained momentum. However, making this transition work requires careful planning to overcome structural, zoning, and financial challenges.

Common Challenges & Our Expert Solutions

Deep Floor Plates & Lack of Natural Light

• Problem: Traditional office layouts have large floor areas, making it hard to create livable residential units.
• Solution: Our team works with architects to redesign layouts, introduce light wells, or prioritize perimeter unit placement to ensure sufficient daylight.

Plumbing & Infrastructure Retrofitting

• Problem: Offices have centralized plumbing, while apartments need individual bathrooms and kitchens.
• Solution: We assess conversion feasibility by identifying buildings with adaptable infrastructure to minimize costly modifications.

Zoning & Building Code Compliance

• Problem: Many office buildings are not zoned for residential use.
• Solution: Our zoning specialists navigate rezoning applications, code adjustments, and permit approvals, accelerating the process.

Financial Viability & Conversion Costs

• Problem: Some conversions are too expensive to justify.
• Solution: We conduct market feasibility studies, ensuring conversion aligns with rental demand, construction budgets, and financing opportunities.

Best Candidates for Office-to-Residential Conversions

Not every office property is a good fit for residential conversion. The best candidates include:

• Older, Underutilized Office Buildings – Especially Class B and C properties in central or mixed-use areas.
• Buildings with Abundant Windows – Necessary to meet residential light and ventilation requirements.
• Properties in Strong Rental Markets – Locations near transit, schools, and retail hubs drive tenant demand.

💡 How We Help: Our team conducts a custom assessment of your office property, determining if residential conversion is the best financial path forward. If so, we guide you through design, zoning, and redevelopment to bring your vision to life.

Solution 2: Office-to-Industrial Conversions

Another lucrative alternative for owners whose buildings aren’t suited for residential conversion is repurposing office properties for industrial use. With e-commerce growth fueling demand for last-mile logistics, flex space, and warehouses, converting office spaces into industrial properties can provide a strong return on investment.

Why Industrial Conversions Make Sense:

• Soaring Industrial Demand – The logistics and e-commerce boom has created a shortage of urban industrial space, especially near major population centers.
• Declining Office Demand in Suburban Parks – Large, isolated suburban office parks are struggling with high vacancies, making them ideal for industrial use.
• Existing Office Infrastructure Can Be Adapted – Some single-story or low-rise office buildings can be retrofitted into flex industrial space without complete redevelopment.

Key Challenges & Our Expert Solutions

Ceiling Heights & Floor Load Capacity

• Problem: Many offices lack the high ceilings and reinforced floors needed for industrial use.
• Solution: Our team identifies buildings with adaptable structures or proposes cost-effective modifications to meet industrial requirements.

Loading & Truck Access Issues

• Problem: Office properties lack loading docks and truck circulation space.
• Solution: We develop plans to integrate dock additions, modify driveways, and optimize site access for logistics users.

Zoning Barriers & Permitting Delays

• Problem: Office buildings are not zoned for industrial use in many locations.
• Solution: We handle the entitlement process, securing rezoning approvals and industrial-use permits to fast-track conversion.

Market Positioning & Industrial Tenant Acquisition

• Problem: Finding the right industrial tenants for a converted space.
• Solution: We leverage our extensive network of industrial users, investors, and developers to match properties with logistics, warehouse, and flex-space tenants.

Ideal Office Properties for Industrial Conversion

• Single-Story & Low-Rise Office Parks – Easier to retrofit for warehouse and logistics needs.
• Locations with Strong Industrial Demand – Proximity to highways, airports, and urban centers is crucial.
• Buildings with Open Floor Plans – Open spaces are easier to adapt to industrial functions.

💡 How We Help: Van Vlissingen and Co. evaluates your office property’s industrial potential, managing feasibility, approvals, and marketing to ensure a seamless transition to industrial use.

Maximize the Value of Your Office Property with Van Vlissingen and Co.

If your office building is struggling with high vacancy, low demand, or declining revenue, it’s time to explore adaptive reuse strategies. Converting office spaces to residential or industrial uses can sometimes be the only fiscally responsible decision a landlord can make in today’s challenging office market.

At Van Vlissingen and Co., we provide:

• Market & Feasibility Studies – Assessing the highest and best use for your property.
• Zoning & Entitlement Management – Navigating approvals for residential or industrial conversion.
• Development & Construction Guidance – Partnering with top developers for cost-effective conversion.
• Tenant Acquisition & Property Marketing – Connecting your repositioned asset with qualified and well-capitalized buyers.

Is Your Office Property a Good Candidate for Conversion?

The best way to determine if an office conversion is viable is to schedule a consultation with our expert team. We provide a tailored strategy to reposition your property, ensuring maximum profitability and long-term success.

📞 Contact Van Vlissingen and Co. today to explore your office conversion options and turn your underutilized asset into a thriving investment.