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Comment by chii | Hacker News Reader

there's more to it though. Real estate doesn't "expire" like grain. It can be repurposed, but it would require some capital investment.

As an analogy, the grains could be fermented and turned into spirits.

And as an addendum, the value lost in the commercial real estate could be potentially considered as transferred - let's say a business either gets a cheaper rent, or stops renting offices (after this is why these commercial real estate valuation is lowered), then those businesses saved money and thus that money saved is what got "transferred".

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If NYC office space in a high rise, it cannot just be repurposed for something else.

like WFH capable apartments ....

Of course it can. What makes you think that it couldn't be remodeledd into living spaces? Buildings in a town flip all the time from residential=>commercial=>residential.

New York’s zoning laws.

Any developer worth their salt can have that corrected. Everyone in NY walks around with someone else's hand in their pockets.

Haha, would that it were actually true.

It could be used for residential, childcare, go karts (electric … I have done this on the converted 4th floor of a car park), wework style thing, storage/warehousing, restaurant, ghost kitchens, lightweight manufacturing. Lots of potential uses. Shelter for homeless would be my favourite if it can be funded.

Unfortunately New York’s zoning laws forbid what you’re suggesting. The new mayor is attempting to change them (though is facing resistance from the city council).

Yeah imagine replumbing for residential. I guess you could gut it to the shell. Almost starting over at that point.

It would make more sense to just wait it out until the building is needed again. Refitting offices is nightmarishly difficult and the result is sub standard compared to a new build.

From 2009 to 2015 I lived in exactly that. It was a high-rise former bank headquarters converted to residential. The conversion was done in the wake of the collapsing commercial real estate market after 9/11. Repurposing buildings is quite common in New York, and I expect to see more conversions like this in the future.

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