Why Does Lower Manhattan Have So Many Apartments Located in Former Offices Buildings? Because of ADNY! 

It’s our 30th anniversary, and we’re self-celebrating. Over the next few months, we’ll be rolling out 30 stories about 30 of our biggest accomplishments, including everything from our daily public safety and sanitation work, to our small business outreach, to how we helped the neighborhood navigate challenges and even tragedies. You’ll be able to find these stories on our website, as well as in our weekly newsletter, which you can subscribe to here. 

It’s no secret that Lower Manhattan has become one of New York City’s residential neighborhoods of choice in recent years. Over the last 30 years, the population of the neighborhood has increased from about 14,000 to nearly 70,000 today. This is in no small part due to the practice of converting office buildings to residential use. Since 1995, nearly 22.5 million sq. ft. of office space in the district has been converted to residential use and more is on the way. About 50% of residential units in Lower Manhattan are now from converted buildings (the other half is new construction).

What few may know is the Downtown Alliance was integral in introducing the legislation that made this residential growth possible in Lower Manhattan. In 1995, the Alliance lobbied for and helped pass the 421-g real estate tax abatement program, which spurred the first wave of office-to-resi conversions across the neighborhood. This incentive gave a tax break to developers to renovate buildings built before 1975 south of Chambers St. The legislation was active for 11 years and stimulated an unprecedented era of residential growth in Lower Manhattan.

Next time you hear about a building planning to undergo an office-to-residential conversion, consider the fact that Lower Manhattan has served as the poster child for this practice for 30 years and a large part of that is due to the efforts of the Downtown Alliance.