Biden pushes for cities to convert vacant offices into affordable housing

Oct 27, 2023

Shannon Longworth Reporter

By Shannon Longworth (Reporter), Alex Peebles (Producer), Zachary Hill (Editor)

Bias Distribution Powered by Ground News™

Currently, more than 20% of all office space in the U.S. is vacant, thanks in part to the COVID-19 pandemic, which had companies adopt full-time work-from-home or hybrid policies for their employees. But a new federal initiative, announced by President Biden, seeks to turn the empty real estate into affordable housing.

The U.S. is experiencing a growing crisis in the housing sector. President Biden’s administration is launching a multi-agency push to entice states and cities to convert office space into affordable housing. The push is something that some cities, like New York, have already been trying to do.

Download the SAN app today to stay up-to-date with Unbiased. Straight Facts™.

Point phone camera here

“Now, New York, of course, is the best city to live and work, so it is no surprise that people keep flocking here, but we simply do not have enough homes for them. But sometimes one problem can help solve another,” said Maria Torres-Springer, New York’s deputy mayor for Housing and Economic Development. “So, we have empty offices, not enough homes. Why don’t we turn outdated offices into apartments?”

Torres-Springer said regulations built up over decades have made it impractical and infeasible to turn commercial space into residential space in New York City.

The city is taking steps to ease those regulations. Still, city officials, including Mayor Eric Adams, said they need help from lawmakers in Albany, who Mayor Adams said failed to take critical action needed to facilitate the conversions in the last legislative session.

Now, the federal government has entered the conversation, announcing on Friday, Oct. 27, new actions to support converting commercial space into affordable housing across the country through financial backing, technical assistance, and the sale of government-owned properties.

The initiative especially encourages the conversion of commercial space near public transportation hubs, which the Biden administration said will help reduce greenhouse emissions in the long run.

Funding for both new housing and office conversions near transit will be made available through the Department of Transportation. According to Transportation Secretary Pete Buttigieg, more than $35 billion will be available for loans.

The White House added that it is releasing a guidebook with 20 government programs across six agencies to help support conversions by helping builders secure low-interest loans and loan guarantees, grants and tax incentives.

This push aims to create more affordable housing as the U.S. grapples with an ever-growing homeless population, and it also aims to reduce the long-term impacts of widespread office space vacancies at the same time.

Tags: Affordable housing, Eric Adams, Homelessness, Housing Market, Joe Biden, New York City, Pandemic, Pete Buttigieg

AMERICANS ARE CONTINUING TO FEEL THE IMPACT OF THE COVID-19 PANDEMIC

THE STRAIN ON THE HEALTH CARE SYSTEM CONTINUES TO HAVE REPERCUSSIONS ON HOSPITALS AND THEIR STAFFS

THE LEARNING LOSS IN AMERICA’S SCHOOLS STILL SEES MANY STUDENTS STRUGGLING TO CATCH UP AND DISTRICTS SCRAMBLING TO FIND TEACHERS.

COMPANIES, ADOPTING WORK-FROM-HOME OR HYBRID POLICIES FOR THEIR EMPLOYEES… THREATENING COMMERCIAL REAL-ESTATE…

BUT A NEW FEDERAL INITIATIVE IS SEEKING TO USE THAT REAL ESTATE PROBLEM TO ADDRESS ANOTHER PROBLEM: – A LACK OF AFFORDABLE HOUSING.

CURRENTLY, MORE THAN TWENTY** PERCENT OF ALL OFFICE SPACE IN THE U-S IS VACANT..

THE U-S IS ALSO EXPERIENCING A GROWING CRISIS IN THE HOUSING SECTOR, SO PRESIDENT JOE BIDEN’S ADMINISTRATION IS LAUNCHING A MULTI-AGENCY PUSH TO ENTICE STATES AND CITIES TO CONVERT OFFICE SPACE INTO AFFORDABLE HOUSING.. SOMETHING SOME CITIES, LIKE NEW YORK, HAVE ALREADY BEEN TRYING TO DO.

“Now, New York of course is the best city to live and work so it is no surprise that people keep flocking here but we simply do not have enough homes for them. But sometimes one problem can help solve another. So, we have empty offices, not enough homes why don’t we turn outdated offices into apartments?”

NEW YORK’S DEPUTY MAYOR FOR HOUSING AND ECONOMIC DEVELOPMENT– MARIA TORRES-SPRINGER–SAYS REGULATIONS THAT HAVE BUILT UP OVER DECADES HAVE MADE IT IMPRACTICAL AND INFEASIBLE TO TURN COMMERCIAL SPACE INTO RESIDENTIAL SPACE….

THE CITY IS TAKING STEPS TO EASE THOSE REGULATIONS… BUT OFFICIALS INCLUDING MAYOR ERIC ADAMS SAY THEY NEED HELP FROM LAWMAKERS IN ALBANY – WHO, ADAMS SAYS, FAILED TO TAKE CRITICAL ACTION NEEDED TO FACILITATE THE CONVERSIONS..

NOW, THE FEDERAL GOVERNMENT HAS ENTERED THE CONVERSATION.. ANNOUNCING, ON FRIDAY, NEW ACTIONS TO SUPPORT THE CONVERSION OF COMMERCIAL SPACE INTO AFFORDABLE HOUSING ACROSS THE COUNTRY – THROUGH FINANCIAL BACKING, TECHNICAL ASSISTANCE, AND THE SALE OF GOVERNMENT OWNED PROPERTIES.

THE INITIATIVE ESPECIALLY ENCOURAGES THE CONVERSION OF COMMERCIAL SPACE NEAR PUBLIC TRANSPORTATION HUBS, WHICH THE BIDEN ADMINISTRATION SAYS WILL HELP REDUCE GREENHOUSE EMISSIONS IN THE LONG RUN..

FUNDING FOR BOTH NEW HOUSING AND OFFICE CONVERSIONS NEAR TRANSIT WILL BE MADE AVAILABLE THROUGH THE DEPARTMENT OF TRANSPORTATION… ACCORDING TO TRANSPORTATION SECRETARY PETE BUTTIGIEGE MORE THAN THIRTY-FIVE BILLION DOLLARS WILL BE AVAILABLE FOR LOANS…

THE WHITE HOUSE ADDED THAT IT IS RELEASING A GUIDEBOOK WITH TWENTY GOVERNMENT PROGRAMS ACROSS SIX AGENCIES TO HELP SUPPORT CONVERSIONS BY HELPING BUILDERS SECURE LOW-INTEREST LOANS AND LOAN GUARANTEES, GRANTS, AND TAX INCENTIVES…

THE HOPE IS THAT THIS PUSH CREATES MORE AFFORDABLE HOUSING.. WHILE THE U-S CONTINUES TO GRAPPLE WITH AN EVER GROWING HOMELESS POPULATION. AND AT THE SAME TIME HELP REDUCE THE LONG-TERM IMPACTS THAT COME WITH WIDESPREAD OFFICE SPACE VACANCIES.