Daily News | Pitching ‘Bidenomics’ in Philly | Morning Newsletter
Housing prices are stubbornly high at a time when hybrid work is shrinking the demand for office space.Well, don’t hold your breath for that. The barriers to conversions are fairly high.
The typical hurdles that have been around for years include the overall cost of conversion, long office leases, and the fact that there are fewer buildings to convert compared to other major cities like Boston or New York.Since 2022, construction costs and interest rates have significantly increased. Also, Philly has aggressively been building new apartments, and there’s concern that conversions of post-World War II buildings would struggle to compete with more standard offerings.
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