Downtown Brooklyn’s rezoning was originally promoted to spur construction of new office towers, but there’s actually been a net loss in Class B and C office space, as detailed in The Real Deal. Residential conversions at the former Williamsburgh Savings Bank building, now One Hanson Place, and the Verizon building in MetroTech, now BellTel Lofts, together have accounted for a loss of 908,000 square feet of office space. And countless other smaller buildings have been torn down or converted to residential use in the past four years as developers have taken advantage of more lucrative hotel, condo and rental projects. Meanwhile, three office projects totaling 217,000 square feet are under construction. Several brokers said they’re concerned that pretty soon Downtown Brooklyn won’t have enough Class B and C office space to meet increasing demand, since that type of space is generally added through renovation. Others, like City Point developer Paul Travis, said all the new residents moving to the area will make Downtown’s Class A market, which has struggled over the years, more attractive to potential tenants. Developmental Darwinism at work, or poor planning?
Despite rezoning, a net loss of office space in Downtown Brooklyn [TRD]
Sales Going Well at BellTel Lofts [Brownstoner]
One Hanson Tower Units Hit Market [Brownstoner]