Brooklyn-based developer Bushburg, known for its residential projects, is reportedly expanding into Manhattan with the acquisition of 80 Pine Street, a significant office building in the Financial District. According to The Real Deal, Joseph Hoffman’s Bushburg is in contract to purchase the 1.2 million-square-foot tower from the Rudin family for approximately $160 million. This move signals a growing trend of converting underutilized office spaces into residential units in New York City, and 80 Pine Street is a prime candidate for this transformation.
The 40-story building at 80 Pine Street, a fixture of the Financial District skyline since the 1960s, has faced considerable vacancy challenges in recent years. The departure of insurance giant AIG in 2021, which left 800,000 square feet empty, prompted Rudin Management to put the property on the market. Eastdil Secured, led by Will Silverman and Gary Phillips, brokered the deal between Rudin and Bushburg. While neither Rudin Management nor Bushburg have officially commented on the transaction, industry insiders suggest that the significant vacancy at 80 Pine Street makes it ripe for a residential conversion.
Jordan Franklin COO of Bushburg, real estate development firm acquiring 80 Pine Street in Manhattan for office-to-residential conversion.
For Bushburg, the acquisition of 80 Pine Street would mark their first major foray into Manhattan. The developer has made a name for itself with projects in Brooklyn’s rapidly evolving neighborhoods and has expanded its reach to other areas and markets like Jersey City and Miami. This move into Manhattan, specifically with a large-scale conversion project at 80 Pine Street, demonstrates Bushburg’s ambition and confidence in the office-to-residential conversion trend.
The potential conversion of 80 Pine Street is symptomatic of a broader shift in Manhattan’s real estate landscape. Outdated office buildings are struggling to attract tenants in the face of modern preferences and hybrid work models, while demand for residential apartments remains robust, with rents hovering near record highs. This economic dynamic is fueling a wave of office-to-residential conversions across the Financial District and Midtown.
Other notable conversion projects underscore this trend. In the Financial District itself, 25 Water Street is being transformed into 1,300 apartments by GFP Real Estate, Metro Loft, and Rockwood Capital. Metro Loft is also partnering with David Werner on the conversion of Pfizer’s former Midtown headquarters into 1,500 apartments and is exploring another conversion at 111 Wall Street. Furthermore, David Werner is also in the process of acquiring 100 Wall Street, another building likely destined for residential conversion.
Recognizing the potential of these conversions to address housing needs and revitalize commercial districts, New York state lawmakers recently approved incentives to encourage office-to-residential projects. The Adams administration is also actively working to streamline the conversion process and expand the number of properties eligible for such transformations. The story of 80 Pine Street is therefore not just about one building, but reflects a significant evolution in Manhattan real estate, where iconic office towers are being reimagined as vibrant residential communities.
