The new Adaptive Reuse report takes a deep dive into the industry of repurposing old buildings into rental apartments. While the number of projects converted in 2022 didn’t match the peaks registered at the beginning of the pandemic, our analysis of Yardi Matrix data reveals a promising future for this niche. Currently, an astounding 122,000 rental apartments are undergoing conversion nationwide.
Charlotte is making a mark in the trend of converting old buildings into modern apartments, securing the 13th position in the list of cities with the most upcoming conversions. Of them, nearly half are repurposed office spaces. Consequently, Queen City is the only major NC city riding the adaptive reuse wave.
Read on for more details about Charlotte’s future and current adaptive reuse trends:
- Currently, there are 1,716 projects lined up for future development in Charlotte, showing steady growth from 1,668 projects in 2021.
- Offices will be the main source of conversions in Charlotte – 800 apartments are expected to be created by repurposing this type of buildings. Hotels and factories are also catching developers’ eyes, with 681 and 235 future units, respectively.
- The projects already undergoing construction are the conversion of the historic Johnston Mill building, a 38- year-old hotel on Westpark Drive Street and the TownePlace Suites by Marriott Charlotte.
- However, less than 30% of the forthcoming projects in Charlotte are under construction, as the majority of them remain in the planning stage.
- At the same time, there’s a stark contrast between expectations and reality. Although projecting a remarkable surge in adaptive reuse projects, Charlotte only saw 215 transformed units in 2022.
