News Summary

Boston Mayor Michelle Wu has initiated a significant office-to-residential conversion project in South Boston, transforming 263 Summer St. into 77 new homes. This move is part of the city’s strategy to tackle the housing crisis, with 141 units already under development. Wu emphasizes the need for tens of thousands of new housing units while providing income-restricted options. With state funding and ongoing applications, the project aims to revitalize downtown areas and meet growing housing demands.

Boston

Boston Mayor Michelle Wu has officially launched the city’s largest office-to-residential conversion project at 263 Summer St. in South Boston, marking a significant step in addressing the ongoing housing crisis. This initiative will create 77 new homes, adding to the city’s efforts to increase housing availability and affordability.

Currently, there are 141 housing units under construction as part of the office-to-residential conversion program, which aims to repurpose vacant office spaces into residential units. Among these, 15 of the newly created units will be income-restricted, ensuring that they remain affordable for families in need. Wu highlighted that Boston requires tens of thousands of new units to effectively combat the housing shortage, and each new project represents a critical contribution to this goal.

The project located on Summer Street involves the transformation of a 63,760 square-foot building previously owned by the Boston Wharf Co. While this is the largest initiative under the conversion program, it is not the first; several other projects are also underway. These include 281 Franklin St., with 15 homes nearing completion, 129 Portland St. with 25 units, and 615 Albany St., which will offer 24 homes.

The office-to-residential conversion program has garnered financial backing from the state, which allocated $15 million last year to support these efforts. Each affordable housing unit developed under this initiative can receive up to $215,000 in state funding, with the program offering developers a 75% tax abatement for 29 years to incentivize residential transformations.

Growing Number of Applications

Since its inception in October 2023, the program has received 16 applications for projects that would yield a total of 780 new housing units across 21 different buildings. Notably, 142 of these proposed units are designated as income-restricted. Further construction is anticipated to commence this fall, indicating a steady advancement in fulfilling the city’s housing demands.

Impact on Downtown Revitalization

The Downtown Boston Alliance has emphasized that converting unused office spaces into residential units can enhance foot traffic and bolster local businesses. Recent statistics reveal that violent crime rates in downtown Boston have decreased by 48% over the past three months, while foot traffic has increased by 11%. Additionally, approximately 20 companies have either relocated to or expanded within downtown Boston since Wu took office, showcasing a positive trend in economic activity.

Challenges and Future Prospects

City officials acknowledge the complexities and costs involved in converting office buildings into residential properties, yet the financial incentives aim to make these processes feasible for developers. Applications for the conversion program will remain open until the end of the year, with submissions being processed on a rolling basis.

Despite advancements, not all representatives are satisfied with the communication surrounding the project. Councilor Ed Flynn has expressed concerns over being excluded from discussions regarding the new project and has raised issues about the city’s affordable housing policies.

In addition to boosting housing availability, Wu stated that these conversions aim to revitalize downtown areas that have suffered from increased vacancies following the pandemic. As part of the redevelopment of the Summer Street building, the historic Boston Wharf Co. sign will be preserved, blending the city’s past with its future. The office-to-residential conversion project not only seeks to alleviate housing pressures but also to encourage a vibrant community in Boston as it emerges from the effects of the COVID-19 pandemic.

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Mayor Wu Proposes Zoning Changes to Revitalize Boston
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Boston’s Office Buildings Converted into Residential Units

Additional Resources

• Boston Herald
• Wikipedia: Office to Residential Conversion
• MassLive
• Google Search: Boston office to residential conversion
• Boston.com
• Google Scholar: Boston housing conversion projects
• Bisnow
• Encyclopedia Britannica: Office Building Conversion to Residential
• Boston Globe
• Google News: Boston office to residential conversion