Downtown Crossing Office Building to Become 250+ Apartments

A significant transformation is planned for a largely vacant office building in Boston’s Downtown Crossing. Synergy, a local developer, has filed plans to convert the 11-story building at 294 Washington Street into over 250 apartments, with retail space remaining on the ground floor.

Revitalizing Downtown Boston

The proposed project reflects a broader trend of repurposing office spaces in response to shifting work patterns and a high downtown office vacancy rate, currently around 20%. According to a statement from Synergy CEO Dave Greaney, “Office to Residential conversions — putting homes close to jobs — is just good policy.” He further explained that increasing residents downtown will help stabilize the office market and support local businesses.

Did You Know? The building slated for conversion, known as the Old South Building, was constructed between 1902 and 1904.

A City-Supported Initiative

The project is being facilitated by Boston’s Office-to-Residential Conversion Program, which Mayor Michelle Wu extended in mid-December after a successful launch in October 2023. The program aims to address the high office vacancy rate by incentivizing developers to convert unused office space into housing. To date, 22 applications have been received, proposing 1.2 million square feet of converted space and 1,517 new apartments, including 284 income-restricted units.

The program offers developers benefits such as a 29-year, 75% residential abatement, as-of-right zoning in the downtown area, and a streamlined permitting process. Developers must commit to obtaining a building permit and starting construction by the end of 2027 to qualify.

Largest Conversion to Date

The planned conversion at 294 Washington Street is set to be the largest office-to-housing project in the city, encompassing 202,000 square feet of residential space. This surpasses other projects, including one at 50 Congress Street, which will have 171 units in 193,000 square feet, and another at 31 Milk Street, currently under construction with 110 units in 95,000 square feet.

Expert Insight: The city’s proactive approach to converting vacant office space demonstrates a strategic response to evolving urban needs, potentially mitigating economic challenges associated with decreased office occupancy and bolstering the downtown residential population.

Boston’s Chief of Planning, Kairos Shen, stated that the program has been “extremely successful in removing vacant office space from the market and breathing new life into older, pre-war office buildings.” The city hopes to attract another thousand units through the extended program.

Frequently Asked Questions

What is the status of the Office-to-Residential Conversion Program?

The program, launched in October 2023, has received 22 applications and been extended through the end of the year. Applicants must begin construction by the end of 2027 to benefit from the program’s incentives.

How many apartments are planned for the 294 Washington Street project?

The project plans to create over 255 apartments, making it the largest office-to-housing conversion in Boston to date.

Does the building have parking?

No, the building at 294 Washington Street, which is next door to the Old South Meeting House, does not have parking.

As more office spaces face vacancies, will other developers follow suit and pursue similar conversions in the downtown area?

Downtown Crossing Office Building to Become 250+ Apartments | Boston News