Conversions Are Reshaping New York’s Skyline — And Its Future

The closing of Vanbarton Group’s acquisition of 6 East 43rd Street, backed by a $300 million loan from Brookfield, is more than a transaction — it’s a marker of where New York City is heading.

Skyline Properties, alongside my colleagues Daniel Shirazi and Daniel Davidov, was proud to represent Vanbarton in the purchase from the Milstein family’s Emigrant Savings Bank for $135 million. With the financing in place, Vanbarton will now transform this 27-story, 400,000-square-foot Midtown tower into 441 apartments, including 111 affordable units.

Why This Deal Matters

This conversion would not have been possible a few short years ago. Built in 1968, 6 East 43rd Street fell outside the old 1961 cutoff that restricted office conversions. Thanks to the City Council’s approval of Mayor Eric Adams’ “City of Yes for Housing Opportunity”, buildings constructed prior to 1991 are now eligible — unlocking an entire generation of office stock for reuse.

Coupled with the newly enacted 467-m tax incentive, which grants up to a 90 percent property tax abatement for projects that dedicate 25 percent of units to affordable housing, the policy environment has created real momentum. Vanbarton is seizing that momentum — and 6 East 43rd Street is a prime example.

Part of a Larger Movement

This is not an isolated event. Over the past year alone, Vanbarton has also acquired 1011 First Avenue for conversion into 420 apartments and 77 Water Street for 600 units. These projects, alongside 6 East 43rd, highlight the scale of opportunity across Manhattan’s aging office inventory.

At Skyline Properties, we’ve seen this story play out repeatedly. Just recently, we put 101 Greenwich under contract for $105 million — another building soon to join the wave of adaptive reuse. Together, these projects signal a rebalancing of supply and demand: obsolete offices are being reborn as much-needed housing in the heart of the city.

Looking Ahead

Conversions are no longer just a niche strategy. They are fast becoming one of the most important tools for addressing New York City’s dual crises — too much outdated office space and too little housing. For investors, they unlock hidden value. For communities, they deliver homes, activity, and vitality where office towers once sat under-used.

As I reflect on the 6 East 43rd Street deal, one thing is clear: this is only the beginning. The policy winds, the capital, and the demand are aligned. The next generation of New York real estate will be defined not by demolition, but by reinvention.

At Skyline Properties, we’re proud to be at the forefront of that transformation.