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Deciding against condo conversions

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The Chetrit Group is not the only city developer abandoning plans to turn office space into condominiums. The Hakimian Organization has also decided against converting the 530,00-square-foot 636 11th Avenue into condos; Macklowe Properties changed course on its condo plans for 510 Madison Avenue; and a partnership between Madison Equities and Boston Properties to build on a parcel of land between 54th and 55th streets will now call for an 850,00-square-foot office building rather than a residential development, as was originally planned. Real estate experts say retaining or developing office space poses much less financial risk to investors than developing pricey high-end condos. more [NYT]

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