Building Portfolio Value by Repurposing Underperforming Assets
Adaptive reuse is true creative destruction, a process that involves identifying an underperforming asset, doing often times drastic rehab work, and repositioning the finished property for a completely new use. Some of the most famous buildings across dozens of cities are adaptive reuse projects: the local craft brewery; the new loft apartments; the creative office space.
But there is more to adaptive reuse than just the high-profile projects. The process of identifying an appropriate property can be difficult, and the process of underwriting a new highest and best use can be even tougher. In this article, we dive into the world of property repurposing and explore: