Largest U.S. Office-To-Resi Conversion Under Threat of Structural Collapse – Commercial Observer
The largest office-to-residential conversion project in the U.S. is facing a structural emergency.
Metro Loft and David Werner‘s conversion at the former Pfizer headquarters in Midtown halted abruptly on Tuesday morning preceding reports of buckling support columns and sagging floors at the property at 235 East 42nd Street and 219 East 42nd Street, local news outlets reported.
Construction workers evacuated the building this morning after emergency officials found two support columns buckling and several upper floors sagging inside the 33-story high-rise at 235 East 42nd Street. A large Fire Department of New York response is underway, with Second Avenue closed, and offices along East 42nd Street and adjacent buildings evacuated.
Reports of falling bricks on the block and a compromised steel beam identified by a safety manager first brought emergency responders to the scene early this morning. Just hours later, floors 21 through 26 had caved in, FDNY sources told Pix11.
“We are working closely with the Department of Buildings to understand the full scope of the situation,” a Metro Loft spokesperson said in a statement. “The safety of our workers and the public has always been, and remains, our top priority.”
Since 2024, the former office building had been undergoing a conversion to host more than 1,600 apartments, making it the most significant office-to-residential conversion in the U.S. The project is led by developer David Werner and Metro Loft, with Gensler as the architect.
The development partners secured full control of the ground lease for the Grand Central office building at 235 East 42nd Street in 2024, the same year it secured financing for the adjacent, nine-story 219 East 42nd property. Northwind Group provided $75 million of acquisition financing in August 2024, and Madison Realty Capital financed a $720 million construction loan for the project in May 2025.
Madison Realty Capital declined to comment.
This is an ongoing story, please check back for updates.
Emily Davis can be reached at edavis@commercialobserver.com.
