Largest U.S. Office-to-Resi Conversion Under Threat of Structural Collapse

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 Tuesday morning after reports of buckling support columns and sagging floors at the properties 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 steel support columns buckling and several upper floors sagging inside the 37-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. A 10-block stretch of Midtown was still blocked off as of Tuesday afternoon.

Reports of falling bricks and a compromised steel beam on the 21st floor identified by a safety manager brought emergency responders to the scene early this morning. Just hours later, floors 21 through 26 began to cave 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.”

In a press conference on Tuesday afternoon, Mayor Zohran Mamdani and other city officials said the building remains unstable and has continued to shift since the morning. Efforts to stabilize the building are underway, pending safety measures.

Since 2024, the former office buildings have been undergoing a conversion to host more than 1,600 apartments and add additional floors, making it the most significant office-to-residential conversion in the U.S. following SoMa, a 1,320-unit conversion project at 25 Water Street in Manhattan’s Financial District. The project is led by developer David Werner and Metro Loft, with Gensler as the architect. GACE Consulting Engineers has been listed as the project’s structural engineer. The firm did not immediately respond to a request for comment.

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.  

The new 30-story building at 219 East 42nd Street, previously just nine stories, was topped out eight months ago, according to a post on GACE’s LinkedIn page. Renovations at 235 East 42nd Street, where additional floors were also added, were ongoing.

Madison Realty Capital declined to comment. Gensler did not respond to a request for comment.

This is an ongoing story. Please check back for updates.

Emily Davis can be reached at edavis@commercialobserver.com.