The Committee for Urban Planning and Building Regulations of Munich City Council provisionally approved the resolution to establish a central conversion agency titled 'Office to Residential'. This initiative responds to the strained housing market, a projected ten percent vacancy rate for office properties in the first quarter of 2026, and the necessity for more sustainable resource utilisation. The agency is intended to promote the systematic activation and conversion of existing spaces.
As part of this strategic alignment, Mayor Dominik Krause, immediately after taking office, instructed the Department for Urban Planning and Building Regulations to develop innovative solutions for the repurposing of vacant office properties and to consolidate the relevant tasks within the new conversion agency. Mayor Krause emphasised that the conversion of empty offices into homes is an important contribution to alleviating the housing market and to the sustainable use of existing resources, with the conversion agency acting as the driving force behind this development.
City Planning Director Professor Dr. (Univ. Florenz) Elisabeth Merk underscored the significance of the City Council's decision as a building block for a forward-looking strategy that positions Munich as a sustainable and conversion-oriented city. She expressed her expectation regarding initial pilot projects and dynamic further development. The issue of repurposing is gaining importance nationwide; the Federal Government has launched the 'Commercial to Residential' funding programme, and the Free State of Bavaria supports the 'Vacancy now RESIDENTIAL' model project.
The ifo Institute Munich estimates in its study 'Home Office and the Future of Offices' a theoretical, building-law potential of approximately 60,000 homes in Germany's top 7 cities. The Munich conversion agency will specifically identify the realistic potential for the city of Munich. Commercial areas will also be considered, as in suitable cases, residential use can be enabled through appropriate exemptions, supported by the 'Construction Turbo'.
The tasks of the conversion agency include actively approaching owners of vacant office properties, supporting conversion projects from conception to realisation, and advising on funding opportunities. Furthermore, the agency will foster exchange between private and municipal stakeholders and establish a network of experts, academics, and civil society. A key focus will be on temporary repurposing for 'young living', especially for apprentices, students, and young professionals. The aim is to activate five pilot projects within the current year.
Interested owners of vacant office properties are encouraged to submit their considerations directly to the conversion agency. The establishment of the agency is an integral part of a comprehensive strategy by the Department for Urban Planning and Building Regulations, which aims to address the challenges of the housing market, climate change, and resource scarcity. Already in April 2025, a specialist event titled 'Munich Becomes a Conversion City' took place, where opportunities in handling existing spaces were intensively discussed. In the second half of 2026, the City Council will address the 'Munich Conversion Strategy'. The current establishment of the conversion agency marks the beginning of this comprehensive initiative.
