Emma Willard School retained Cresa Albany to determine the viability of an adaptive reuse of several of their campus buildings. The first was a single structure containing three entities: the Maguire Art Wing, Dietel Library, and Snell Music Wing. The second was the Tangeman faculty apartment complex. Cresa Albany assisted the client in exploring the practical and financial implications of various occupancy options.
Cresa Albany’s initial effort was to conduct rental studies of both commercial and residential lease rates in the Troy market area. Next, commercial measurement standards were applied to determine the accurate rentable square footage of each subject building.
Creasa Albany created three financial pro formas, building on the initial analysis. Pro forma One examined the potential redevelopment of the buildings for leasing to an outside third party. Pro forma Two explored renovating the building complex for the continued use by the client. Pro forma Three assessed demolishing the buildings and investing the unspent redevelopment funds into the client’s alternative investment vehicle at their existing rate of return, calculated as an average over several prior years.
Based on the results of the pro forma studies, Cresa Albany ultimately advised that an adaptive reuse of the properties would not be financially viable at that time. Alternative strategies or a change in the client’s priorities, needs, or physical requirements could prove the work financially feasible at another time.