Why You Should Care About Downtown Office Buildings Losing Value

The move to remote work has created a self-reinforcing phenomenon of empty downtowns and sluggish recovery. It has also led to office building depreciation. A group of New York economists are warning that this could spell disaster. The economic activity that office workers fuel, and the tax revenue their activities yield, are essential to the city’s budget. But cutting services may drive out even more workers, and the city could get caught in a “doom loop.” Arpit Gupta of the NYU Stern School of Business explains why it’s worse here than on the East Coast, and what might help steer us clear of the death spiral. | Unlimited Chronicle access: sfchronicle.com/pod Fixing Our City is part of the San Francisco Chronicle’s SFNext Project Got a tip, question, comment? Email us at [email protected] Learn more about your ad choices. Visit megaphone.fm/adchoices