Chesapeake empire marches on

[G.Walker]

The interior floor plan is to be completely reworked.

And that building is 6 floors and over 250,000 SF. It could easily accommodate 800 people.

I would bet they will have a rotating hybrid work schedule as most companies due now.

We don't have enough room to house everyone in office at my company, so we have alternating hybrid shifts. I share an office with another coworker, and the days she works in the office, I work from home, and vice versa....it works.

[BoulderSooner]

I would bet they will have a rotating hybrid work schedule as most companies due now.

.

lots are moving to fully back in the office ... so i think this is unlikely

[Pete]

AND as I've stated at least five times, there will be enough room in that building for 800 and there will probably only be around 650 OKC employees at the most.

[Rover]

Could be. But if not with the normal space between each ceiling and the floor above it wouldn't be a huge deal. Making HVAC zone for each unit would be more difficult but can be done.

Depends on the system type. What kind of HVAC is there? Can’t make blanket statements as there are many system types. Plus, given the age of the buildings, system retrofits at time of retrofit would likely be normal anyway. Lots of systems can be used.

Plumbing and sewer can be tough.

[aDark]

AND as I've stated at least five times, there will be enough room in that building for 800 and there will probably only be around 650 OKC employees at the most.

If 650 total, would this mean OKC is net gaining or net losing in terms of total people working here?

[Pete]

If 650 total, would this mean OKC is net gaining or net losing in terms of total people working here?

Not much net change is expected by the time the dust settles.

[jn1780]

Companies are really pushing AI and automation. It even has people in IT sweating a little bit.

[EBAH]

Companies are really pushing AI and automation. It even has people in IT sweating a little bit.

As someone that runs and designs products for an industrial automation software company, this does not upset me.

But yeah, what's really amazing is that the oil and gas business used to have this much labor need. Even our large clients these days have very short payrolls. Automate / Contract / Outsource the modern E&P has a fraction of the permanent salaried staff of a major independent E&P from 10, 15 years ago, it really has been a truly transformed industry. Not bad for the industry as a whole, but definitely not great for the market of big time glitzy office real estate in okc.

[PhiAlpha]

As someone that runs and designs products for an industrial automation software company, this does not upset me.

But yeah, what's really amazing is that the oil and gas business used to have this much labor need. Even our large clients these days have very short payrolls. Automate / Contract / Outsource the modern E&P has a fraction of the permanent salaried staff of a major independent E&P from 10, 15 years ago, it really has been a truly transformed industry. Not bad for the industry as a whole, but definitely not great for the market of big time glitzy office real estate in okc.

I would imagine that type of efficiency enhancment is going to be a problem for the office market accross the board. Pretty nuts how much has changed in a relatively short period of time.

[rte66man]

Service Oklahoma is leasing Building 4 and accompanying garage space.

[gopokes88]

I always thought it would be a natural fit for OSU-OKC. Street car expansion between the two after the stadium maps in the 2030s would add some connectivity too.

[The]

I always thought it would be a natural fit for OSU-OKC. Street car expansion between the two after the stadium maps in the 2030s would add some connectivity too.

That would be incredible, but I doubt they’re leaving their current digs. Especially with the new hospital coming.

[scottk]

I always thought it would be a natural fit for OSU-OKC. Street car expansion between the two after the stadium maps in the 2030s would add some connectivity too.

Are you suggesting move the entire campus from Portland or open an extension of the extension campus? The two things that come to mind that are unique to the Portland campus are the Police (driving course) and Fire (rescue tower) training facilities.

With the number of buildings, parking, and athletic field off of Western, a college or school could fit somewhere on that campus?

[bison34]

This would be an amazing mixed-use area. Some retail with residential above. It would be an expensive conversion, I'm sure. But the bones are there, and the buildings are fine!

Or medical campus.

[gopokes88]

Are you suggesting move the entire campus from Portland or open an extension of the extension campus? The two things that come to mind that are unique to the Portland campus are the Police (driving course) and Fire (rescue tower) training facilities.

With the number of buildings, parking, and athletic field off of Western, a college or school could fit somewhere on that campus?

I meant OCU, as an extension. It's monday

[Teo9969]

I meant OCU, as an extension. It's monday

I don't think OCU needs more space.

Is CHK selling these properties or leasing them for the time being?

[bombermwc]

My bet is that they end up selling off the old cottage buildings and convert that entire block into residential. There's no market for those little structures of office space, in that area, for that amount of it. There are other options nearby.

Wonder what the parking spot per sq ft ratio is though. It depends on how much is in each unit, if they do convert, on if they have to figure out how to add more parking in there.

The good news for this is that there is residential demand there. It would develop in phases as they go building by building, but it could work. Honestly, i don't see how you get anyone else in there to eat up all that space otherwise. Office space is not doing well across the US post COVID and the return to work push has been back-firing on those that have been forcing it. In a few years, the bottom is going to fall out on those leases that were signed just before COVID too. What is happening though, is people are starting to move back into the cities. Here's a prime location for that living. They dont have to be boring apartments. They can be condos or large apartments. Every apartment doesn't have to be a 2/3 bed boring block. Get creative with it! Make a 4 bed HOME out of it. Hell, give someone the entire floor and a 3k ft home out of it.

[Rover]

Has anyone on here actually seen or have a floor plan for any of the buildings they want to convert? Would all the non load bearing walls have to be demo’d and moved to get a suitable floor plan for high dollar residential sales? Is there an existing plumbing and sewer infrastructure? HVAC would have to be totally redone. Parking?

Everyone assumes residential conversion has a financial payback. It can be very costly, even more than ground up new. Office to residential isn’t easy or cheap. Looking at the outside of a building reveals nothing about the challenges.

[warreng88]

Has anyone on here actually seen or have a floor plan for any of the buildings they want to convert? Would all the non load bearing walls have to be demo’d and moved to get a suitable floor plan for high dollar residential sales? Is there an existing plumbing and sewer infrastructure? HVAC would have to be totally redone. Parking?

Everyone assumes residential conversion has a financial payback. It can be very costly, even more than ground up new. Office to residential isn’t easy or cheap. Looking at the outside of a building reveals nothing about the challenges.

Looking at the property on the SE/C of 63rd and Western (arguably the most prominent) on county assessor, it is just over 60,000 square feet which doesn't include a 15,500 sf basement. I have been in the basement of that building and it is nice, but I would guess that would be more used for storage, utilities, etc. I don't think some people realize how big those buildings actually are. For comparison, the Harlow conversion downtown was purchased for $12.5 million (combined) and will undergo a $60-$70 million renovation. It is just over 200,000 sf.

The entire CHK campus bound by 63rd, Classen and Western is around 650,000 sf (includes gym, but excludes any parking structures). I would assume the process would be to purchase one building, renovate to get it leased out, then move on to the others. Either way, the people doing it would need deep pockets. From a locality standpoint, maybe Tannebaum, Humphreys or Burnett would make the most sense. I am sure there are more out there, but those are the ones I can think of off the top of my head.

[Rover]

Looking at the property on the SE/C of 63rd and Western (arguably the most prominent) on county assessor, it is just over 60,000 square feet which doesn't include a 15,500 sf basement. I have been in the basement of that building and it is nice, but I would guess that would be more used for storage, utilities, etc. I don't think some people realize how big those buildings actually are. For comparison, the Harlow conversion downtown was purchased for $12.5 million (combined) and will undergo a $60-$70 million renovation. It is just over 200,000 sf.

The entire CHK campus bound by 63rd, Classen and Western is around 650,000 sf (includes gym, but excludes any parking structures). I would assume the process would be to purchase one building, renovate to get it leased out, then move on to the others. Either way, the people doing it would need deep pockets. From a locality standpoint, maybe Tannebaum, Humphreys or Burnett would make the most sense. I am sure there are more out there, but those are the ones I can think of off the top of my head.

I think it would have to be sold to a developer at a very low price to have any chance of success. It likely would be cheaper and with fewer roadblocks to build from ground up. This isn't a slam dunk.

[warreng88]

I think it would have to be sold to a developer at a very low price to have any chance of success. It likely would be cheaper and with fewer roadblocks to build from ground up. This isn't a slam dunk.

100%. I worked in some CHK offices back in 2011-2013. They are small. Probably 12 x 10 or so. Of course, the manager offices are larger, but I would think it would take a full gut of the offices, then run new plumbing and electrical to get it to where you can build out for apartments.

[jn1780]

I don't think anyone is making any assumptions about return on investment. If the demand is there the developer will make money. Developers are still turning historical buildings into residential. If there is no demand for commercial than eventually a developer can get the property for the right price.

[PhiAlpha]

I think it would have to be sold to a developer at a very low price to have any chance of success. It likely would be cheaper and with fewer roadblocks to build from ground up. This isn't a slam dunk.

It would seem that developers converting century old highrise buildings downtown would face a much steeper road to success, yet many are successful doing it, especially in Tulsa. CHK's buildings weren't stickbuilt, they were well constructed with modern roof heights and current building codes. I don't see why this would be any more difficult than some of those renovations that seemingly would require much more physical and financial creativity to complete.

[onthestrip]

I don't think anything is making any assumptions about return on investment. If the demand is there the developer will make money. Developers are still turning historical buildings into residential. If there is no demand for commercial than eventually a developer can get the property for the right price.

Not in OKC. The market, especially downtown, doesnt necessarily correct itself, you just go ask for TIF money.

Someone mentioned load bearing walls earlier. Being a commercial building, there shouldnt be any of those, just some columns that you can easily work around. Everything is costly these days but no reason you couldnt change these to housing. I do wonder about NIMBY pushback though if someone proposed several hundred apartment units.

[Bill Robertson]

Not in OKC. The market, especially downtown, doesnt necessarily correct itself, you just go ask for TIF money.

Someone mentioned load bearing walls earlier. Being a commercial building, there shouldnt be any of those, just some columns that you can easily work around. Everything is costly these days but no reason you couldnt change these to housing. I do wonder about NIMBY pushback though if someone proposed several hundred apartment units.

True. These buildings would be column and beam construction. Gutting the office spaces would be ripping out sheetrock and metal studs. Leaving 4 outside walls and some number of interior columns. In the grand scheme of remodeling really pretty simple.