ALBUQUERQUE — A long-vacant downtown office tower once home to a major financial institution is slated for redevelopment into low-income housing, a move city officials say is aimed at easing Albuquerque’s housing shortage while reviving an underused property in the city center.
The former Wells Fargo Building, located near Central Avenue, is expected to be converted into income-restricted apartments under a redevelopment plan approved by city officials. The project would repurpose the aging high-rise into residential units for households earning below established area median income limits.
City officials have described the conversion as part of a broader strategy to address housing affordability while responding to reduced demand for traditional office space downtown. Adaptive reuse projects, officials say, can deliver housing more quickly than ground-up construction and help stabilize properties that have sat vacant for years.
The redevelopment is expected to rely on a combination of public and private financing, including incentives commonly used in affordable housing projects. These financing mechanisms are often cited by city leaders as necessary to offset the high costs of renovating older commercial buildings for residential use.
The proposal has also raised concerns among some downtown stakeholders and residents. Critics have argued in public forums that downtown Albuquerque already contains a significant concentration of subsidized housing and social service providers, and they question whether adding more income-restricted units will support long-term economic revitalization.
Some business owners and neighborhood advocates have expressed concerns that additional low-income housing, without corresponding investments in public safety, infrastructure, and enforcement, could make it more difficult to attract private investment and new employers to the area.
Others have noted that income-restricted housing developments typically serve working residents rather than people experiencing chronic homelessness, raising questions about how much the project will affect the visible homelessness challenges downtown.
City officials maintain that increasing residential density downtown can support local businesses, improve building occupancy, and contribute to long-term stability. They have emphasized that housing development is only one component of broader downtown planning efforts.
The building has remained largely vacant for several years, reflecting shifts in office usage as businesses relocated or downsized. Its redevelopment represents one of the more prominent efforts to convert aging commercial space into residential housing in Albuquerque.
Final construction timelines have not yet been announced. City officials say the project will move forward once financing is finalized and remaining approvals are secured.
As Albuquerque debates how to balance housing affordability, public safety and economic development, the future of the Wells Fargo Building is likely to remain central to discussions about downtown’s direction.
