Melbourne's commercial vacancy problem may also hold the answer to its housing shortage. Plus Studio has developed AdaptAbility, a data-led platform that uses AI-assisted analysis to identify underutilised commercial buildings across Melbourne's CBD with genuine potential for conversion to residential and mixed-use purposes.

Drawing on existing datasets, AI-assisted analysis and Plus Studio's 28-plus years of design, planning and adaptive reuse experience across 11 studios in Australia and New Zealand, AdaptAbility helps developers and local government identify which commercial-to-residential opportunities warrant further investigation before committing to the cost of detailed due diligence. The tool supports a more targeted approach to urban renewal at a time when Melbourne's CBD office vacancy remains among the highest in the country.

Policy frameworks are already in place to support the shift. The City of Melbourne's Retrofit Melbourne Plan signals a clear direction toward reuse, yet too few identified opportunities are progressing from possibility to delivery. AdaptAbility is designed to close that gap by providing an earlier, more efficient intelligence layer.

The platform assesses buildings across the office, retail, industrial and hospitality sectors, drawing on inputs such as floorplate depth, servicing capacity, planning controls, access to transport and proximity to amenity. These variables are tested against multiple residential typologies to evaluate not only whether a building can be adapted, but what kind of residential outcome it is best suited to support — addressing both the feasibility question and the design outcome question in a single analysis.

AdaptAbility data tool by Plus Studio, identifying adaptive reuse candidates across Melbourne CBD

"Melbourne does not have a shortage of opportunity. It has a challenge in knowing where that opportunity sits, and how to unlock it," says Ian Briggs, Director, Plus Studio. "AdaptAbility gives us a faster, more informed starting point, but the real value comes from the architectural thinking that follows. A tool can identify potential, but it takes experience, collaboration and design judgement to understand whether a building can genuinely become housing, how it should perform, and what it can contribute back to the city."

The environmental case for adaptive reuse reinforces the urgency. By retaining and reworking existing building fabric, conversion projects can reduce material waste and embodied carbon while supporting new uses within established urban locations. For commercial buildings that are no longer performing as intended, adaptive reuse creates an opportunity to support new housing, street-level activity and more efficient use of existing infrastructure — outcomes that align with both sustainability goals and the practical demands of a constrained housing market.

The scale of Melbourne's adaptive reuse potential appears to be larger than previously recognised. Existing research has identified approximately 85 to 90 buildings in Melbourne's CBD as suitable for conversion. AdaptAbility's analysis points to a significantly larger pool of candidates, suggesting the city's opportunity has been materially underestimated.

AdaptAbility is already in active use, supporting Plus Studio's work with private developers and informing discussions with the City of Melbourne. For developers, the tool offers an earlier and more efficient read on which assets warrant further investigation before committing to full due diligence. For councils and planning authorities, it provides a clearer picture of where underutilised buildings could contribute to housing supply, street activation and long-term city resilience.

"As demand for adaptive reuse grows, the next step is not just identifying more buildings. It is bringing the right people into the conversation earlier, so viable opportunities can move from data to design, and from design to delivery," adds Briggs.

Swann House on Flinders Lane, Melbourne — a Plus Studio adaptive reuse project for ST Real Estate

Plus Studio's track record in adaptive reuse in Melbourne includes Swann House and Invicta House on Flinders Lane, delivered for ST Real Estate, and 623 Collins Street for Sterling Global – projects that reflect the practice's longstanding commitment to finding productive new lives for the city's existing building stock. AdaptAbility represents the next stage of that commitment, extending the practice's expertise into a scalable, data-driven tool capable of operating at a city-wide scale.

Main image: Invicta House, Flinders Lane, Melbourne, Victoria. Photo: Jaime Diaz-Berrio / Plus Studio. AdaptAbility tool visual: supplied / Plus Studio. Swann House: supplied / Plus Studio.

Architecture & Design Team

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