The US has an empty office building problem. Here's what landlords are doing about it

>> AFTER DECADES OF BOOMING GROWTH, THE COMMERCIAL REAL ESTATE INDUSTRY HAS RUN INTO A ; a BRICK WALL. BUILDING VALUES ARE PLUMMETING,; a a a FURTHER VANESSA YURKEVICH IS HERE WITH MORE. >> Reporter: THERE'S STATUESQUE, VAST AND STAGGERING, AND THEY'RE EMPTY. SKYSCRAPERS AND OFFICE BUILDING; a ONCE STACKED HIGH WITH BUSINESSES ARE EXPERIENCING HIG; a a NEARLY 19%. 5.5% HIGHER THAN BEFORE THE ; a PANDEMIC. >>

I THINK IT'S A VERY UNIQUE MOMENT, NOTHING LIKE ANY ; a DISRUPTIVE MARKETPLACE THAT I'VE EXPERIENCED OVER THE PAST 40 YEARS. >> Reporter: THE PANDEMIC ; a EMPTIED OFFICES AROUND THE ; a COUNTRY TODAY THE NUMBER OF PEOPLE ; a a O AREAS, FORCING COMPANIES TO RETHINK PHYSICAL OFFICE SPACE. HALF OF THE BIGGEST GLOBAL COMPANIES SAY THEY'LL NEED LESS; a REAL ESTATE IN THE NEXT THREE

; a YEARS. LEAVING LANDLORDS WITH LOANS TO >> NO TENANT, YOU'RE NOT MAKING; a MONEY. WHAT DO YOU DO? >> THERE'S NO RECOUPING LOST ; a INCOME FOR DOWN TIME. >> Reporter: STEVEN DORELL RUNS; a THE LEASING AT SL GREEN, NEW ; a a RENT, THE COLLAPSING DEMAND FOR OFFICE SPACE MEANS THEIR TENANT VACANCY RATE SHOT UP FROM 3% ; a a a . HERE. >>

SL GREEN IS WORKING WITH BAC; a a LANDLORDS AT 332 BUILDINGS ; a ACROSS NEW YORK AND NEW JERSEY, WITH FILM AND TV COMPANIES. THIS EPISODE OF "LAW & ORDER" ; a a . E >> I THINK PEOPLE ARE STARTING ; a TO LOOK WHOLISTICALLY AT HOW ; a a >> Reporter: THIS YEAR SL GREEN SAYS IT WILL EARN $3 MILLION FROM FILM AND TV SHOOTS.

; a a . >> Reporter: EMPTY OFFICE ; a a a THIS PROJECT IN WASHINGTON, ; a . BUT THAT'S NOT AN EASY, QUICK FIX PROCESS. LESS THAN 1% OF APARTMENTS NATIONWIDE ARE CONVERTED FROM ; a COMMERCIAL PROPERTIES. AND ACROSS THE RIVER IN ARLINGTON, VIRGINIA, THE CITY I; a TRYING TO GET AHEAD OF ITS EMPTY OFFICE SPACE PROBLEM. 22%. >> I'M SITTING RIGHT TODAY IN ;

a a a . >> Reporter: THANKS TO NEW CITY ZONING LAWS, THAT'S NOW POSSIBLE. ALONG WITH SEVEN NEW TYPES OF ; a a ANIMAL BOARDING, HYDROPONIC ; a . JERSEY. THIS 22,000 SQUARE FOOT PICKLE ; a a a STRIP MALL. REGIONAL MALL VACANCY IS AT A ; a WERE THERE A LOT OF OPTIONS LIKE THIS ON THE MARKET? >> YEAH. I THINK WE HAD MORE OPPORTUNITY

THAN WE THOUGHT THERE WOULD BE >> Reporter: PICKLE BALL IS THE; a FASTEST GROWING SPORT IN ; a AMERICA. SO DOES THAT MEAN THAT THE SPORT NEEDS TO FIND PLACES TO PLAY ; a QUICKLY >> THE GREATEST THREAT TO THE ; a a . >> AND OBVIOUSLY PICKLE BALL IS; a A GREAT WAY TO DRAW PEOPLE INTO; a COMMERCIAL SPACES. THIS IS ALSO HAPPENING IN ;

a . a OPEN IN AN OLD SAKS FIFTH AVENUE. WE SPOKE TO LANDLORDS WHAT THEY FEEL LIKE WILL BRING BUSINESSES; a AND PEOPLE BACK INTO THE OFFICE; a . SO, THINGS LIKE OUTDOOR SPACE, ; a BETTER FOOD OPTIONS, BETTER ; a THINGS TO DO ON YOUR FREE ; a MOMENTS AT WORK. IT'S A TOUGH TIME FOR COMMERCIA; a REAL ESTATE. ALL THE BANKS ARE SAYING ;

a SOMETHING DIFFERENT. THESE ARE THE LENDERS, RIGHT? >> WHAT ARE THEY SAYING?; a >> SO YOU HAVE SOMEONE LIKE BAN; a OF AMERICA SAYING THAT THIS IS GOING TO BE THE WORST SITUATION; a SINCE THE FINANCIAL CRISIS.; a a THAT THIS IS GOING TO BE MANAGEABLE. YOU HAVE OTHER BANKS SAYING THA; a a WAIT AND SEE. RECESSION COULD OBVIOUSLY MAKE THIS WORSE. NO ONE IS REALLY

ON THE SAME PAGE RIGHT NOW ABOUT WHAT THIS IS GOING TO LOOK LIKE. BUT AT LEAST WHAT WE'RE SEEING ; a IN MAJOR CITIES, FOR EXAMPLE, ; a . YOU HAVE THE OFFICES LEAVING. YOU HAVE THE RETAIL LEAVING AND FEWER PEOPLE IN THOSE CITIES