Turning Hospitals into Apartments: A Brilliant Strategy or a Costly Mistake? Everyone’s buzzing about adaptive reuse projects. First, it was office conversions. Now, it’s hospitals. The story always sounds great: prime real estate, historic tax credits, sustainable development. But here’s a thought—just because a building exists doesn’t mean it should be saved. Hospitals weren’t built for living; they were built for function. And that function doesn’t exactly translate into efficient, competitive apartments.