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KC Heritage Towers to Be Converted into Apartments

Kansas City is witnessing a transformative shift in urban redevelopment, as a local developer plans to convert two historic office towers into mixed-income apartments, injecting new life into the city’s North Loop. Arnold Development Group has announced a $76.6 million adaptive reuse project that aims to reimagine the vacant Poindexter and Centennial buildings as vibrant residential hubs.

The former DST Systems Inc. buildings, located near Ninth and Central streets, have stood vacant for years, remnants of a bygone commercial era. Now, under Arnold Development Group’s vision, these structures will offer up to 192 residential units in the project’s first phase. The developer, known for sustainable and mixed-use projects, plans to reserve 20 percent of the apartments for affordable housing, targeted at households earning up to 60 percent of the area’s median income.

“The North Loop is one of the last major gaps in Kansas City’s urban fabric,” said a representative from the developer. “These historic buildings have character and authenticity, elements modern construction often lacks. Their adaptive reuse can help shape a more connected and inclusive downtown.”Built in 1902, the Poindexter Building originally served as a warehouse and is listed on the National Register of Historic Places. Adjacent to it, the Centennial Building—a mid-century office block from 1950—adds further architectural significance. Combined, the buildings offer over 490,000 square feet of space across 11 floors, supported by more than 1,500 parking spaces in their respective garages.

Arnold Development has already secured preliminary support from the city’s Planned Industrial Expansion Authority (PIEA), whose designation opens eligibility for tax abatements and sales tax exemptions. The buildings have been declared an “undeveloped industrial area” due to prolonged vacancy, obsolete infrastructure, and safety concerns, strengthening the case for their redevelopment.The plan is not limited to housing. The upper floors of the Centennial Building may retain office space, depending on market demand, while the Poindexter will feature resident-focused amenities like a clubroom, fitness centre, and co-working spaces. The mixed-use design intends to promote walkability and revitalise the North Loop into a liveable, engaging urban precinct.

While financial closure is expected by September, the conversion will span up to three years. Arnold Development is also seeking historic tax credits and support from the city’s Housing Trust Fund to bolster the project’s feasibility. If successful, this redevelopment could set a precedent for revitalising ageing urban infrastructure through sustainable and inclusive design.Future phases may extend the transformation to surrounding DST-owned surface lots, unlocking the potential for nearly 700 housing units and 62,000 square feet of retail space. The developer has committed to energy-efficient standards for all new construction, aiming to align with Passive House principles and enhance long-term sustainability.

Kansas City’s investment in heritage-driven redevelopment signals a broader shift toward climate-resilient, equitable urban planning. This initiative not only preserves architectural legacy but also addresses the city’s growing housing needs—creating a blueprint for adaptive reuse across America’s historic downtowns.

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KC Heritage Towers to Be Converted into Apartments
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