Transforming Albuquerque: the Wells Fargo Tower’s New Life as Affordable Housing
Historic Sale Paves the Way for Urban Renewal
The iconic Wells Fargo tower, located at the intersection of Third Street and Lomas in downtown Albuquerque, has officially been sold, marking a pivotal moment in the city’s efforts to address the ongoing housing crisis. The sale, which closed on December 5, 2025, was finalized between local real estate firm Geltmore LLC and Lincoln Avenue Communities, a California-based developer specializing in affordable housing. This transaction sets the stage for an ambitious redevelopment project that promises to provide much-needed affordable housing options in the area.
Details of the Redevelopment Project
The redevelopment of the 13-story office building is projected to create around 100 workforce affordable housing units, consisting of one- and two-bedroom apartments. According to Rusty Snow, regional project partner for Lincoln, the apartments will be priced to accommodate a range of income levels: half will be reserved for households earning 70% or less of Albuquerque’s median income, while the other half will cater to those earning 50% or below.
A Community-Centric Design
In addition to residential units, the Lomas Tower Apartments will feature amenities designed to enhance community living, including resident community rooms and a fitness center on the second floor. The ground floor is set to include publicly accessible commercial, retail, and office spaces managed by Geltmore, which aims to foster economic activity in the downtown area.
Funding and Financial Considerations
The total cost of the redevelopment is estimated to be between $50 million and $65 million. The project has already secured a $2 million grant from the city’s Metropolitan Redevelopment Agency, pending a development agreement. Additionally, $10 million has been allocated from the state’s housing and homelessness initiative, part of a broader $120 million effort to tackle these pressing issues in New Mexico. The developers are also seeking project revenue bonds amounting to $35 million from the county, which are currently awaiting approval.
Challenges Ahead
As the project moves forward, the developers face significant challenges, particularly with asbestos remediation, which may exceed the initial costs of the building itself. Meeting the funding deadlines for a groundbreaking in summer 2026 is critical to ensuring the project stays on track.
Addressing Albuquerque’s Housing Crisis
Albuquerque is currently experiencing a significant shortage of affordable housing, with estimates indicating a need for between 13,000 and 28,000 additional units for low-income renters, as highlighted in a recent study by Root Policy Research. The transformation of the Wells Fargo tower into affordable housing is seen as a vital step towards meeting this demand and promoting urban density, as opposed to horizontal expansion, which is increasingly viewed as unsustainable.
Setting a Precedent for Future Developments
This project is not just a solution to a local housing problem; it also serves as a proof-of-concept for the conversion of vacant office spaces into residential properties. The success of the Wells Fargo redevelopment could inspire similar initiatives across New Mexico, particularly in the wake of rising office vacancies due to changing work patterns post-pandemic.
As Geltmore Vice President Adam Silverman noted, “We do need density in our town. There’s only so many places we can grow horizontally.” This project, if successful, could fundamentally reshape the downtown landscape and provide a model for future developments in the region.
