The first half of the 2020s proved to be one of the busiest development periods for downtown Milwaukee in recent memory.

Since 2020, the city has added two new office buildings, multiple hotels, three of the tallest residential towers in the state, several mid-rise apartment buildings, and a massive expansion of the Baird Center convention complex.

Until a few months ago, expectations for continued downtown growth were buoyed by The Edison, Neutral’s apartment tower which aimed to add another peak to the city’s skyline, as well as the Madison-based firm’s redevelopment proposal for the Marcus Performing Arts Center parking structure site. Both projects were viewed by many as two catalytic projects for downtown, but neither are moving forward.

By recent standards, 2026 could be a quieter year for downtown Milwaukee development. Office building conversions and mid-rise apartment projects are set to headline what’s shaping up to be a more measured year, as developers contend with high construction costs, tighter financing and a continued reliance on public support to make projects viable.

Chief among those projects is the conversion of 100 East. The 35-story building at 100 E. Wisconsin Ave. has been steadily vacating since 2020, as office tenants migrated to newer buildings. After the property fell into foreclosure, it was acquired in 2023 by a development team led by Milwaukee-based Klein Development and Mo’s Restaurants owner John Vassallo, who plan to convert the tower into apartments.

The $165 million redevelopment is planned to include 373 apartment units, 75 of which would be designated as workforce housing for tenants earning up to 100% of the Milwaukee area median income. The city has approved $14.4 million in tax incremental financing to support the project, which is expected to begin construction this year.

Milwaukee-based J. Jeffers & Co. also has two apartment projects that its CEO, Josh Jeffers, has said could break ground in 2026.

The firm is planning to convert the historic Mitchell Building at 207 E. Michigan St., long used as office space, into apartments. The project would include 40 studio units affordable to households earning up to 80% AMI, 15 one-bedroom units at 90% AMI, and five market-rate units. J. Jeffers & Co. would also relocate its office to a space on the building’s first floor. The project is being supported by $1.9 million in TIF.

Jeffers’ second project, Field House Flats, is planned for a prominent full city block in Deer District bordered by West Juneau and West McKinley streets and North Phillips Avenue and North King Drive. The $115 million development would include 269 apartments, with the majority reserved for households earning between 50% and 80% of area median income. The project also includes 40,000 square feet of commercial space, with 27,000 square feet pre-leased to Milwaukee Area Technical College for fitness, health and athletic programs. The city will contribute about $6.8 million in TIF support to the project.

Jeffers has said he anticipates both projects beginning construction in 2026.

Together, the 100 East, Mitchell Building and Field House Flats projects are receiving a combined $23.1 million in city support through Milwaukee’s workforce housing TIF program unveiled last year. The 100 East and Mitchell Building conversions are also supported by historic tax credits.

“It’s been a challenging market and will continue to be so,” said Chris Mambu Rasch, executive director of Building Advantage. “Without tax credits or TIF, most projects aren’t flying these days.”

Mambu Rasch said office-to-residential conversions are driving much of the downtown development activity right now, as ground-up projects have become harder to finance. He noted that many developers are closely watching interest rates, which are expected to ease somewhat this year, before making moves on projects they have in the works.

While development has slowed compared with the past several years, multiple sources noted that downtown is coming off an unusually active period.

“I think that was unusual for us to see as much activity in the central business district as we did in as short of a window as we did,” Mambu Rasch said.

Deer District remains an area of downtown where new construction is consistently moving forward. In addition to Jeffers’ planned apartment project, Middleton-based North Central Group Hospitality is planning a 156-room Moxy Hotel at 430 W. State St., which is expected to begin construction this year as planned, according to chief development officer Andy Inman.

Next door, Landmark Credit Union Live – the FPC Live-backed music venue – is nearing completion and is expected to open in February, and it’s poised to be the only significant downtown-area construction project to wrap up in 2026.

In 2023, downtown welcomed projects such as Nova apartments and The Trade hotel. The following year brought the long-awaited opening of The Couture, the completion of 333 Water and the expansion of the Baird Center. In 2025, the Milwaukee Repertory Theater reconstruction added another major cultural investment to the city’s core and the Evoni apartment building opened in the Third Ward.

That said, two of the city’s largest projects remain under construction, with anticipated 2027 completions. Just outside of Deer District, work continues on the $240 million new Milwaukee Public Museum, while Northwestern Mutual has moved to interior work on its $500 million reconstruction of its north office building.

The Foxtown Landing project, a three-story, 28,000-square-foot dog-friendly brewery, distillery and restaurant at 420 N. Plankinton Ave., is also under construction with an expected 2027 opening.

Rendering of the Field House Flats, planned in Deer District.

Catalytic projects on the horizon

Several large developments remain on the horizon.

The roughly $500 million project to replace the Safety Building at Milwaukee County’s courthouse campus continues to gain momentum, aiming to begin construction work in the coming years. Milwaukee County has also released a vision for redeveloping the current Milwaukee Public Museum site once the museum relocates later this year, envisioning two apartment towers with up to 555 units, though there’s no proposal to bring the project to fruition yet.

Additionally, the city is seeking a new development partner for the Marcus Center parking structure site after Neutral’s ambitious $700 million proposal was dropped late last year. In November, the Department of City Development said it was engaged with “several” developers to redevelop the site and hoped to select one within six months. The city declined to provide an update.

Meanwhile, the Wisconsin Center District is expected to soon release the findings of a study that is looking at the highest and best use of the Panther Arena and Miller High Life Theatre sites, which could include a recommendation to pursue redevelopment. The study is also assessing what other sites around the Baird Center could be suitable for a convention center hotel.

Multiple developers noted that Milwaukee’s suburbs are presenting opportunities that are keeping the industry busy, such as mall redevelopments and suburban brownfield sites, but that downtown Milwaukee’s fundamentals remain strong.

“Does it feel slower? Yes,” Mambu Rasch said. “Is it something to worry about? I don’t think so.”