These liabilities will, for the most part, eventually end up on the Federal Reserve’s balance sheet
ie) if the crisis becomes significant or “systemic,” banks, especially the large money-center ones, will be bailed out.
There have been several former office buildings in downtown Manchester, NH that have been converted to apartments.
Here is an example owned by a major apartment renting company in NH & MA called Brady Sullivan. When this building was originally constructed it was the tallest in the city. The apartments are not cheap.
https://www.zillow.com/apartments/manchester-nh/the-residence-at-1000-elm/96T6r2/
This is not the first office building in Manchester converted to apartments in the last five years. The Citizens Bank building was done about four years ago.