HFZ Capital Group is forging ahead on the conversion of a 122,000-square-foot office building to residential condominiums.

The locally based owner recently acquired the 10-story building at 11 Beach St. HFZ Capital and Joy Construction are providing oversight for the project, which also includes New Valley. Susan de Franca, president and CEO of Douglas Elliman Development Marketing, and her team will handle sales and marketing.

"There is a strong demand in the market for larger, loft style apartments within TriBeCa," said said Ziel Feldman, founder and managing principal of Manhattan-based HFZ Capital. "We focused on this highly desirable area of the city and recognized the potential of this historic property."

The building sits on an L-shaped lot, with 81 feet of Beach Street frontage, 52 feet along Varick Street and 101 feet along St. John's Lane. The pre-development process for the conversion is underway.