Some of Wall Street's most notable takeovers these days involve office buildings being converted to residential space.

Battery Park City and many developments east of City Hall have long been home to residential properties. But the marquee addresses on Wall Street itself have been more often homes to brokerage firms, insurance companies and banks rather than homes for lawyers, entrepreneurs -- and even models.

"We never initially thought of it as a place to live," said Kerry Morgan, 18, who just moved to the city from Buffalo to work as a model. But after looking "everywhere" in the city with her roommate, including the East Village and Stuyvesant Town, she and her roommate settled on The Crest at 63 Wall St.

"For the money, you get more than you could at other places," Morgan said of her one-bedroom that she's sharing for $2,525 a month.

Now, kitchen appliances are taking over where trading floors once stood. Boardrooms have given way to pool halls. And bank vaults have been changed over to bicycle-storage sheds.

Sure, there still may be psychological drawbacks to making your home on a storied street that is the nexus of American capitalism. But residents say they hardly notice the near-lockdown security barricades near the neighboring New York Stock Exchange or that the nearest full-scale grocery store is five to seven blocks away.

A catchy address

And the cachet of "living on Wall Street" certainly impresses family and friends.

"People think I live at the Exchange," joked Jose Medina, 22, who works for an investment bank in Midtown and shares with three friends a three-bedroom converted into a four-bedroom for $4,220 a month at 45 Wall St. "It has a nice aura to it."

Timia Flanagan, 32, an attorney who lives downtown with her husband, Brian, said restaurants do close earlier and grocery stores are farther away than in other neighborhoods. But the "apartments were bigger" downtown.

And residents find their own way around these issues. "Fresh Direct makes it easier," said Monica Shaw, 33, referring to the online grocery-delivery service. And she says she would definitely be paying a lot more for amenities such as a 24-hour doorman and wireless Internet access in the common room if she lived on the trendy Upper West Side.

"This was the first place I looked at and I really liked it," said Shaw, an attorney who commutes 45 minutes to Secaucus, N.J., every day.

The reason for the transformation: economics. Only about one-third of the available downtown space is considered "class A," or top-quality, commercial space. The class B and C office space has older heating systems, lower ceilings and less space per floor compared with newer office space. Therefore, many landlords are finding it hard to even cover their costs for the lower-end office space, said M. Myers Mermel, chief executive officer of TenantWise Inc., a real-estate investment firm.

But the changeover to residential should help revitalize downtown, he said.

"It takes these archaic office buildings off the market," Mermel said.

Those who own commercial buildings on the Street also applaud the transformation because residents will attract more services, shops and transportation.

Changing the neighborhood

"It's going to only enhance and improve the commercial population that's there," said Kent Swig, principal in Swig Burris Equities, which owns the office buildings 44 and 48 Wall St.

The new construction hasn't been without growing pains. For instance, the tenants of 45 Wall St. were kicked out in early 2001 after the city decided to take the building over to help expand the New York Stock Exchange. But when that deal fell through after the terrorist attacks, the building reopened in early 2003 for rentals again. Now, it's 99 percent full, said Charles Singer, director of market research for Rockrose Development Corp.

It's not just bankers and brokers seeing Wall Street as a destination neighborhood. Only about 25 percent of the residents in 63 Wall St. are in the financial industry, according to Citi Habitats, the building's exclusive agent.

Going for the gold

Some of the opulence of the new buildings is astounding. The Crest at 63 Wall St. is converting its second-floor space, where rows of bank-teller windows once stood, into a grand lounge for residents that will include games, a pool table and a 25-seat movie screening room. The units have marble baths with custom-made modern fixtures.

The residences at 45 Wall have, among other things, several private offices and conference tables for business use by tenants.

The condominium development at 23 Wall St. that was at one time a monument to financier J.P. Morgan Jr. is being re-christened "Downtown by Starck" and will have lavish amenities, including a rooftop park, basketball courts and indoor pool (yes, in downtown Manhattan). And architect Philippe Starck has been hired to put in special touches such as updating a Swarovski crystal chandelier that stood at the entrance.

"There's never been product like this in New York," said Bret Bobo, chief operating officer for the conceptual-design firm Yoo Ltd., which, along with developer A.I. & Boymelgreen, is spending $210 million to convert 23 Wall into condos.

The Sunshine Group, the exclusive leasing agent, says that 69 percent of the available units already have been sold. The remaining units are being offered for $595,000 to more than $3 million.

Developers have had to preserve many of the historic traits of the buildings. For instance, The Crest has modernized much of the interior of the former offices of the investment bank Brown Brothers Harriman & Co., which has stayed downtown but relocated to 140 Broadway.

Mailboxes and a concierge desk have taken over where elevator banks stood. And the fixtures and wood paneling have a post-modern look. But designers still had to preserve the terra-cotta floors, the marble finishes and the building's pillars, said Jack Berman, principal at Metro Loft Management.

In fact, 63 Wall is still a work in progress. For instance, the top floors are still being converted to exclusive penthouses, and remodeling continues in the lobby and game room. But construction is expected to be done before the end of the year, Berman said.

"There's no such thing as a bad neighborhood in Manhattan anymore," Berman said. "Everything is turning residential."