Given the question: Dialogue: M: What is Mr. Peterson going to do with his old house on London Road? Rent it or sell it? W: I heard he is thinking of turning it into a restaurant, which isn't a bad idea, because it's still a solid building. Question: What will Mr. Peterson do with his old house? - He may convert it and use it as a restaurant. - He may pull it down and build a new restaurant. - He may rent it out for use as a restaurant.
The answer is:
He may convert it and use it as a restaurant.