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Site1 is the Primary and yes it has the FSMO roles.<br />
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DFS is also running between the sites on two folders. &nbsp;Once a final &quot;file&quot; backup is done on the DC in site2 there is nothing on the server that needs to be retained. &nbsp; The backup is just in case something did not sync correctly with DFS. &nbsp;The server will be reformatted before it is redeployed. &nbsp;I don't know if that changes your opinion on this process.
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Site1 is the Primary and yes it has the FSMO roles.

DFS is also running between the sites on two folders.  Once a final "file" backup is done on the DC in site2 there is nothing on the server that needs to be retained.   The backup is just in case something did not sync correctly with DFS.  The server will be reformatted before it is redeployed.  I don't know if that changes your opinion on this process.

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I have 2 office locations and each is a Site. &nbsp; Site1 (10.0.0.0) has DC and Exchange Server. &nbsp;Site2(10.0.1.0) is just a DC. &nbsp; &nbsp;The company will be consolidating back to one location (Site1). &nbsp; &nbsp;They would like to reuse the DC in Site2 for another purpose that does not support running on a DC so it must be demoted.<br />
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My question is in what order should a perform the tasks. <br />
Should I physically move the server to Site1 before changing its subnet or change subnet before moving?<br />
Should I demote it before doing physical move or subnet change or demote atfer move and subnet change?<br />
Is there a KB with recommended steps for this?
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I have 2 office locations and each is a Site.   Site1 (10.0.0.0) has DC and Exchange Server.  Site2(10.0.1.0) is just a DC.    The company will be consolidating back to one location (Site1).    They would like to reuse the DC in Site2 for another purpose that does not support running on a DC so it must be demoted.

My question is in what order should a perform the tasks. 
Should I physically move the server to Site1 before changing its subnet or change subnet before moving?
Should I demote it before doing physical move or subnet change or demote atfer move and subnet change?
Is there a KB with recommended steps for this?

move domain controller to another site and demote

Windows Server 2008 and Windows Server 2008 R2, based on the Microsoft Vista codebase, is the last 32-bit server operating system released by Microsoft. It has a number of versions, including including Foundation, Standard, Enterprise, Datacenter, Web, HPC Server, Itanium and Storage; new features included server core installation and Hyper-V.

Windows Server 2008

Active Directory (AD) is a Microsoft brand for identity-related capabilities. In the on-premises world, Windows Server AD provides a set of identity capabilities and services, and is hugely popular (88% of Fortune 1000 and 95% of enterprises use AD). This topic includes all things Active Directory including DNS, Group Policy, DFS, troubleshooting, ADFS, and all other topics under the Microsoft AD and identity umbrella.