A new government scheme to fast-track converting edge of town business premises in to housing may solve tricky planning problems for property investors and councils.
HMO and buy to let landlords could benefit as the government clears the way to convert disused offices, shops, pubs, and warehouses in to homes.
Landlords with multiple lets face problems in expanding their portfolios in many towns and cities as councils are tightening up planning rules to control the number of shared houses in many neighbourhoods.
Around 25 councils are going through consultation to adopt the powers from early next year.
The new scheme will let landlords develop homes on disused industrial and business parks – and many lie outside the areas councils have designated no-go zones for new shared houses.
Communities Secretary Eric Pickles has published a consultation paper with details of proposals to scrap planning for changing use from a commercial to residential property.
The Communities and Local Government Department has calculated that if the currently available long-term empty office space was switched to housing, the strategy could deliver up to 250,000 new homes and save around £140 million over 10 years in unnecessary administration costs.
"Many towns and cities have office blocks, warehouses and business parks needlessly lying empty, while house building has fallen to the lowest in peace time history because the planning system has tied developers up in knots of red tape,” said Pickles.
"By unshackling developers from a legacy of bureaucratic planning we can help them turn thousands of vacant commercial properties into enough new homes to jump start housing supply and help get the economy back on track. Councils already have powers to give greater local planning discretion and they should us them more to promote growth."
The consultation seeks views on a proposal to amend the Town and Country Planning (General Permitted Development) Order 1995 to grant permitted development rights for change of use from class B1 (Business), B2 (General Industry) and B8 (Storage and distribution) to class C3 (Dwelling houses) without the need for planning applications.
Consultation will run until June 30, 2011.
Decentralisation and Planning Minister Greg Clark said: "Patterns of office use have changed as employers prefer large open plan spaces to individual offices and more people work from home. That has meant many offices have been vacant for years.
"This change will make it easy to turn redundant offices into much needed homes. This will replace derelict properties with buildings in good use, contribute to relieving Britain's housing shortage and give a valuable boost to the building industry."
