The Government recently informed local authorities in England that new legislation coming into force from Spring 2013 will allow a change of use from offices to residential without the need for planning permission.

This was originally suggested in the Budget two years ago and is aimed at:

• providing additional housing
• encouraging economic growth
• creating opportunities for new and start-up businesses
• revitalising town centres

The new legislation will initially apply for a period of three years, but the Government will consider whether the new rights should be extended indefinitely. The change is likely to be welcomed by many landowners and developers, but there may be some objections. Planning policies usually require residential developments of significant size to provide a proportion of units as affordable housing as part of their application for planning permission. A change of use from offices to residential without a planning application could allow a large office building to be converted to market housing without any affordable housing provision or contribution. Residential developers who have non-office sites for redevelopment as residential will not welcome the prospect of competing developments coming on to the market in the locality with a significant market advantage.

If you would like any further advice on how the new legislation may affect you, please get in touch, we would be happy to advise you.