How long does the change of use take?
Converting Commercial to Residental
Converting a commercial property to residential one may seem attractive, especially in the case when you are doing it for the first time. And moreover, this process has proved out to be a popular property investment process for the investors.
In fact, it is stated by the estate agents that around 40% of the increase in residential property has been made in the year 2007.
You can easily convert the commercial property to a residential one but you need to have planning permission. Sometimes it may land you in the legal and financial long processes. But in some cases, the commercial property already has planning permission which can save a lot of your time.
So basically the question here arises is that what is the main process of converting the commercial sector into the residential one.
The first thing to consider is how are commercial to residential sector funded?
Well, according to us it is most prudent to go heavy on your pockets, as conversions of this kind may sometimes lead to issues. And, it is the main factor to be discussed, as a lot of changes have been witnessed in the last three years by the amendment in the statutory planning.
Before the implementation of statutory planning, it was directly funded by the short term development finance on the vacant commercial properties. Hence, post-GPDO 2015, most developers are choosing over a hybrid of traditional commercial finance and development finance all cloaked together as a single package.
So, what are the resale outturn of commercial to residential property?
The vitality of taking a commercial to residential conversion by an officer is governed by various factors to find out whether it is a frugal job to take or not. To take up the project one must have in-depth knowledge of the locality and the state of the local buy market to make a primed verdict.
It is a sure fact that designing a commercial property for multiple occupancies provide much high revenue but a proper procedure must be followed to add it to the numbers.
Does a converting a commercial sector to a residential one require planning permission and how long does it take?
As specified in the current specific laws planning permission is not really required. But it doesn’t imply on the local authorities that focused on the protection of the commercial space. So, it is always helpful to check out all the facts of your property with your planning consultant before getting into the process.
Furthermore, most of the agricultural properties don’t require planning permission for converting it into the residential one but the contamination of the must be done to ensure the appropriateness for the development.
The processing time of converting a commercial to residential doesn’t take much time if your property is passed out the planning commission factors. So it all depends on the planning commission, all you are required to do is to follow the rules and regulations of the conversion process carefully.
It is also seen that converting of commercial to residential seems like a good investment opportunity to people because it is easy to buy a vacant commercial sector on lower rates which may give you higher ROI in the future. Moreover, the commercial market is quite saturated from a longer period of time which results in the lower values of the commercial sector than the residential one.
On the overall, we just want to help you out with the right procedure of converting a commercial sector into a residential one especially to the ones who are making their grand plans. Sometimes it may sound you mongering but it would be very insightful advice for the people who are in the middle of it but are not able to proceed it due to the lack of right guidance.