One In Ten New Homes Was A Former Office

Analysis by the Local Government Association reveals nearly one in 10 new homes over the last two years was converted from an office and included no affordable housing or supporting investment in infrastructure such as roads, schools and health services. The LGA says permitted development rights rules allowing offices to be converted into housing without planning permission are “detrimental” to local communities and should be scrapped. It warns they have led to the potential loss of more than 7,500 desperately-needed affordable homes. Since 2015, a total of 30,575 housing units in England have been converted from offices to flats without having to go through the planning system. Read more on the LGA website.

https://www.local.gov.uk/about/news/one-ten-new-homes-was-former-office

Investment Enables Offices to Homes Conversion

A Bristol community group set up to convert empty office buildings into affordable housing has secured a £425,000 mortgage to fund its first scheme. Abolish Empty Office Buildings (AEOB), a community benefit society launched in 2013, has already raised around £300,000 from a community share offer to purchase a property in East Bristol. It is now able to start building work after being given a mortgage from Triodos Bank this week. The property will be refitted and extended to create six flats capable of housing up to 10 residents. The first tenants are expected to move into secure rented accommodation before the end of 2016. AEOB wants to raise a total £400,000 through community shares to “expedite repayment of the loan”, before looking to develop further sites. Read more on the AEOB website.

High Court Quashes Small Site Affordable Homes Threshold

A government planning policy dubbed "insane" that could have allowed London luxury landlords to escape more than £1 billion a year in affordable-housing payments, has been quashed. Housing minister Brandon Lewis unveiled the vacant building credit at the end of 2014, but it immediately incurred the wrath of councils experiencing chronic housing shortages. The credit allowed developers planning to convert vacant office buildings into flats to pay only an affordable-housing contribution on new space created. Prior to its introduction, developers paid according to the full size of the building. But a legal challenge by West Berkshire District council and Reading borough council has resulted in a judge ruling that part of the policy was incompatible with the legal framework for planning. Read more on the Independent website.

Over Half of London Office-To-Residential Conversion Plans Given Green Light

London's local authorities gave the green-light for over 50% of applications to turn office blocks into homes in the three months to June 2014, according to new research. Property consultancy Daniel Watney found that 457 prior approval applications were made across the capital in the period, of which 56% were granted, 25% were refused and 19% were deemed not to need prior approval. Read more on 24dash.

London Borough Hits Out At CLG after Losing 50,000 Sq. Ft of Office Space to New Homes

A London borough claims 50,000 sq. ft of office space has been lost to new homes after government changes to the planning system. Last year the government announced new permitted development rights to allow office to residential conversions in a bid to boost housing supply. But Richmond Council claims the move has hit business growth and "decimated" office space. The council explains: "Richmond’s booming property market has already led to the displacement of many businesses as a result of granted prior approvals. However, officials at the CLG believed as few as five extra conversion projects across England would be completed per year as a result of the changes. In Richmond alone, 133 schemes were granted ‘prior approval’ in 16 months since the change became law." Read more on 24dash.

Charities and Businesses Evicted Under Government Planning Rules

A government plan which was intended to bring empty offices back into use has led to some existing business being served with eviction notices, town hall leaders have warned. In some areas new planning rules have brought vacant offices back into use but in others the majority of applications have seen offices which were either partly or fully occupied being turned into flats, a survey by the Local Government Association has found. Office space and affordable housing will be reduced and infrastructure will be put under strain if the temporary changes to permitted development are made permanent, it warns. Read more on the LGA website.

Boles' 'Ill-Founded' Intervention Will Cost Jobs and Affordable Homes

Planning Minister Nick Boles has blocked a local authority's attempt to prevent empty office space being turned into flats. And Islington Council has raged that Boles' “ill-founded, eleventh-hour intervention" which will mean that the borough will lose out on jobs and affordable homes. Last year, Islington Council became the first local authority in the country to make an Article 4 direction to remove permitted development rights (PDRs) to convert from office to residential. Introduced by the coalition in May 2013, PDRs allow developers to convert office space into homes without having to apply for planning permission. However, Islington Council's Article 4 direction would have removed PDRs across the whole borough from 15 July. But Boles has revoked the council’s directions - citing incorrect figures in his reasons for doing so. Read more on 24dash.

New Planning Regulation Will Help Create Jobs and Low Cost Homes

Brighton & Hove City Council has introduced measures to protect office space in central Brighton. Councillors have confirmed an article 4 direction which means developers must obtain planning permission to change the use of their offices to residential space. The council made the decision following a temporary change in planning law introduced by the government in May 2013 that has removed the need to obtain planning permission for change of use from office space to residential. The council and their partners in economic development of the city fear that this could affect the city’s business growth. The Council is one of the first in the country to implement an article 4 direction in the city to ensure owners of office buildings still need planning permission. It will also enable the council to negotiate community benefits and affordable housing if change of use is recommended. Read more on the Brighton’s Future website.

Government Must Not Repeat Past Mistakes

The property industry has told the Government to “learn from its mistakes” if proposals to make it easier to convert empty shops into homes is to gain ground.  Harking back to the previous changes to planning rules, that were expected to make it easier to deliver new homes by allowing the conversion of empty office buildings – before it got bogged down in exemptions – the British Property Federation (BPF) gave a cautious welcome to the latest proposals, with the proviso that ministers learned the lessons of the office-to-residential experience. Read more on the Housing Excellence website.