Nobody could have foreseen how the last couple of years would have played out. Many sectors have seen change at an accelerated pace. For the property sector, the pandemic has triggered significant permitted development changes, allowing property developers to revitalise high streets, provide quality housing to address the housing crisis, boost the UK economy and make considerable profits. Our data engineers here at Nimbus Maps have found thousands of sites with a predicted return on costs in excess of 35% when converted from commercial to residential use! Read on to discover how you’ll find the best opportunities…
In September 2020, the planning classification became easier to grasp with the grouping together of many commercial properties. Use classes A1 (shops), A2 (financial and professional), A3 (restaurants and cafes) as well as parts of D1 (non-residential institutions) and D2 (assembly and leisure) were all usefully recategorised under a new use Class E.
Class E now includes retail premises, offices, cafes, restaurants, nurseries, gyms and light industrial. But if use class E is exclusively for commercial use, why is it relevant for anyone looking for new residential opportunities?
In March 2021 the government announced the introduction of Class MA permitted development rights. The ‘MA’ stands for Mercantile to Abode – a fancy way of labelling commercial to residential. The aim of this new permitted development is to simplify the conversion of vacant properties under use Class E to residential Class C3 (dwelling houses). Class MA bypasses the extended process of seeking change-of-use planning permission and gives clear guidelines.
Property developers and investors are an instrumental part of our economic recovery, revitalising town centres with profitable homes, it’s no surprise that this new Class MA opportunity is the topic of discussion in most property networking circles.
It’s an exciting new opportunity, and we’ve highlighted some top tips to consider when finding commercial properties suitable for conversion to residential use:
As simple as Class MA sounds there are some restrictions in place.
Once you have identified the properties you wish to convert, it is important to know how to find the owners and how to pique their interest. The market is already seeing signs that commercial agents have started increasing the value of premises to reflect the expected gold rush, making it even more essential that you have the tools to find off-market deals. Nimbus Maps has compiled thousands of data sets from sources, including the land registry, meaning you can instantly obtain ownership details and connect with them. Each owner may have multiple sites they want to sell or redirect you to owners who have properties that are available for off-market deals.
To enjoy the benefits of first-mover advantage you’ll need to start finding sites now.
Our Nimbus Maps® data scientists have created a powerful new tool to save you time and money finding class MA opportunities.
The new Class MA Elite+ Strategy highlights Class E commercial properties with a floor space of less than 1,500 sqm, that also has a residential feel to them and would therefore be suitable for conversion to residential under new class MA PD Rights.
What does the Class MA Elite+ strategy show?
For each highlighted opportunity, simply click to reveal the following information: