Many people buy commercial property in order to continue using it for commercial purposes. However, converting a commercial property into a residential property is an option - and it could have many advantages. This post delves into some of the reasons to convert a commercial property into a residential building.
The demand is shifting
You don’t have to be a developer to have noticed that the demand for commercial and residential properties are shifting. In many areas, there is a housing shortage. Meanwhile, more offices and shops are sitting vacant as more companies embrace online retail and remote working. It therefore makes sense to take more existing commercial buildings and turn them into homes. Not only could it be a good investment, but it could also be a good cause - helping to revitalise an area and supply more homes.
It’s cheaper than building new property
Building a house from the ground up can be expensive. When buying a commercial building, you’ll already have the structure in place. It’s simply a case of stripping it out and renovating it for residential use. An office block could be transformed affordably into an apartment block, while a shop or restaurant could be transformed affordably into a house. There are companies that can carry out strip outs for you and other companies that can carry out remodelling.
Commercial properties are often in prime locations
A lot of new residential property has to be built on the outskirts of towns and cities. This can result in long commutes to the centre and lack of nearby amenities. Many commercial properties are situated in central locations and are often very attractive places to put homes. It therefore makes sense to use these buildings rather than continuing to expand towns and cities outwards.
It could be a chance to preserve old and interesting buildings
Some commercial buildings may have a lot of history or may contain some interesting architectural features. Tearing them down to build homes could result in these historical and interesting features being lost. Preserving these features by converting commercial buildings to homes could get more support from your community. It could also give these homes character and make them stand out compared to other new homes.
Laws surrounding conversion are loosening up
Zoning laws have previously made it hard for some commercial properties to be turned into residential properties. Some zones are exclusively labelled ‘commercial’ or ‘industrial’ and cannot contain residential homes. However, more zones are starting to be labelled ‘mixed use’ in order to take advantage of available space for housing. This is making it more feasible to turn commercial properties into residential properties. Just make sure that they meet residential living standards.