Property Industry Eye summarises data from Searchland, “…there are nearly 28,000 sites with an estimated market value of over £1.5 billion located across England, primed to be converted from commercial use into residential property”
- What’s Happening?
- In many UK towns and cities, commercial properties like shops and offices are being converted into residential spaces.
- High streets might soon become pedestrianised zones filled with homes and coffee shops, with traditional stores becoming a rarity.
- Statistics and Data:
- There are nearly 28,000 sites, valued at over £1.5 billion, that are ready to be converted from commercial to residential use.
- London has the largest share, followed by the South East and East of England.
- The North East, Yorkshire and the Humber, and the East Midlands have fewer options available.
- Government Support:
- The UK’s housing secretary, Michael Gove, aims to simplify the process of converting commercial spaces like shops and restaurants into residential accommodation.
- Space Availability:
- London’s sites are compact, averaging 157.0 sq ft.
- Yorkshire and the Humber, despite having fewer sites, have more space on average (186.3 sq ft), allowing for larger homes or more apartments per conversion.
- Developer Opportunities:
- Developers looking for available sites will find the best opportunities in London and the South East.
- For larger commercial sites, Yorkshire and the Humber is an attractive location.
- Why This Matters:
- The conversion of disused commercial properties is part of the government’s strategy to tackle housing issues.
- This trend presents investment opportunities for developers to turn valuable commercial properties into residential spaces.
What Does This Mean for You as an Investor?
If you’re considering investing in the UK property market, these developments present a variety of opportunities:
- Location Choices: London offers the highest number of sites, while regions like Yorkshire and the Humber provide larger spaces for potential conversions.
- Market Trends: With high streets transforming, investing in residential conversions might be a forward-thinking strategy.
- Government Support: As the government is encouraging these conversions, the regulatory environment might become more favorable.
In conclusion, it’s a noteworthy time for property investors to explore the commercial-to-residential conversion market. The regional variances in site availability and size, along with governmental backing, provide diverse avenues for investment.