Understanding Property Classes and Permitted Development: What Can Be Converted and How

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When you’re investing in or developing property, understanding the different property classes and how they can be converted under Permitted Development Rights is key to maximising your property’s potential. Here we break down and try to simplify the different property classes explained. UK planning system categorizes properties into different classes depending on their use, and in many cases, you can change the use of a building without needing full planning permission, thanks to Permitted Development Rights (PDRs). However, there are rules and restrictions you’ll need to be aware of, especially in areas with additional planning controls like Bristol. for more information on Article 4 in Bristol, please see our post: Understanding Article 4 Directions for HMOs in Bristol.

In this blog, we’ll break down the different property classes, how they can be converted, and what types of developments require planning permission.

The Key Property Classes

In the UK, property classes (also known as “Use Classes”) are set out in the Town and Country Planning (Use Classes) Order 1987, with changes over time. Here are the main classes you’re likely to come across:

  • Class C3 (Dwelling Houses): This includes typical family homes or single-occupant residences. Properties in this class are used for individuals, couples, or families living as a single household.
  • Class C4 (Houses in Multiple Occupation – HMOs): This is for small HMOs where between 3 and 6 unrelated individuals live together and share amenities like kitchens and bathrooms.
  • Class Sui Generis: This is a catch-all category for properties that don’t fall within the other specific use classes. Larger HMOs with 7 or more occupants fall into this category.
  • Class E (Commercial, Business, and Services): Introduced in September 2020, this class combines what used to be separate classes for retail, offices, and other commercial premises. It includes everything from shops, restaurants, gyms, and offices to light industrial uses that can be carried out in a residential area.
  • Class B2 (General Industrial): Properties in this class are used for industrial processes and manufacturing that aren’t suitable in residential areas.
  • Class F (Local Community and Learning): This includes schools, nurseries, churches, and community centres.

Converting Between Property Classes Under Permitted Development

Permitted Development Rights allow certain changes in the use of a property to take place without requiring a full planning application. However, these rights are not absolute and often depend on the location, size of the development, and whether local planning authorities, like Bristol City Council, have placed restriction, such as Article 4 Directions, on specific areas. Here’s a breakdown of what can be converted from one property class to another under PDRs.

From Class C3 (Dwelling House) to Class C4 (HMO)

One of the most common conversions is turning a family home (Class C3) into a small House in Multiple Occupation (Class C4) to accommodate between 3 and 6 tenants. This change is often sought by landlords looking to increase rental yield by renting out rooms to individuals.

Permitted Development: In many areas, converting a Class C3 property into a Class C4 HMO falls under Permitted Development Rights, meaning you don’t need planning permission, provided the property will house no more than six unrelated individuals.

Restrictions: However, in areas covered by Article 4 Directions, such as parts of Bristol (e.g. Clifton, Redland, and Cotham), you’ll need planning permission to make this conversion. The council has restricted PDRs in these areas to manage the concentration of HMOs and protect the character of the neighbourhoods.

From Class C3 (Dwelling House) or C4 (Small HMO) to Sui Generis (Large HMO)

If you’re looking to create a larger HMO for 7 or more occupants, the property will fall under Sui Generis use. This is classified as a unique category outside of the standard property classes.

Planning Permission Required: There are no Permitted Development Rights for converting from Class C3 or C4 to Sui Generis. Therefore, you will need to apply for full planning permission from the local council, regardless of the area.

From Class E (Commercial) to Class C3 (Residential)

With the rise in vacant retail and office spaces, converting commercial buildings into residential homes is becoming increasingly popular. The introduction of Class E allows greater flexibility for landlords and developers to change the use of commercial properties.

Permitted Development: Under Class MA (introduced in August 2021), you can convert commercial properties (Class E) into residential use (Class C3) without full planning permission, provided the floor space doesn’t exceed 1,500 square meters.

Restrictions. While Permitted Development Rights apply, there are conditions. You’ll need to go through a prior approval process, where the council will assess things like the impact on transport, flooding risks, and contamination. Also, Article 4 Directions could limit these rights in certain parts of the city, so it’s essential to check with the local authority.

From Class C3 (Dwelling House) to Class E (Commercial)

You might also be looking to convert a residential property into a commercial space, particularly in mixed-use areas. However, this is generally more restrictive.

Planning Permission Required. Unlike converting commercial properties into homes, converting a residential property into a commercial one (Class C3 to Class E) typically requires full planning permission, as it is not covered by Permitted Development Rights.

From Agricultural Buildings to Residential (Class Q)

For rural developments, Class Q allows agricultural buildings to be converted into residential use (Class C3).

Permitted Development. This is possible under PDRs as long as the building has been used solely for agricultural purposes for at least 10 years and the total floor space does not exceed 465 square meters.

Prior Approval. Similar to the conversion of commercial properties, prior approval from the local council is required. This process ensures the development will not negatively impact the surrounding area.

When Planning Permission Is Required

Although Permitted Development Rights offer a streamlined route for certain property class changes, there are situations where full planning permission is needed, including:

Article 4 Areas. In locations with Article 4 Directions, such as many parts of central Bristol, Permitted Development Rights can be restricted. This means that even for changes typically allowed under PDRs, planning permission is still required.

Larger Developments. If your planned conversion exceeds the size or floor space limits set out by PDRs, you’ll need to submit a full planning application. For example, converting a commercial property over 1,500 square meters into residential use would require planning approval.

Conservation Areas and Listed Buildings. If the property is located in a conservation area or is a listed building, stricter controls will apply, and you’ll likely need to apply for planning permission regardless of the size or scope of the project.

Table of Permitted Development Rights for Property Class Conversions

FromToPermitted DevelopmentPlanning Permission Required
Class C3 (Dwelling)Class C4 (HMO)Yes, unless Article 4 appliesYes, in Article 4 areas like parts of Bristol
Class C3 (Dwelling)Sui Generis (Large HMO)NoYes, planning permission required
Class E (Commercial)Class C3 (Residential)Yes, with prior approvalNo, but restrictions apply, especially in Article 4 areas
Class C3 (Dwelling)Class E (Commercial)NoYes, planning permission required
Agricultural BuildingClass C3 (Residential)Yes, under Class QPrior approval required

Understanding property classes and how they can be converted under Permitted Development Rights is essential for any landlord or developer looking to maximize their investment. While PDRs provide a faster, more flexible route for certain changes, it’s important to be aware of the restrictions, particularly in areas like Bristol where Article 4 Directions and local planning policies may apply.

Before embarking on any project, always check the latest local planning rules, especially if your property is in a restricted area. When in doubt, it’s wise to consult with a planning expert or contact Bristol City Council for advice. If you’re in need of advice for planning, contact us and we can put you in touch with planners who know Bristol inside out. If you have a HMO, then see our HMO management page to see our services on offer.

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