LGA warns on evictions in drive for office to residential conversions

Businesses are being evicted from their premises because of the Government’s policy of encouraging conversions of buildings from office to residential use, the Local Government Association has warned.

In a survey of 93 heads of planning services, it found that while in some areas the change had allowed vacant office space to be re-used for homes, in many others occupied offices were being turned into flats.

The policy allows for conversions under permitted development rights without the need for full planning permission.

A few councils, mainly in inner London, have won exemptions from it and some have sought to use Article 4 directions to disapply it in parts of their areas so as to protect business space.

The LGA’s survey found 40% of respondents said the measure had reduced office space and only 20% that it had brought vacant office premises back into use.

More than half of councils felt the housing provided was not of a kind that met identified need and 60% said the measures had reduced the provision of affordable housing – the lack of need for planning permission means that councils are powerless to use section 106 powers for planning gain on these conversions.

Peter Box, the LGA’s housing spokesman, said: “What was meant to provide a new lease of life for empty offices has, in reality, seen organisations kicked out of their premises so landlords can cash in on the higher rents they can charge for flats and houses.

“High streets and communities have been changed with no consultation of those living and working in them.

“These changes have created homes which do not meet the identified needs of a community, which has put pressure on schools, roads and health services, as well as making fewer houses which are affordable at a time when rents and house prices are soaring.”

The London Borough of Barnet told the LGA that more than 100 small businesses and charities were given as little as four to six weeks’ notice to leave premises due for conversion.

In Islington, the council had found 71 office buildings had already obtained prior approval for conversion to residential, with 11 further applications submitted.

The council managed to impose an Article 4 direction in certain areas of the borough after a lengthy wrangle with the Government last month preceded by a threat of judicial review action.

Islington put the total loss of office space at around 45,000 square metres – space capable of accommodating between 3,000- 3,500 jobs.

One unnamed district in the South East told the LGA it had potentially lost 40,546 square metres of office space, 40% of which was occupied.

Mark Smulian