The Government's proposed blanket policy to allow office space to be converted into residential use to speed up the process of conversion will not be the panacea to solve the housing shortage problem says Andrew Smith, Real Estate partner.
"It's difficult for local authorities to meet their housing targets with few new builds being started, and funding for developers being ever harder to secure," explains Andrew.
"Removing a layer of bureaucracy will streamline the process, remove cost and take the strain off local authority planning departments looking to reduce overheads.
"The primary objective of the proposed policy is to speed up the planning process but the vast majority of developements need consent to carry out works as well as consent to change use and this requirement will remain even if the new proposals are introduced."
Developers may therefore find that in practice the process takes just as long.
For local authorities the benefit of being able to meet their housing targets may be outweighed by the wider development plans of an area being affected if businesses are removed, as well as the local authorities losing control over the combination of buildings and car parks and other neigbourhood facilities. In addition, for those developments where consent for works was not needed the Authority would lose its ability to impose affordable housing quotas and seek contributions towards infrastructure and education costs through the section 106 process.
"It's a good idea to make the planning regime more managable and fit for modern use whilst empowering developers - although I believe there needs to be some residual level of control and the ability for the local authority to step in should abuse of the process occur."
The consultation has begun and will be completed by June 30, 2011.
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