CPS Homes

Changes to HMO planning guidance - How the new C4 classification affects landlords and developers

County Hall on Atlantic Wharf

Cardiff Council have recently published their new HMO supplementary planning guidance, which provides further information about the newly introduced C4 classification, and how this is likely to affect landlords and investors across Cardiff.

The new C4 classification includes any property housing 3-6 tenants. Properties which already had 3+ tenants in place by 25th February 2016 will automatically receive implied C4 classification. Any landlord wishing to obtain C4 classification for their property will be required to apply for change of use permission. Under these new guidelines only a small proportion of applications are likely to be accepted.

In addition to the C4 classification, any landlord wanting to develop a property to house 7+ tenants under the HMO sui generis classification will continue to be required to apply for change of use permission. The new planning guidelines also affect this usage category, meaning that very few of these change of use applications will be accepted.

Landlords in Cathays and Plasnewydd to be affected the most

In the Cathays and Plasnewydd wards, it is very likely that all change of use applications will be rejected, due to the already high proportion of HMOs.

To summarise the guidelines, Cardiff Council are proposing to restrict the density of HMOs in Cathays and Plasnewydd to 20%, and to 10% in all other wards. They will consider applications on the density of HMOs within a 50m radius of the property – e.g.: for a previously owner-occupied property in Cathays wishing to obtain HMO sui generis or C4 classification, it will only be granted if no more than 20% of the properties within a 50m radius are already HMOs.

As one of Cardiff’s largest letting and estate agencies, we know that the proposed changes are likely to have an impact on many of our landlords and investors. If you would like to discuss in more detail how the changes will affect you, then please get in touch via tom.foulkes@cpshomes.co.uk or call our Woodville Road office on 02920 668585.

08 July 2016

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