Avocat spécialisé en changement d’usage

Do you own commercial premises that you would like to convert into housing? Are you considering using an apartment for your professional activities? These modifications are subject to urban planning rules. What permits are required? What are the risks if the regulations are not followed? Our lawyers specialized in change of use assist you with the legal and administrative procedures.

A growing number of owners choose to operate their second home for commercial purposes by offering short-term rentals throughout the year to transient clientele. Faced with this trend, public authorities have decided to regulate this practice. Considered a genuine commercial activity, it generates often substantial rental income, which justifies the establishment of rules governing its conditions of exercise.

Usage: a specific concept in the Construction and Housing Code

The use of a building refers to its actual utilization. A change of use corresponds to the modification of the purpose of an existing construction and is directly linked to the occupant of the premises. This is the case, for example, when a residential premises is converted into a shop or office. The Building and Housing Code provides for two types of use: residential and other premises.‍

The first category includes all types of housing as well as their annexes. As for the second category, it concerns all premises that are not used as dwellings. According to Article L637-1 of the CCH, a premises is "deemed" to be for residential use if it was allocated for this use on January 1, 1970 and retains this allocation, regardless of subsequent uses. Contrary to what one might think, a premises used for short-term rental is not for residential use.

It is essential to distinguish change of use from change of purpose, although the two concepts are similar. These concepts are governed by distinct legislative texts and have different implications. Unlike purpose, which is attached to the property and remains permanent, use is personal and temporary, depending on the duration of occupation by the user.
Thus, when a residential premises undergoes a modification of use, the change of use authorization is granted only personally to the applicant. It becomes void, meaning it loses its effect as soon as the authorized use is permanently interrupted. In cases where compensation is required, the authorization is attached to the premises rather than to the person.

Unlike a change of destination, which is regulated by the Urban Planning Code, a change of use falls under the Construction and Housing Code (CCH). Thanks to our expertise in construction law and urban planning law, our firm of lawyers specialized in change of use guarantees you reliable and effective legal assistance.

Which cities are affected by the change of use authorization?

Although the change of use authorization is generally easy to obtain, the Building and Housing Code imposes strict regulations for certain areas. This concerns in particular municipalities with more than 200,000 inhabitants such as Marseille, Paris, Montpellier, Rennes, or Lyon.

Similarly, in the departments of Hauts-de-Seine, Seine-Saint-Denis, and Val-de-Marne, changing the use of a residential premises requires prior authorization. In these specific cases, it is essential to consult applicable local rules, as authorization may be subject to requirements such as compensation.

For example, converting a dwelling into an office may require the simultaneous conversion of an office into a dwelling. Local regulations may also provide for exceptions to the compensation obligation. For example, an occupant using their main residence for a professional activity may not be required to compensate, provided this is authorized by the lease or the co-ownership regulations.

However, in this case, it will not be possible to receive clients or store goods in the premises concerned. Furthermore, it should be noted that the CCH allows municipalities with more than 50,000 inhabitants, listed as municipalities subject to the annual tax on vacant housing, to establish a prior authorization for change of use.

On the other hand, no change of use authorization is required if part of the premises remains used as your main residence, even if the other part is used for commercial purposes. Our lawyers specialized in change of use help you determine whether these steps are necessary in your situation, by inquiring with your town hall.

Change of use of a residential premises: a regulated procedure depending on the type of allocation

The change of use authorization is required only to convert a residential property into commercial premises. Conversely, when a business property, such as a property intended for tourist furnished rental, is reassigned to residential use, no authorization is necessary. Furthermore, if the main residence is the same as the premises (i.e., if the premises also constitutes the main residence) and no goods or customers are received, the tenant can bypass the change of use authorization.

A notable exception is provided for premises located on the ground floor. In accordance with Article L631-7-4 of the CCH, it is possible to carry out a commercial activity there, including in the following spaces:

• caretaker's lodges;
• service rooms;
• or staff housing.

This exception applies provided that the business complies with the clauses of the lease and the condominium regulations. Furthermore, the commercial activity must not cause any danger to the neighborhood, disorder to the building, or noise nuisance, even if people or property are received on the premises.

It should be noted that these rules apply exclusively to housing located in the Île-de-France departments as well as in French municipalities with more than 200,000 inhabitants. Our team of lawyers specialized in changes of use analyzes the characteristics of your property and the planned works to determine the appropriate administrative procedure.

Support from our specialist lawyers for changes of use in obtaining authorization

The town hall determines, by decree, the type of authorization required to carry out a change of use:

• personal authorization;
• temporary authorization;
• real authorization.

These steps can be taken either by the owner or by the tenant with the owner's prior consent. The personal authorization is attached to the applicant. It is non-transferable to a third party and ends as soon as the activity ceases. The temporary authorization, for its part, applies mainly to short-term furnished rentals, such as those offered on the Airbnb platform.

Unlike personal authorization, real authorization is attached to the property. It is conditional on compensation: the owner must offer another equivalent premises that will be used for housing. Before starting the change of use application procedure, it is essential to consult the Local Urban Plan (PLU) of your municipality. This specifies whether an authorization is necessary and determines the terms.

If authorization is required, you must fill out the change of use application form, then put together a file including detailed plans of the project. You must also provide proof of ownership or written authorization from the owner (for tenants). If the modification involves work, a building permit application may also be required. Our lawyers specializing in change of use advise you on the required documents.

Mastering the compensation rule with our team of lawyers specialized in change of use

In some cities, authorization for change of use is conditional on compensation. The owner wishing to convert a property for short-term rental must offer in return another property intended for long-term rental. This rule can be particularly strict in certain municipalities.

For example, in Paris, compensation requires a conversion of 3 m² into long-term rental for each m² removed. Thus, for a 20 m² premises subject to a change of use request, the owner must offer a 60 m² space for long-term rental. In contrast, other cities, such as Toulouse and Montpellier, apply less restrictive rules.

These two municipalities allow change of use without compensation for the first two properties of a natural person. Our team of lawyers specialized in change of use is able to negotiate with the urban planning services of the town hall and the competent local authorities.

Lawyer specialized in changes of use in cases of penalties for work without authorization

Failure to comply with the rules governing this change of use can lead to severe penalties, especially for investors in short-term rentals. Municipal authorities are entitled to impose fines, order the immediate cessation of the rental activity, and in some cases, confiscate the property.

In accordance with the Building Code, failure to comply with the obligations related to the authorization request for a change of use may result in:

• a fine of up to 50,000 euros;
• the obligation to restore the original use of the premises under judicial penalty;
• the cancellation of any agreement concluded;
• a criminal penalty that may include a prison sentence.

However, in practice, lawsuits initiated by municipalities rarely succeed. In French law, the burden of proof lies with the plaintiff, in this case the town hall. It must prove the change of use, and more specifically demonstrate that the property in question was intended for residential use as of January 1, 1970.

However, this requirement faces major obstacles. At that time, the declarations made by the owners had the sole objective of calculating the cadastral rental value and had no repressive purpose. The declaratory means of the time were limited, and the available documents are often imprecise, mentioning dates after January 1, 1970.

These shortcomings make it extremely difficult, if not impossible, for local authorities to prove the change of use in accordance with the regulations applicable today. In the event of litigation, our lawyers specializing in changes of use represent you before the administrative judge to defend your rights.