Refurbishment or new build? There’s a third option!

Thinking of refurbishing your property or embarking on a new build? Making a decision can be tricky. There’s another option on the table: conversion. We’ll show you the potential involved.

High ceilings, stucco features, herringbone parquet – old buildings have a very special appeal. To keep it that way, such properties need care and there comes a time when renovation becomes necessary. However, renovation work can entail considerable expense. Property owners may well find themselves asking whether such renovations are worthwhile, or whether rebuilding from scratch might be more prudent.

Refurbishing older properties vs. constructing new builds

The fabric of the building is likely to be the deciding factor. If the walls are intact and the building doesn’t need to be gutted, renovation is usually quicker and cheaper. Obtaining official approval is also easier, as there’s less risk of objections. You tenants will be delighted, too: if you carry out the refurbishment in stages, they can remain living in the property. There are downsides, however: it can be difficult to change the existing layout of the rooms exactly how you might like. If you’re looking to improve the energy efficiency of your building, the end result won’t be on a par with a new build, either. What’s more, if the building is structurally compromised, complete renovation is likely to prove even costlier than a new build.

So would it be better to tear it all down and build from scratch? New builds certainly have their plus points: contemporary building and room layouts, bespoke modern design and higher energy efficiency, to name but a few. On the flip side, planning and construction take longer and investment costs are fully taxable.

Converting property instead of opting for a new build

There’s another alternative to new building: converting your property. For instance, this might mean converting a detached house into an apartment building, or changing an office block into a residential building. The first thing to consider is the utilisation rate, which indicates the maximum living space you can create. Then comes the zoning plan, which identifies any restrictions on your site.

Potential for apartment units

If the utilisation rate and zoning plan don’t present any obstacles, then you have a number of options to choose from. The simplest concept is turning a house into two or more residential units. What about if you want to turn your property into a multi-family dwelling? Or want to rent out individual residential units? Converting a detached house into an apartment building offers even more potential, as this gives you the option of selling the units as separate condominiums to maximise profit. Whatever you have in mind, Engel & Völkers can assist you with its comprehensive services. We provide the exact service you need at every stage of your project and guide you right the way through the process, from property acquisition to sales.

Interested in working with Engel & Völkers? Then don’t hesitate to get in touch. We’d be delighted to learn more about you and your exciting project. Tip: In the meantime, check out our “Refurbishment or new build?” guide.