Short answer：A lower price or higher gross yield does not allow unrestricted residential, office or commercial use. Check lease, planning, building and fire requirements separately.
Identify the tenant’s actual activity
“Studio” is a label, not proof of compliance. Establish public access, storage, production and habitation and obtain appropriate professional assessment. A lease waiver does not replace other approvals.
Include conversion costs
Power, lifts, floor loading, fire provisions and access affect usability. Obtain actual works and approval information before forecasting rent, vacancy and holding costs. Do not assume a change of use will succeed.
Before deciding
- Check lease and planning documents
- Identify orders and irregularities
- Calculate returns using lawful use
Sources and method
Sources support the specific rules described. Checklists and hypothetical calculations are editorial explanations, not measured market results or individual approvals.
Revision：Removed unsupported experience, case outcomes and statistics; corrected the topic-specific rules and limitations described above.
Scope：General information only, not personalised legal, tax, immigration, admissions or investment advice.