Converting Commercial One Storey to Residential
I was considering buying a building that is located in a R6 zoning area which is currently zoned as a K2 Commercial 2 storey structure. My questions are 1. Is it possible to do a commercial to residential conversion? I think the zoning R6 favors me. 2. What kind of upgrades/ changes do I need…
I was considering buying a building that is located in a R6 zoning area which is currently zoned as a K2 Commercial 2 storey structure. My questions are 1. Is it possible to do a commercial to residential conversion? I think the zoning R6 favors me.
2. What kind of upgrades/ changes do I need to do to the place to make it a residential area? It is currently a vanilla box.
Thanks for your help in advance.
Agree with brooklynexpediter above. A thorough zoning calculation gives you a better idea of this property’s potential.
This is a ALT1 project, you definitely need a seal from a registered architect or a professional engineer.
Can’t really make any sense offhand on Lovephila’s post.
Anyway, First you will need a thorough zoning analysis even though use wise it is ok but if the commercial portion is also extended and was done legal back then you may have lot coverage issues. All other stuff in general you won’t have a problem and article 1 chapter 5 is optional anyway which gives you a bigger advantage for density which doesn’t appear to be the case.
Thanks Karhu & Lovephila for your input.
I believe I can go upto 6 floors in a R6 – depending on the FAR and plot size.
All things considered, it might be a very interesting project for me. I have the time on hand, the money is coming – when’s the next Mega Millions drawing? 🙂
What Wiley said was correct. You need to hire an architect or engineer for filing to DOB. You can definitely convert it to residential, you just need to amend the existing c of o.
In order to convert existing use to residential use, you just build whatever residential use needs and build them by code. Usually it’s like what Wiley said, you need bathroom and kitchen (or kitchenette with mechanical ventilation.) Remember, just comply with code, then you will be fine.
One other thing, I think you can build much more than 2 story in R6 zone.
It really depends on which engineer you get on which day of the week. If you go for the expedited review, which cost extra of course, you will get an answer within 5 days. You simply need to show the bath and kitchen and living spaces on plans. You can get an architect, but you can do the drawings yourself to save some money as long as they don’t require a seal. Depending on the amount of the renovation, a seal may or may not not be required. If you go down to L&I, some of the people are helpful and can walk you through the process fairly quickly. Others will give you a headache.
Just for clarity’s sake, K2 is not a zoning designation; it’s a Department of Finance building classification.
As noted, you may be able to do what you’re considering, but you will need professional advice.
Finally, regarding taxes, you may have an increase regardless of the difference in tax rates. How the building was previously used and how much income it generated guided the current commercial assessment, while the cost of acquisition and conversion will help set the new, residential assessment.
-time frame is a tough one as you are very dependent upon how fast your folks get the drawings submitted/permits and construction completed and the craziness that is the dob. In my case we are doing two filings and we are looking at 8 to 9 months, and we are not doing anything very major – but I won’t be surprised if it takes longer. There are all sorts of things that could come up that would increase the time- code violations – renovation problems. In my case we anticipate that the taxes on the building will decrease.
also keep in mind as a commercial building you’ll be paying con ed higher rates for awhile and will not have garbage services etc.
Thank you for your responses.
Wiley – since you are undertaking one of these right now, what time frame would you guesstimate for the process of
Also, is it true that the taxes would be lower as it is a residential instead of commercial? From my research it seems that although the actual % is higher for residential, it is applied to only 6% of the Market Value as opposed to 45% of market value for commercial properties. I guess the question would be – is market value determined differently for residential and commercial?
In theory, yes, but it’s a very complicated issue. There are a LOT of factors that may or may not apply. Here’s the section of the zoning code which refers to changing a non-conforming use (commercial within a residential zone) to a conforming use:
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A #non-conforming use# may be changed to any conforming #use#, and the applicable district #bulk# regulations and #accessory# off-street parking requirements shall not apply to such change of #use# or to alterations made in order to accommodate such conforming #use#, but shall apply to any #enlargement#.
In all zoning districts which mandate compliance with the Quality Housing Program, the provisions of Article II, Chapter 8, shall apply to such change of #use#.
However, not withstanding the provisions above, in Manhattan Community Districts 1, 2, 3, 4, 5 and 6, Brooklyn Community Districts 1, 2, 6 and 8, and Queens Community Districts 1 and 2, the conversion to #dwelling units# of non-#residential buildings#, or portions thereof, erected prior to December 15, 1961, shall be subject to the provisions of Article I, Chapter 5 (Residential Conversion of Existing Non-Residential Buildings), unless such conversions meet the requirements for new #residential development# of Article II (Residence District Regulations).
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You can see that it will depend upon which zoning district as well as which community board you are in.
Jim Hill, RA, LEED AP
Urban Pioneering Architecture