Some people have a residential property, and they don’t want to live in or convert it into a commercial property.
So in this blog, we’ll guide you on how to convert a residential property into a commercial.
Converting a residential property into a commercial one isn’t easy because every society or place has its own rules and regulations.
Let’s get detailed tips for it.


Our research found that converting a residential property into a commercial is not that simple when you’re residing in a pre-planned and highly secure gated community because it contains its bylaws. They have separate allocations for residential and commercial constructions.
Almost every society has laws against this matter, specifically well-known societies like DHA (Defence Housing Authority) and Bahria Town.


CEO of Dream Ambassadors Saleem Ghouri has told that in housing societies, but at the outside places of any area, no one can convert residential property can not be converted into commercial. CEO of Citi Properties Muhammad Shafi Jakvani has briefed that it is only possible in some districts declared and confirmed by the concerned local authorities in some big cities like Lahore, Islamabad and Karachi.
If you want to be acknowledged about commercializing your residential property, you can visit and get the whole information from the concerned office of the local authority. Often these offices are found on the main avenues or nearby them.


In some places, the policies can be different, especially in areas not nominated as commercial districts before. But it is not allowed to change a residential property into commercial in some significant cities such as Lahore, Karachi and Islamabad.
However, the property owner wants to convert it into commercial, so he has to receive permission from the development authority, certifying that this property is not to be used for harmful actions that affect the residential neighbours.
Here is news shared by a source that a NOC (No-Objection Certificate) is also needed to get by the surrounded neighbours of left, right and nearby.


According to Mr. Azeem, after deciding and getting NOC from the neighbours, the owner has to advertise in the daily newspaper to ensure your residential property conversion into commercial.
It is required for making sure that this news of change has been conveyed to the whole audience.


So here comes the last stage of the process.
Now, after completing the whole stages, you can submit your request to your property’s concerning local development authority to process the paperwork for further procedure.
So here, you can avail of two options; annual commercialization or permanent commercialization.
On the news report, an annual conversion requires a little renewal fee on the total value of commercial property by the end of each year.
The fee hits differently as per the locality and on the commercial value of the property. It costs 1.25% (5 to 15 Million per Kanal) if we talk about Lahore City in Lahore. A 4000 pkr to 16000 pkr can be payable per square yard in the city of lights, Karachi.
Jakvani also briefed that the never-ending demand for commercial property is increasing day by day. We can take a look at it by continuously growing countless high-rise buildings and malls in our country with time.

However, the demand for converting a residential property is more likely due to its fast-growing return on investment along with the best prospects. It also depends on the value of that location, so people are more interested in converting their residential property into commercial.

HOPE Pvt Ltd always wanted to make sure that the information we are sharing is authentic and helping the people in a better way regarding their property concerns. We hope that this blog will help you decide better about the conversion of your residential property into the commercial category.


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