📌 Change of Use: How Inactive Properties Are Transformed into New Homes

The conversion of inactive commercial and industrial spaces into residential properties is now moving from theory to practice. With the legislative regulation of July 2026, the way is opened for the exceptional change of use of shops, offices and craft spaces, with the aim of directly strengthening the residential stock.

🔑 Key Points of the Regulation

• Where it focuses: In the center of Athens (Psyrri, Metaxourgeio), on the Piraeus axis (Tavros, Votanikos), in the western suburbs and at the western entrance of Thessaloniki.

• Easier consents: The new property code reduces the required percentages of co-owners' consent for changes in views and allows the division of large spaces into smaller apartments.

• Investment interest & Golden Visa: The limit of €250,000 for Golden Visa is maintained (if the use is changed to residential), directing the capital surplus from the purchase to total renovation and energy upgrade.

• Long-Term Rental Target: A 5-year ban on short-term rentals (Airbnb) is being enacted, with parallel tax incentives and subsidies for those who place them on the market or in social housing programs.

  
  

🏗️ Technical Challenges & Architectural Trends

• The transition requires attention and a specialized budget:

• Static & Energy Upgrade: Static reinforcements, thermal facades and heat pumps are required to comply with KENAK.

• New Networks: Complete reconstruction of plumbing and electrical infrastructure.

• Restrictions: The change of use only applies to square meters that are counted in the building factor (not auxiliary/basement spaces).

• The architectural trend: High-ceilinged spaces (over 4m) are being transformed into modern lofts with mezzanines, while mixed-use buildings (stores on the ground floor, residences on the floors) are gaining ground.

💡 The Bottom Line for Investors: This is a significant opportunity to utilize "undervalued" square meters with high yield, as long as the technical upgrade costs and the limitation of the 5-year long-term lease are correctly calculated.