A practical guide for commercial tenants and landlords
If you're searching for a shop or commercial unit in Edinburgh, there's a good chance you'll come across the term Class 1A.
It's now one of the main use classes we see when marketing retail and service premises, but we're often asked what it actually allows.
The important thing to understand is that Class 1A covers much more than a traditional shop.
What does Class 1A mean?
Class 1A was introduced in Scotland in April 2023. It brought together the old Class 1 (shops) and Class 2 (financial, professional and other services) into one broader use class.
The change gives commercial premises more flexibility because a property can potentially move between different businesses that fall within Class 1A without needing planning permission simply for that change of use.
That can make a real difference when you're trying to let a vacant shop or looking for premises for a new business.
What can a Class 1A property be used for?
Class 1A includes uses such as:
- Retail shops
- Post offices
- Travel agencies
- Ticket sales
- Hairdressers
- Funeral directors
- Laundrettes and dry cleaners
- Display of goods for sale
- Hiring out domestic or personal goods
- Certain financial services
- Professional services
- Other services appropriate to a shopping area
It also includes the sale of cold food for consumption off the premises.
The common thread is that the sale, display or service is principally provided to members of the public visiting the premises.
So a traditional shop could potentially become a hairdresser, estate agency or another qualifying service business without needing a planning application for the change between those Class 1A uses.
That's one of the reasons Class 1A can be attractive to landlords. It gives you a wider pool of potential occupiers than the old shop classification might suggest.
What isn't covered by Class 1A?
This is where it's worth being careful.
A property being advertised as Class 1A doesn't mean you can use it for any commercial business.
Some of the most common enquiries we see involve businesses that sit outside Class 1A.
Café or restaurant
A café or restaurant where food and drink are consumed on the premises will generally fall within Class 3 - Food and Drink.
There are circumstances where a Class 1A property can change to Class 3 without a planning application, but restrictions apply.
For example, the permitted change doesn't apply where the unit is below part of a dwelling or within 1 metre of a dwelling, subject to the detailed rules.
That can be particularly relevant in Edinburgh, where so many commercial units have residential flats directly above or close by.
So if you've found a former shop that looks perfect for a café, don't assume the existing Class 1A use means you're covered.
Check it before signing the lease.
What about a hot-food takeaway?
A hot-food takeaway is different again and sits outside Class 1A.
We've seen plenty of properties over the years that physically look ideal for a takeaway but where the planning position is a different matter altogether.
Extraction, ventilation, noise, odour and proximity to residential property can all come into play.
The property working physically and the property working from a planning point of view are two different things.
Can Class 1A change to an office?
Potentially.
There are permitted development rights allowing qualifying Class 1A premises to change to Class 4 (Business) without a planning application for the change of use.
Class 4 includes offices, research and development and certain light industrial uses.
For the Class 1A to Class 4 permitted change, the building or unit must be 300 sq m or less.
Again, we'd always check the particular property rather than assume the rule applies.
Why does Class 1A matter when you're looking for property?
The use class should be one of the things you check early - not after you've agreed the deal.
You might find a unit in exactly the right location, with the right rent and the right amount of space, but if the existing use doesn't work for your business you need to know before committing yourself.
Equally, if you're a landlord with a vacant Class 1A unit, don't think of it as being suitable only for another shop.
The range of businesses that can potentially occupy Class 1A premises is much wider.
That's worth considering when the property is being marketed.
Don't rely on the use class alone
Even where the proposed business appears to fall within Class 1A, there can be other things to check.
These might include previous planning permissions and conditions, the property's established lawful use, listed building or conservation area requirements, signage, external alterations, licensing and building standards.
And if the business involves food, extraction, ventilation or anything likely to affect neighbouring properties, there may be additional considerations.
Our advice is fairly simple:
Tell your agent exactly what you intend to do from the property.
The more we know about the business at the start, the easier it is to identify suitable premises and flag anything that needs checked before matters go too far.
Looking for Class 1A property in Edinburgh?
IME acts for landlords and businesses across Edinburgh and the surrounding areas.
Whether you're looking for a shop, salon, showroom or premises for a professional or service business, we can help you find suitable opportunities and talk through the practical property considerations before you commit.
Likewise, if you're a landlord with a vacant Class 1A property, we can advise on how best to position and market it to the widest appropriate range of occupiers.
Looking for commercial property in Edinburgh? Speak to the IME team.
Sources & further information
City of Edinburgh Council
Quick Guide to Use Classes and Permitted Changes of Use
https://www.edinburgh.gov.uk/downloads/file/34675/quick-guide-to-changes-of-use
Scottish Government
Planning and Development Management
https://www.gov.scot/policies/planning-architecture/development-management/
UK Legislation
The Town and Country Planning (General Permitted Development and Use Classes) (Scotland) Miscellaneous Amendment Order 2023
https://www.legislation.gov.uk/ssi/2023/35/contents
Important: This guide is intended as a general overview and isn't planning or legal advice. The planning position can depend on the property, its existing lawful use, planning history, any conditions attached to previous permissions and the exact nature of the proposed business. Other permissions, licences or consents may also be required. Always check the position before committing to a lease or purchase.