Yes, but it requires a complete change of legal regime
A primary residence lease can be converted to a commercial lease, but this requires terminating the existing lease, the landlord’s explicit consent, and signing a new commercial lease under the Act of 30 April 1951. A planning permit is usually required for the change of use.
Primary residence leases and commercial leases are governed by entirely different legal frameworks. A primary residence lease benefits from strong regional tenant protections (regulated duration, limited rent increases, restricted termination grounds), while a commercial lease follows federal law with its own set of rules (9-year minimum, renewal rights, eviction indemnity).
A simple addendum cannot achieve this conversion — a new contract must be drawn up.
Procedure and requirements
The conversion process involves several steps:
- Mutual agreement to terminate the primary residence lease (or serve proper notice)
- Planning permit application for change of use from residential to commercial
- New commercial lease drafted and signed (minimum 9-year duration)
- Registration of the new lease with the SPF Finances
- Insurance updates for both landlord and tenant
- Co-ownership approval if applicable (general assembly vote)
The termination of the primary residence lease must follow the applicable rules:
- Tenant-initiated: 3 months’ notice, possible indemnity depending on timing
- Mutual agreement: both parties sign a termination agreement (no notice period required)
BailBelgique can generate both the termination agreement for the existing lease and the new commercial lease, ensuring a smooth legal transition.
Legal and fiscal impact
The conversion has significant legal and fiscal consequences:
| Aspect | Primary residence lease | Commercial lease |
|---|---|---|
| Governing law | Regional housing legislation | Act of 30 April 1951 |
| Minimum duration | 1 year (short-term) or 9 years | 9 years |
| Taxation of landlord | Cadastral income + 40% | Actual rent received |
| Renewal right | Automatic tacit renewal | 3 renewals of 9 years (on request) |
| Eviction indemnity | None (limited notice rules) | 1 to 3 years of rent |
The tax impact is particularly notable: the landlord’s tax burden typically increases because actual rental income (minus deductions) is used instead of the favourable cadastral income base.
Regional specifics
Brussels-Capital Region
Brussels requires a planning permit (stedenbouwkundige vergunning / permis d’urbanisme) for any change from residential to commercial use. The PRAS (Regional Land Use Plan) determines the permitted functions per zone.
Walloon Region
A planning permit is required under the Walloon Planning Code (CoDT). The sector plan (plan de secteur) determines whether commercial use is permitted at the property’s location.
Flemish Region
In Flanders, a change of function (functiewijziging) requires a planning permit under the Flemish Spatial Planning Code (VCRO). Some minor changes may benefit from exemptions.
Act of 30 April 1951 on commercial leases + Regional housing and planning legislation — Both the lease and the use of the property must be converted.