Yes, but it requires a new contract and planning authorisation

Quick answer

A residential lease can be converted to a commercial lease, but this requires terminating the existing lease and signing a new commercial lease governed by the Act of 30 April 1951. The change of use typically requires a planning permit and the landlord’s explicit consent.

A simple addendum is not sufficient because the two types of lease are governed by fundamentally different legal regimes. A residential lease is subject to regional housing legislation (with strong tenant protections), while a commercial lease falls under federal commercial lease law (with different rules on duration, renewal, and termination).

Steps to follow

  1. Obtain the landlord’s written consent — the landlord is not obliged to agree
  2. Terminate the residential lease following the applicable notice period and indemnity rules
  3. Apply for a planning permit for the change of use (residential to commercial)
  4. Negotiate and sign a new commercial lease with a minimum duration of 9 years
  5. Register the new lease with the SPF Finances via MyRent
  6. Update the cadastral records to reflect the new use of the property
Important

Operating a commercial activity in a property leased under a residential lease without conversion constitutes a breach of contract. The landlord may seek termination of the lease and damages.

Planning and tax implications

The change of use from residential to commercial has significant consequences:

  • Planning permit: required in most municipalities for a change of function
  • Taxation: the landlord will be taxed on actual rental income (not the cadastral income) for commercial leases
  • Property tax: the cadastral income may be reassessed
  • Co-ownership: if the property is in a co-ownership, the change of use may require approval from the general assembly
  • Insurance: both landlord’s and tenant’s insurance policies must be updated

The tax impact is particularly significant: for residential leases, the landlord is taxed on the indexed cadastral income plus 40%, but for commercial leases, the landlord is taxed on the actual rent received minus a cost deduction.

Regional specifics

Brussels-Capital Region

In Brussels, a change of use from residential to commercial requires a planning permit from the municipal authorities. Brussels has specific zoning plans (PRAS) that determine where commercial activities are permitted.

Walloon Region

Wallonia requires a planning permit for changes of use. The municipal authorities assess whether the commercial activity is compatible with the local planning regulations (plan de secteur).

Flemish Region

In Flanders, a change of use (functiewijziging) requires a planning permit under the Flemish Spatial Planning Code. Certain changes may be exempt if they fall within specific categories.

Legal basis

Act of 30 April 1951 on commercial leases + Regional planning legislation — The conversion requires both a new lease and planning authorisation.