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Change of use in Bulgaria: turning a flat into an office, practice or shop
17 October 2026

Change of use in Bulgaria: turning a flat into an office, practice or shop

A ground-floor flat often looks ideal for a practice, an office or a small shop — and frequently it is. But a home does not become an office because the owner decides so. Bulgaria's Spatial Development Act (ЗУТ) sets clear conditions, and using a dwelling for something else without a formal change of use is a violation that can prove expensive. Here is how the procedure works, and what to check if you are buying a unit that has already been converted.

What Art. 38 of the Spatial Development Act says

The rules depend on what you are converting the flat into and which floor it is on.

New useWhere it is allowedWhose consent is needed
Office, healthcare practice, studio for individual creative work (para. 3)Ground floor or semi-basementExpress written, notarised consent of all owners of flats that are immediate neighbours
The same, on a higher floor (para. 3, by exception)Other above-ground floorsDecision of the owners' general meeting + notarised consent of all immediate neighbours
Shop or other service activity (para. 4)Ground floor only, with a separate entrance outside the residential entrance and common areasDecision of the owners' general meeting + notarised consent of all immediate neighbours

In every case the conversion must meet sanitary, fire-safety and other technical requirements. The Act does not define exactly who the "immediate neighbours" are — clarify this early with the architect and the municipality, because one missing consent stops the procedure.

The owners' meeting under the Condominium Management Act

The Condominium Management Act (ЗУЕС) sets no special majority for decisions under Art. 38. The general rule therefore applies — more than 50% of the ownership shares represented (Art. 17(3) ЗУЕС), with a quorum of at least 51% (Art. 15(1)) and a fallback if the quorum is not met. If the project changes the use of common parts, however — say part of the stairwell or entrance area becomes part of the unit — it needs 100% of the ownership shares (Art. 17(2)(1) ЗУЕС), and taking over common parts also requires the notarised consent of all owners (Art. 185(2) ЗУТ).

To find out who convenes the meeting and keeps the minutes, check the public register of building managers.

Parking — the common stumbling block

Under Art. 38(9) ЗУТ, a change of use is not permitted if the required garages or parking spaces for the new unit cannot be provided on the plot. The authority issuing the building permit may allow exceptions (para. 10). In densely built neighbourhoods this question often decides everything — raise it with the architect at the first meeting.

Permits: with or without construction work

  • No construction or installation work — the municipal chief architect issues a change-of-use permit (Art. 147a ЗУТ), provided Art. 38 is met, building rules are not breached and the competent authorities have given positive opinions on the new activity. The permit is notified to interested parties and published in the Unified Public Register for Spatial Development.
  • With construction work (a new entrance, a shop window, services, partition walls) — an approved design and a building permit are required (Art. 148 ЗУТ). A structural engineer's opinion confirming that the building's load-bearing capacity is unaffected is mandatory, plus a structural design if the structure changes (Art. 38(7)).

Once the works are complete, the unit is commissioned under the Act and the change is entered in the cadastre. Using a building other than for its designated purpose is prohibited (Art. 178(4) ЗУТ) — in case of violation the mayor or the National Construction Control Directorate can ban the use and order electricity, water and other supplies to be cut off (Art. 178(5)–(6)).

Requirements by type of activity

The planning change is only the first step. Some activities come with their own requirements for the premises:

  • Medical or dental practice — the practice is registered with the regional health inspectorate under the Medical Establishments Act, and the premises must meet health requirements.
  • Shop or food business — the premises must be registered with the regional food safety directorate before trading starts (Art. 23 of the Food Act).
  • Fire safety — the design must follow Ordinance No. Iz-1971 of 2009, and day-to-day operation Ordinance No. 8121z-647 of 2014.

Tax consequences

The unit is now non-residential, and that shows in the tax bill:

  • The tax valuation follows the rules for non-residential property; if a company owns it, the base is the higher of book value and the valuation under Annex 2 of the Local Taxes and Fees Act (Art. 21(1) ЗМДТ).
  • The 50% main-residence relief (Art. 25(1) ЗМДТ) no longer applies — it is for homes only.
  • The municipality sets the waste fee for non-residential property separately, and it usually differs from the residential one.
  • The change must be declared to the municipality (Art. 14(3) ЗМДТ).

The general mechanics are in our guide to property tax and the waste fee.

The other direction: office or studio back to a home

When a unit that was converted to non-residential use is restored to residential use, no consent from the other owners is needed (Art. 38(6) ЗУТ). Non-residential units built in an existing building can change use under the general procedure without consent, provided common parts are not affected and there is no excessive noise or pollution (Art. 38(5)). How this works for studios (ателиета) built as such — and why a studio is not simply a cheaper flat — is covered in a separate guide in this series.

Buying a unit that has already been converted? Check

  • The building permit or change-of-use permit, and the approved design
  • The notarised consents and the general meeting minutes (where required)
  • The commissioning document issued after the conversion
  • The cadastral sketch — the use must be shown as non-residential (office, shop, etc.)
  • The tax valuation — the unit should be declared as non-residential
  • Activity-specific registrations (health inspectorate, food safety agency) if you are buying a going concern

A title deed on its own does not prove that the conversion is legal — just as it does not prove the building itself is, as the Varna case showed. An "office" that is a flat on paper is a flat — and the buyer inherits the problem.

This article is general information, not legal advice for a specific case — for the procedure itself, work with an architect and a lawyer.

If you are looking for premises for an office, practice or shop — or want the documents of an already converted unit checked — call us or visit our office. Information verified October 2026.

Author

Petar Bahnev

Petar Bahnev

Senior Broker

"Location matters most for a good investment; client satisfaction matters most for a good deal."