Quick answer#
Before leasing or renovating commercial space, confirm that the proposed business is allowed at the property and that the building can support the new use.
A change in business activity can trigger zoning review, a development permit, a building permit, trade permits, Building Code upgrades and occupancy approval even when very little construction is planned.
The safest time to identify these issues is before signing an unconditional lease, ordering equipment or beginning construction.
What is a commercial change of use?#
A commercial change of use occurs when a space will be used for a business activity that differs from its previously approved use.
Examples include converting retail space into a restaurant, an office into a medical clinic, a warehouse into a gym or a store into a daycare.
The wording used by municipalities can vary. A project may be described as a change of use, change of occupancy, change in major occupancy or change in approved business activity.
The local authority determines whether the proposed operation requires additional permits or Building Code review.
Why the previous tenant's approval may not cover your business#
A commercial unit is not automatically approved for every type of business simply because another tenant previously operated there.
The previous approval may have been based on a different occupancy classification, occupant load, floor layout, ventilation system, plumbing arrangement or fire-safety design.
A new operator may also introduce equipment, services, customers or hazards that were not part of the previous approval.
Confirm the approved use through municipal records rather than relying only on the landlord, listing agent or previous tenant.
Step 1: Confirm the property and unit#
Confirm the complete civic address, legal unit number and exact area included in the proposed lease.
Mixed-use and multi-tenant buildings can contain spaces with different approved uses and permit histories.
Make sure municipal records, leasing documents and design drawings all refer to the same unit.
Ask whether storage rooms, mezzanines, patios, basements or shared areas are included in the proposed operation.
Step 2: Identify the previously approved use#
Determine what use the municipality previously approved for the space.
The previous tenant's business name alone may not establish the approved occupancy or land use.
Review available permit records, occupancy approvals, approved drawings and business-licence information where available.
If the previous approved use cannot be confirmed, contact the authority having jurisdiction before proceeding.
Step 3: Describe the proposed business accurately#
Prepare a clear description of what the business will actually do inside the space.
Include the services provided, expected number of staff and customers, hours of operation, equipment, food preparation, treatment rooms, classes, assembly activities, storage and any hazardous materials.
Avoid using a broad label such as office or retail when the operation includes additional activities that may affect zoning or Building Code requirements.
Permit decisions are based on the real proposed operation, not only the name of the company.
Step 4: Check zoning and permitted land use#
Confirm that the proposed business is permitted in the applicable zoning district.
Some uses may be allowed outright, while others may require conditions, additional review, a development permit or rezoning.
Zoning review may consider factors such as location, floor area, parking, loading, hours, noise, outdoor activity and proximity to other uses.
A building that is physically suitable for the business may still be unusable if the proposed land use is not permitted.
Step 5: Determine whether occupancy classification changes#
The BC Building Code groups buildings and spaces according to how they are occupied and the risks associated with their use.
A proposed business may fall into a different occupancy classification from the previous tenant.
That change can affect exits, fire separations, occupant load, accessibility, washrooms, ventilation, structural loading and fire-protection systems.
The authority having jurisdiction makes the final determination regarding the applicable occupancy classification and required upgrades.
Common change-of-use examples#
Retail store to restaurant.
Office to medical, dental or therapy clinic.
Retail store to daycare.
Warehouse to gym or recreation facility.
Office to school or training centre.
Retail store to cannabis store.
Warehouse to brewery or food-production space.
Restaurant to assembly or entertainment venue.
Office to personal-service establishment.
Commercial unit to a place of worship or community gathering space.
Step 6: Review occupant load#
Occupant load is the number of people a space is designed or permitted to accommodate.
A new use may substantially increase the number of occupants compared with the previous business.
A higher occupant load can affect the required number and width of exits, door hardware, washroom fixture counts, fire alarm requirements and emergency planning.
Restaurants, gyms, classrooms, daycares, event spaces and other gathering uses often require particular attention to occupant load.
Step 7: Review exits and life safety#
Confirm the number, location and capacity of required exits.
Review exit travel distance, exit separation, door swing, door hardware, emergency lighting and exit signage.
Ensure proposed furniture, equipment, counters and storage will not obstruct required egress routes.
Changes in layout or occupant load may make an exit arrangement that worked for the previous tenant unsuitable for the new use.
Step 8: Review fire separations and fire protection#
Determine whether the proposed use affects required fire separations between the tenant space and adjacent occupancies.
Confirm whether existing fire alarm, sprinkler and suppression systems are suitable for the new layout and business activity.
Restaurants and commercial kitchens may require specialized fire-suppression and exhaust systems.
Alterations to ceilings, partitions, doors and service penetrations can affect existing fire-rated assemblies.
Step 9: Review accessibility requirements#
Review the accessible route from the property entrance to the tenant space and throughout areas intended for customers or staff.
Consider entrance thresholds, door clearances, corridors, service counters, changes in floor level and accessible washrooms.
A change of use or major renovation may trigger accessibility work that was not required when the space was originally built.
Existing conditions should be measured and assessed before finalizing the lease or design.
Step 10: Review washrooms and plumbing#
Confirm the number and type of plumbing fixtures required for the proposed occupancy and occupant load.
A new business may require additional toilets, lavatories, sinks, floor drains, grease interceptors or other plumbing equipment.
Restaurants, clinics, salons, daycares and food-production businesses often require more extensive plumbing than ordinary retail or office space.
Determine whether the building has adequate water, sanitary and venting capacity before selecting equipment or finalizing the layout.
Step 11: Review HVAC and ventilation#
Confirm whether the existing heating, cooling and ventilation systems can support the proposed use and occupant load.
Medical clinics, restaurants, salons, gyms and high-occupancy spaces may require additional outdoor air, exhaust or specialized ventilation.
Commercial cooking can introduce grease exhaust, make-up air and fire-suppression requirements.
The available electrical service, gas capacity and rooftop space may also limit mechanical-system options.
Step 12: Review structural and equipment loads#
Identify heavy equipment, storage systems, safes, tanks, commercial kitchen equipment and concentrated loads.
Gyms, clinics, food-production facilities and warehouses may impose loads different from those assumed for the previous tenant.
Cutting floor openings, installing rooftop equipment or adding suspended equipment may require structural review.
Confirm requirements before purchasing or installing major equipment.
Step 13: Identify required permits#
Depending on the project, approvals may include a development permit, building permit, plumbing permit, electrical permit, gas permit, mechanical permit, sign permit and occupancy permit.
A business licence does not replace construction or occupancy approvals.
Health, liquor, childcare or other agency approvals may also apply depending on the proposed operation.
The required permit sequence should be confirmed before construction begins.
Step 14: Check for open permits and unresolved work#
Ask whether the unit or building has open permits, outstanding inspection deficiencies or unapproved alterations.
Previous work completed without permits can delay or complicate the new application.
Do not assume that existing walls, plumbing, equipment or mezzanines were legally approved simply because they are physically present.
Clarify in the lease who is responsible for correcting pre-existing deficiencies.
Step 15: Confirm professional design requirements#
Commercial projects may require drawings and supporting documents prepared by architects, engineers or other qualified professionals.
The need for professional involvement depends on the building, project scope, occupancy and applicable regulations.
Possible disciplines include architectural, structural, mechanical, electrical, fire-protection and code consulting.
Confirm professional requirements early because design coordination can affect both schedule and budget.
Step 16: Make the lease conditional#
Consider making the lease conditional on satisfactory zoning, permit and feasibility review.
The agreement should clearly allocate responsibility for design costs, permit fees, code upgrades, base-building work and restoration obligations.
Confirm whether rent begins before permits are issued and whether the tenant receives enough time for design, review and construction.
Obtain appropriate legal advice before relying on lease conditions.
Documents to collect before design begins#
Current site plan and floor plan.
Previous approved permit drawings where available.
Previous occupancy permit or completion documentation where available.
Property and unit information.
Existing mechanical, electrical and plumbing information.
Fire alarm and sprinkler information.
Proposed equipment specifications.
Business-operation description.
Expected staffing and customer capacity.
Landlord design criteria and building rules.
Common warning signs#
The landlord cannot confirm the previously approved use.
Existing construction does not match municipal drawings.
The business requires substantially more customers, plumbing or ventilation than the previous tenant.
There is only one exit from a space proposed for a high occupant load.
The accessible entrance or washroom is missing or inadequate.
Major equipment has already been ordered before feasibility review.
The opening date depends on permits being issued unusually quickly.
The lease assigns all unknown code-upgrade costs to the tenant.
Common reasons projects become expensive#
Required accessibility upgrades were not identified before leasing.
Existing HVAC or electrical capacity cannot support the business.
Additional washrooms or plumbing infrastructure are required.
The proposed occupant load requires exit or fire-alarm upgrades.
Commercial kitchen exhaust cannot be routed through the building.
Unpermitted previous work must be corrected.
Professional design and coordination were not included in the original budget.
The proposed use requires a development approval that was not anticipated.
Vancouver-specific planning#
In Vancouver, a proposed change of use may require a development-permit review, and commercial alterations may also require a building permit.
The City provides a dedicated change-of-use development-permit checklist and separate processes for building and occupancy permits.
Vancouver states that an occupancy permit must be issued before applicable commercial space is occupied, including when there is a change to the proposed use.
Project-specific requirements should be confirmed with the City before relying on a target opening date.
Outside Vancouver#
Municipal procedures differ across British Columbia.
Burnaby, Surrey, Richmond and other authorities may use different application forms, submission systems, fees and review processes.
The BC Building Code establishes technical requirements, but local governments administer permits, inspections and occupancy procedures within their jurisdictions.
Always verify requirements with the authority having jurisdiction for the property.
Final pre-lease checklist#
Confirm zoning and permitted land use.
Confirm the previously approved use.
Describe the proposed operation accurately.
Determine whether occupancy classification may change.
Review occupant load and exits.
Review fire protection and fire separations.
Review accessibility.
Review washrooms and plumbing.
Review HVAC, exhaust and utility capacity.
Review structural and equipment loads.
Identify required development, building and trade permits.
Confirm occupancy-permit requirements.
Check for open permits or unapproved work.
Estimate professional, construction and code-upgrade costs.
Use appropriate lease conditions before making an unconditional commitment.
How PermitWave helps#
PermitWave helps commercial tenants and business owners identify likely permit risks before signing a lease or beginning renovations.
A Permit Preview can organize project information involving zoning, previous use, occupancy classification, occupant load, accessibility, fire safety, plumbing and mechanical systems.
The goal is to help users identify important questions early and prepare for discussions with landlords, designers and local authorities.
Final permit requirements and approvals are determined by the authority having jurisdiction.
Official references
Change of Use Development Permit Checklist
City of Vancouver
Get an Occupancy Permit
City of Vancouver
Commercial Business Permits
City of Vancouver
Tenant Improvement Program
City of Vancouver
Apply for a Business Licence
City of Vancouver
Building or Renovation Permits
Government of British Columbia
BC Building Code 2024
Government of British Columbia
British Columbia Building Code
BC Publications
Building Code Appeal Board Decision 1779
Government of British Columbia