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Commercial Development:

Policy and Practice

Shortt E
Sh Evening
i L
Lectures
t Programme
P
October 2017

Robert Vella
Unit Manager
Unit Manager
Business Development Unit
Planning Authority
Learning outcomes.

1
1. Recent de
developments
elopments in legislation
legislation,
procedures, and other planning measures,
and how these affect applications
pp for
commercial development;

2
2. Understanding the importance of the Use
Classes Order as the main planning legislative
instrument affecting commercial
development;

3
3. A brief introduction to the Regeneration and
Consolidation Initiative Policy and its use in
the determination of planning applications.
The Businessense Initiative
The Businessense
• A series of business friendly initiatives
• Launched in early 2014
Launched in early 2014
• Setting up of the Business Development Unit
• Designed to provide a defined contact 
p
platform for SMEs 
• Supported by the introduction of a series of 
economic incentives
i i ti
• Pre‐dating major legislative changes
New Legislation relevant to 
g
Commercial Development
Act VII of 2016 (CAP. 552)
Development Planning Act, 2016

• Establishes the new Planning Authority
• Gives the Authority the power to make Planning and 
Gi th A th it th t k Pl i d
Development Regulations
• Details the Requirement of Permission
y p g
• Gives the Authority the power to grant, refuse, or 
even revoke Development Permission
Development Planning Act, 2016
p g ,
Article 70 (2). (Requirement of permission.)

Wh t
What constitutes development? 
tit t d l t?

“…the making of any material 
g y
change in use of land or building 
and sea…”
Development Planning Act, 2016
p g ,
Article 70 (2). (Exceptions).

What does not
Wh td t constitute 
tit t
development? 
development?
“in the case of buildings or other land that are used
“in the case of buildings or other land that are used
for a purpose of any class specified in an order
made by the Minister, as the case may be, under this 
Act, the use thereof for any other purpose of the 
same class;”
Development Planning Act, 2016
p g ,
Article 72.
• The Planning Board shall have the power to grant or 
refuse a development permission
refuse a development permission. 
• In doing so, the PB shall have regard to: 

1. Plans; ;
2. Policies;
3 Regulations made under the Act. 
3. Regulations made under the Act

Provided that these are approved and published. 
Development Planning Act, 2016
p g ,
Article 72.

Th PB h ll l h
The PB shall also have regard to: 
dt
“any other material  consideration, including
surrounding legal commitments
su ou d g ega co t e ts,, 
environmental, aesthetic and sanitary considerations, 
which the Planning Board may deem relevant;
which the Planning Board may deem relevant;
Development Planning Act, 2016
p g ,
Article 72.

“Provided that subsidiary plans and policies shall not 
be applied retroactively so as to adversely affect 
pp y y
vested rights arising from a valid development 
permission, or a valid police or trading 
permission, or a  valid police or trading
license issued prior to 1994;”
Development Planning  (Procedures for 
Applications and their Determination) 
Regulations, 2016. (S.L.
g , ( 552.13; LN 162/16)
; / )

Regulations for submission, assessment and 
l f b d
determination of applications.
Three types of applications: 
a)) Summary Procedure
y
b) Full Development Permission
c) Outline Development Permission
Outline Development Permission
Development Planning  (Procedures for 
Applications and their Determination) 
Regulations, 2016. (S.L.
g , ( 552.13; LN 162/16)
; / )

Assessment procedure
d

• Full Development Permission
• Consultation with 11 external entities
Consultation with 11 external entities
• 100 days from publication to report
• 100 Euros daily refund
E d il f d
Development Planning (Use 
p g(
Classes) Order, 2014. (LN 74/2014.)
Main Act (Article  70) – What does NOT constitute development?

“in the case of buildings or other land that are used for a purpose 
of any class specified in an order made by the Minister, as the 
of any class specified in an  made by the Minister as the
case may be, under this Act, the use thereof for any other 
purpose of the same class;
purpose of the same class;”

Use Classes Order Article 3 (1): 
Use Classes Order Article 3 (1):
Use of Building or Land within the same class shall not be
deemed as development
deemed as development. 
Development Planning (Use 
p g(
Classes) Order, 2014. (LN 74/2014.)
Main scope of regulations :
p g
Determining the need for Development Permission

• To identify types of development having similar 
i
impacts on amenity
t it
• To identify types of development having unique 
impacts on amenity
• To group similar types into “categories” and 
“classes” of development 
Development Planning (Use 
p g(
Classes) Order, 2014. (LN 74/2014.)
Schedule (Relating to Article 3(1).)

8 Categories of uses.
A – Residential 
A  Residential
B – Social 
C – Tourism and Leisure 
C – Tourism and Leisure
D – Commercial 
E Industrial 
E – Industrial
F – Storage and Boathouses
G Agriculture
G –
H – Aquaculture
Development Planning (Use 
p g(
Classes) Order, 2014. (LN 74/2014.)
Each Category contains different use classes. 

Eg. Category D – Commercial Uses

Use Class 4A  ‐ Financial, Professional and other offices 
Use Class 4B  ‐ Retail
Use Class 4C  ‐ Food and Drink Establishments where no cooking is allowed
Use Class 4D  ‐ Food and Drink Establishments where cooking is allowed

Change of use from Office (4A) to Restaurant (4D) = Permit required
Change of use from Bar (4C) to Beauty Salon (4B) = Permit NOT required
Change of use from Bar (4C) to Beauty Salon (4B)    Permit NOT required
Permit NOT required = Notification to PA; reply within 30 days.
Development Planning (Use 
p g(
Classes) Order, 2014. (LN 74/2014.)
Article 4
P id
Provides a list of uses not within any class.
li t f t ithi l

Eg.  Bakery 
ood ta e a ays, c ud g past e a
food take‐aways, including pastizzeria
aqualung fillers
supermarkets
betting shops
sale or display of motor vehicles
Development Planning (Use 
p g(
Classes) Order, 2014. (LN 74/2014.)
Introduction of new concepts – Commercial uses
within residences being considered as Residential
ithi id b i id d R id ti l
Development. 

Article 3 (2) (ii) 
tce3( )( )

Class 1(c) –
Class 1(c) Lodging up to 16 persons in own home; 
Lodging up to 16 persons in own home
(now considered to be a residential use).
Class 1 (d)  ‐
( ) “Casa bottega” – working from home.
Development Planning (Use 
p g(
Classes) Order, 2014. (LN 74/2014.)
Lodging house

Class 1(c) 

• lodging of not more than sixteen persons, 
odg g o ot o e t a s tee pe so s,
provided that the operation is licensed by the 
Malta Tourism Authority and the premises are 
y p
located within an Urban Conservation Area.
Development Planning (Use 
p g(
Classes) Order, 2014. (LN 74/2014.)
“Casa Bottega”
Class 1(d) 
Five conditions:
Five conditions: 

i) Uses less than half residential floorspace
Uses less than half residential floorspace (max. 50 sq.m.)
(max 50 sq m )
ii) Activities which are compatible with residential use
iii) Is not client intensive
Is not client intensive
iv) Does not generate excessive traffic
v) No undue detriment to amenity of residential areas
No undue detriment to amenity of residential areas
vi) Not in apartment blocks; no common access
Partial Review of Subsidiary Plans: 
y
General Policy relating to 
Regeneration and Consolidation Initiatives
Regeneration and Consolidation Initiatives
How do we assess applications? 
pp

Main Act, Section 72: 

The Planning Board shall have regard to Plans, 
Policies, Regulations and Legal Commitments.
Partial Review of Subsidiary Plans: 
y
General Policy relating to 
Regeneration and Consolidation Initiatives
Regeneration and Consolidation Initiatives
Main scope of Partial Review: 
a scope o a t a e e :
“to introduce a flexibility clause that allows PA to 
b tt
better assess development application proposals 
d l t li ti l
which promote sustainable growth in Tourism Areas
as well as regeneration and employment 
consolidation initiatives that may be neighbourhood
compatible and in some cases could also positively
contribute to the amenity of the areas in question ”
contribute to the amenity of the areas in question.”
Partial Review of Subsidiary Plans: 
y
General Policy relating to 
Regeneration and Consolidation Initiatives
Regeneration and Consolidation Initiatives
Why did we propose this policy?
Why did we propose this policy? 

“in certain cases the approved subsidiary policies 
may not reflect realities which transpired since the said 
policies’ approval.”

“The goal of this policy is not intended to supersede either the 
general thrust or the direction given by the specific policies in
general thrust or the direction given by the specific policies in  
the Local Plan. It is only intended to give the PA a degree of 
flexibility in identified situations where a justified departure 
may be deemed sensible or desirable from a planning 
point of view.”
Mdina Rd., Qormi
Upper Constitution Str., Mosta
Partial Review of Subsidiary Plans: 
y
General Policy relating to 
Regeneration and Consolidation Initiatives
Regeneration and Consolidation Initiatives
Where do we apply this policy?
Where do we apply this policy? 

a) Tourism localities
b) Areas specifically identified for Regeneration
c) Properties of considerable conservation value
d) P
Properties having a façade on a square
ti h i f d
e) Legitimate operating premises which intend to expand
f) Facilities which accommodate infrastructure or social and
Facilities which accommodate infrastructure or social and 
community facilities
g) Properties in areas which are already occupied by a 
considerable level of legitimate commitment
Partial Review of Subsidiary Plans: 
y
General Policy relating to 
Regeneration and Consolidation Initiatives
Regeneration and Consolidation Initiatives
Where do we NOT apply this policy? 
Where do we NOT apply this policy?

a) Residential Priority Areas
b) Urban Conservation Areas and Scheduled Areas
c) Outside Development Zone

The applicant always has to prove that
the site qualifies.!!
Growing your business:
Planning Policies for Commercial
Development Applications

B i
Business Development Unit
D l t U it

robert.vella@pa.org.mt
robert vella@pa org mt
Unit Tel. No. : 22901030

Customer Care Helpline: 22902019

customercare@pa.org.mt

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