For years, traditional buy-to-let has been the foundation of most landlords’ portfolios. In today’s market, growth isn’t just coming from adding more properties — it’s also coming from how landlords use them.
We’re increasingly seeing a shift in mindset.
It’s not just about what you buy anymore — it’s about how you repurpose it.
A shift towards more strategic investing
While standard buy-to-let still has an important role to play, more experienced landlords are starting to look beyond single-let properties.
Two areas in particular are gaining traction:
• HMOs (houses in multiple occupation)
• Semi-commercial or mixed-use properties
Both can offer opportunities to enhance income — but with mixed-use, there’s often an additional advantage: the ability to create value through reconfiguration or repositioning.
A real-world example
From what we’re seeing in practice, one recent example involved a landlord who’d purchased a mixed-use building and carried out a focused refurbishment to improve the layout and value.
Rather than holding the entire asset, they took a more strategic approach:
• The commercial element was sold on separately, changing the overall structure of the investment
• The residential units above were retained and improved
As a result, the investment delivered:
• A notable increase in the value of the residential units
• A strong rental yield for this particular property
• A more focused, income-producing long-term investment
While outcomes like this will vary depending on the property, location and approach, it offers a useful example of how some landlords are thinking more strategically.
Why repurposing works
Opportunities like this don’t happen by accident. They’re the result of looking at property differently.
Mixed-use and semi-commercial assets can offer:
• Pricing differences compared to pure residential property
• The potential to add value through refurbishment or reconfiguration
• Flexibility to split the asset and sell part while retaining income-producing units
• A way to recycle capital earlier than with a traditional buy-to-let
• The opportunity to improve EPC ratings as part of refurbishment, supporting long-term letting strategy
In short, it’s a more hands-on, strategic approach to investing.
It’s not for everyone
Of course, this type of project comes with additional considerations.
Compared to a straightforward buy-to-let purchase, you may face:
• More complex lending requirements
• Higher upfront costs
• Planning or refurbishment risks
• A need for greater experience and more specialist advice around lending, structure and long-term strategy
That’s why this kind of strategy tends to appeal to more established landlords — those with experience in property, design or development, or those working with a specialist team to support their portfolio.
In many cases, success depends on having the right team in place — from advisers and lenders to planners and project support — working together to deliver the right outcome.
The role of the right advice
Repurposing property successfully isn’t just about spotting an opportunity — it’s about structuring it carefully from the outset.
• From choosing the right lending solution
• To supporting different stages of the project
• The approach you take can have a significant impact on both flexibility and long-term returns
Having the right advice in place can make a meaningful difference to the overall outcome.
A different way to think about your next investment
As the market evolves, landlords are increasingly recognising that growth doesn’t always come solely from acquiring more properties.
Sometimes, the greatest gains come from doing more with what you buy.
Because in today’s environment, it’s not just what you buy — it’s how you repurpose it.
If you’d like to discuss your plans, get in touch with our team by calling 08000 38 37 36 or clicking here — we’d be happy to help.
This is for information only. Products and rates vary depending on your circumstances, lender criteria and products available at the time.
There may be tax implications when arranging this type of transaction, this depends on your personal circumstances and may change. We recommend that you take independent tax advice before making these decisions.
