FUTURES FOR HISTORIC BUILDINGS Transfer of historic buildings in public ownership
- Katy Baldwin
- 15 hours ago
- 7 min read
 | Katy is Director for Housing Transformation Strategy. She is an experienced senior civil servant who has worked in a range of policy and finance roles at the Department for Work and Pensions, UK Government Investments (where she sat on the Board of HM Land Registry), the Ministry for Housing, Communities and Local Government, and HM Treasury. She started her career in heritage and archives, and has been a trustee at Highgate Cemetery and the Heritage Alliance. |
Katy identifies the potential for around 600,000 new homes by converting heritage commercial property to residential, unlocking housing above shops, and bringing underused homes back into use. She explains what a good disposal looks like, including to community organisations. There is a substantial list of references at the end. |
Introduction
“With any part of the public sector that is managing historic assets we stand ready to provide advice on managing those assets and disposing of them.” Emma Squire, Co-CEO, Historic England, giving evidence to the Culture and Media Select Committee, January 2026.
As a public sector surveyor or property manager, you are likely to encounter historic buildings at some point in your career - whether managing them, advising on their condition, repurposing them, or overseeing their disposal. Getting these decisions right matters: done well, the disposal of heritage assets can unlock housing, create community spaces and generate lasting economic value. Done badly, it can leave historic assets stranded, trigger costly planning disputes and damage the very buildings communities care most about.
New futures for old buildings
Historic England wants to find new uses and new futures for vacant or underused historic buildings. The best conserved building is one that has a use and is being cared for.
Historic buildings have huge potential to help address the country’s need for housing: in 2025 we published research (1) which identified the potential for between 560,000 and 670,000 new homes from converting commercial property to residential, unlocking housing above shops, and bringing underused homes back into use. This does not include the potential for housing on land surrounding heritage assets.
Reused historic buildings can support commercial activity, tourism, creative businesses (2) and community activities. We know that people value the heritage of their area, and that being around heritage can promote wellbeing (63% of people say that being in or around historic buildings positively affects their wellbeing (3). Similarly, research shows the loss of heritage leads to real distress (4).
As custodians of often significant or locally cherished heritage, the public sector has a responsibility to secure viable futures for the historic buildings it no longer needs.
The good and the bad
When the disposal of public sector heritage assets works well, historic buildings are conserved and new purposes are unlocked with important benefits to communities or society as a whole. At St Clements Bow in London, the reuse of a former workhouse infirmary created 73 homes as part of a wider development of 252 homes, 23 of which are owned by London’s first Community Land Trust.
When disposal does not work well, properties are sold but no viable use can be found. As a result, historic buildings become stranded assets, sitting empty and continuing to deteriorate. This can often lead to the new owner seeking agreement to greater levels of enabling development (5) on the site to try and make the site viable – sometimes with the risk of significant harm to the heritage assets. Failure to understand what is likely to be acceptable at the outset can then lead to protracted and expensive public inquiries and legal proceedings; and at the same time potentially damaging a heritage asset that could bring character and value to any resulting development.
These impacts are not just felt by the owner of the building. They impact on local communities who may have a desire to see the building brought back into use, may be concerned about the blight that results from empty buildings in poor condition, or may miss out on an opportunity to enhance the character of their local area. It can impact on local authorities’ plans to bring forward housing, or employment opportunities in the area.
Setting up a good disposal
An unsuccessful disposal often results from an unrealistic sales price or expectation of future value. This may not reflect a sound understanding of what is likely to be acceptable in planning terms on the site, or the condition of the asset and the work that will be required.
It is therefore vital that a public body looking to dispose of a historic asset:
Ensures that it understands the asset: its condition and its heritage significance. This is not limited to buildings, but may also include any archaeological interest or the setting
Understands the likely acceptable planning uses, through expert advice and by engaging with either the local planning authority or Historic England. The government recently consulted on changes to the National Planning Policy Framework which would promote the reuse of vacant and underused listed buildings. We expect the outcome of that process to be set out in a government response later this year.
It is also worth highlighting that local authorities have the power to dispose of any asset at ‘less than best’ consideration when that disposal will secure the promotion or improvement of the economic, social or environmental well-being of an area (under the General Disposal Consent Order (England) 2003). The disposal process can present opportunities for community groups who might benefit from the security that comes from managing or owning the asset.
The full extent of the responsibilities of public bodies looking to dispose of historic properties is covered in published guidance. The Office of Government Property publishes detailed guidance for central government on the management of surplus assets (6) and Historic England publishes guidance on disposals for central (7) and local (8) government, which is being updated. This also covers the wider responsibilities of public sector bodies looking to dispose of assets including, for local government, the need to engage with local communities.
The One Public Estate (OPE) programme (9), delivered in partnership by the Local Government Association and Cabinet Office, provides practical and technical support and funding to councils to deliver property-focused programmes in collaboration with central government and other public sector partners. In addition to technical and partnership support, OPE also runs the Brownfield Land Release Funding. In some circumstances, this has been able to support projects repurposing council-owned heritage assets for homes by providing modest capital grants to address viability issues.
Care of assets
Challenges with disposal of historic buildings can also result from the poor condition of a historic asset when it is finally sold. This was highlighted by the Culture, Media and Sport Select Committee, which singled out examples (10) of historic buildings which had required significant investment in repairs, including through Historic England grants, as a result of poor maintenance prior to disposal.
Government departments have a clear responsibility for the maintenance of their assets, as set out in the Protocol for the Care of Historic Government Estate (11) This includes requirements to carry out regular condition surveys, implement a programme of repairs and maintenance, and safeguard assets that are unused or in the process of disposal.
Historic England publishes a biennial report into the care of the government historic estate (12) which examines how well government departments are performing against the requirements of the protocol.
Transferring assets to the community
Disposal does not just have to mean selling to private developers. Increasingly, community-based organisations are taking on responsibility for managing buildings that were formerly owned by local authorities. By doing so, they can help to focus the energies of local communities and prevent these assets, which are often local landmarks, from falling into decay or inappropriate use. At the same time as protecting a key local asset, they can also provide a group with an anchor that helps them to develop their work.
In Leeds, a group of local residents campaigned successfully to take over the management of the Bramley Baths from Leeds City Council, when it was threatened with closure. The building was opened to the public seven days a week, and an imaginative events programme has helped the business to generate a surplus in its first year of trading.
Historic England (13) has published guidance for community groups and local authorities contemplating the transfer of a historic asset to the community. A key factor in a successful transfer is ensuring that community groups taking on heritage assets have a good understanding of what they are taking on, and the costs and responsibilities that this is likely to entail. In addition to guidance produced by Historic England, the Architectural Heritage Fund (14) is a key source of advice, expertise and funding. This can range from grants for early development work and project planning, through to loans for acquisition and as working capital for project delivery. Government recently announced £46m for the Heritage Revival Fund, run by the Architectural Heritage Fund, to help communities to take control of and look after local heritage and bring buildings back into public use.
Conclusion
Historic public sector buildings can deliver much-needed housing, vibrant community venues and renewed local pride — but only if they are managed and disposed of thoughtfully. As a surveyor or property manager working in or with the public sector, you are often the first line of defence in ensuring this happens well.
For this to happen successfully requires a good understanding of the significance and condition of the asset, and a realistic understanding of how it can be used and what it will cost to repair and restore it. Early engagement with expert advice is key, and Historic England stands ready to support public authorities as they to look to find new futures for their existing historic estate.
References
New Homes from Vacant Historic Buildings | Heritage Counts | Historic England
https://historicengland.org.uk/whats-new/news/local-historic-places-report-revealed/
New Report Reveals Local Historic Places Are Vital for Mental Health | Historic England
Enabling development is development that would not be in compliance with local and/or national planning policies, and not normally be given planning permission, except for the fact that it would secure the future conservation of a heritage asset
Biennial Report on the Care of the Government Historic Estate 2021-23 | Historic England
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