Supporting charities with vacant commercial space

In the second quarter of 2024, the commercial property vacancy rate in the City of London and East London reached 9.8% and 14.8%, respectively. Instead of allowing these spaces to remain vacant, businesses can transform them into valuable community assets supporting charitable causes.

At 1st Formations, we believe in leveraging our resources to create meaningful change. That’s why we’ve partnered with ASTOP, a pioneering organisation dedicated to repurposing empty commercial spaces for charitable use, helping to turn unused properties into vital resources for the community.

We spoke to Shaylesh Patel, the founder of ASTOP, to understand how more businesses can effectively support charities through partnerships like ours.

Giving empty commercial space a purpose

Commercial landlords often hold onto empty space, unsure what to do with it. However, instead of leaving it vacant, businesses can support their local communities by offering it to needy charities. This is where ASTOP comes into play.

Shaylesh recalls the origins of his social enterprise: “From my old accounting days, I remember charities used to get a big discount on business rates. We thought, why not reach out to our contacts in the commercial property world and ask if they’d give us space rent-free on a rolling one-month notice? The landlord could turf us out whenever they wanted.”

He emphasises that space is the biggest problem for the charity sector after finance: “Charities often struggle to find affordable places to operate. That’s how ASTOP was born…out of genuine need.”

The benefits of renting out space for charities

Renting out unused space for charitable use offers numerous benefits for a company. First, it brings a positive social impact by helping charities operate in prime locations without the high costs, such as 1st Formations’ offices in Covent Garden.

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In addition, it strengthens community ties, enhances a company’s reputation and demonstrates corporate social responsibility. Finally, landlords can benefit from receiving empty property rates relief while their premises are occupied by charities and community-driven projects.

“For landlords, it’s a no-brainer,” says Shaylesh. “It’s a win-win because the council’s happy, the landlord’s happy, and the charity gets free space to do some seriously amazing work.”

How ASTOP connects landlords and charities

From its humble beginnings, ASTOP has become a powerful force for good, bridging the gap between landlords and charities. So, what exactly does this mean for businesses and the wider community when vacant commercial space is repurposed for charitable use?

• Charities get access to the space they need.
• Landlords avoid the risks and costs of prolonged vacancies.
• Local communities benefit from better resource distribution.

“We’ve transformed over 500 empty spaces,“ says Shaylesh. “One, for example, was an old Debenhams store in Southside Shopping Centre. With so many people living in Wandsworth, we turned it into a food bank with a retail front and warehouse in the back. It was exactly what the charity needed but could never afford.“

How can charities find free or low-cost space?

Charities frequently face challenges when renting commercial space, particularly in London. For one thing, bureaucracy and a lack of interest from landlords can make the process difficult, especially with larger property owners. However, there are key steps charities can take to secure the space they need:

• Connect with ASTOP or similar initiatives: There are property networking groups and charity-focused agencies that match businesses with organisations in need.
• Approach local businesses directly: Some companies may have unused space they’re willing to donate or lease at a low cost.
• Check with local councils: Some councils offer support for social enterprises and can provide guidance on accessing affordable office space.
• Consider temporary or co-working spaces: Shared office space offers flexible, cost-effective solutions for charities with fluctuating needs.

Transforming vacant space for community-driven projects

ASTOP’s efforts have transformed vacant spaces into valuable community hubs. Shaylesh points out that the charities and community projects benefiting from these spaces are incredibly diverse: “There’s a charity for everything,” he says. “We had a landlord with a Central London property – hidden, with no signage. It’s a higgledy-piggledy building but is suitable for a domestic violence charity, offering a safe space for women to seek help discreetly. These landlords are saving lives.”

He goes on to share an inspiring example from a charity in Scotland:

“There’s a charity that could take about 30 school kids, all between 14 and 17 years, and teach them personal resilience skills and tolerance because these kids could potentially end up in gangs. The goal is for the charity to take them on an Arctic expedition. The founder of this charity used to store the training equipment in his garage, but that meant he could only help about 7 to 10 kids over an academic year. Now he can help three to four times as many kids thanks to the space we found to store the equipment.”

Shaylesh also highlights the importance of safe space for creative expression: “For example, we gave space in Earls Court to an LGBTQ+ charity for theatre rehearsals. They specifically needed an isolated space to rehearse freely, since being in the wrong part of town could lead to trouble. Ultimately, it’s a safe space to rehearse, so they’re comfortable.”

Why aren’t more landlords doing this?

Many landlords hesitate to repurpose empty commercial space despite the benefits. Some of the most common concerns include: 

• Doubts over legal and financial risks: Some landlords worry about complex lease agreements and potential liabilities.
• Lack of awareness: Many property owners don’t realise initiatives like ASTOP exist.
• Perceived loss of profitability: Landlords fear they’ll miss out on commercial rental income even if the space remains empty for extended periods.
• Uncertainty over short-term agreements: Some landlords prefer long-term tenants and are unsure about the logistics of temporary charity use.

To address these concerns, ASTOP provides clear guidance, legal support, and structured agreements that benefit landlords and charities. 

Shaylesh acknowledges that many landlords hesitate to get involved: “Some landlords just don’t see the value,” he says. “I once told a lawyer I could save his client £250,000 – he shrugged and said it wasn’t worth his client’s time.”

He explains that ASTOP’s work goes beyond office space: “It’s not just about office space,” he points out. “There are huge swathes of unused office furniture that companies must legally dispose of. Instead of sending it to landfill or paying to transport it, it could be donated to office furniture charities or schools, helping those who need it the most.”

Even seemingly unusable spaces can serve a purpose, Shaylesh recalls one particularly creative solution: “We had a unit that had no toilets, no lights—some would see that as unusable, but charities can make it work, even as storage. We helped turn it into storage for scout tents to let them dry between expeditions. It’s a great example of how charities can make the most of whatever space is available.”

How 1st Formations is partnering with ASTOP

“At 1st Formations, we want to meaningfully contribute to our local community,” says Graeme Donnelly, CEO and Founder of 1st Formations. “By collaborating with ASTOP, we are providing up to 13 charities with 3,000 sq.ft. of air-conditioned office space, allowing them to continue their essential work.”

Partnering with organisations like ASTOP makes the process seamless, impactful, and rewarding for businesses considering similar initiatives.

“Some companies only do this to save money, but 1st Formations is different,” says Shaylesh. “When I put charities into their smaller rooms, the council will charge business rates. There will be no financial benefit. This is next-stage CSR.”

How can businesses support charities with vacant commercial space?

Imagine if your business could support a charity simply by offering up an unused meeting room or storage space. In fact, what kind of impact could your company make on the local community? Here are four simple steps to get started:

1. Assess available space – Identify any underused or vacant commercial areas to repurpose.
2. Partner with an organisation like ASTOP – They facilitate the process, ensuring a smooth transition for landlords and charities.
3. Offer flexible short-term arrangements – Charities often need temporary spaces, so flexibility can make a big difference.
4. Spread the word – Raising awareness about the initiative among other businesses and landlords can help expand the impact.

The future of ASTOP and business-charity partnerships

The commercial property landscape is changing, and ASTOP is at the forefront of this shift.

In the coming years, its goal is to expand its reach and support even more communities by working with a broader range of businesses. Increasing awareness about the benefits of repurposing vacant commercial spaces is crucial for continued success.

How your business can get involved

Supporting charities through providing commercial space is a win-win – companies not only put their unused resources to good use, but charities also gain access to the facilities they need to make a difference.

If your business has vacant space, then consider partnering with ASTOP. By doing so, you can make a lasting difference in your community. So, reach out today to learn how to support a needy charity.

Want to help spread the word? If so, share this article with other businesses in your network to inspire more impactful partnerships. Alternatively, visit the 1st Formations Blog for more insights and inspiring stories. We’d love to hear your thoughts or questions in the comments below.