Developers try to get go-ahead for new shared house in South Shields as tougher new rules come into force
Plans for a new six-bedroom house in multiple occupation (HMO) in South Shields have been submitted to council development bosses.
South Tyneside Council’s planning department has received an application for 3 Loudon Street in the town’s Whiteleas ward.
Plans from DCN Property Investments Ltd are seeking permission to convert the site from a “residential dwelling” planning class to a “six-bed, six-person HMO.”


A planning application notes that work already started on the property in July, 2025, but has not been completed and floor plans show how the HMO’s en-suite bedrooms would be arranged.
This includes three bedrooms on the ground floor, along with a utility area, kitchen/dining area and a living room and three bedrooms on the first floor.
A design, access and planning statement submitted with the HMO application noted that works “already commenced” under “permitted development rights” that were previously in place for HMOs, noting that the six-bed HMO did not need planning permission at the time works started.
Following South Tyneside Council’s recent decision to launch an “immediate” borough-wide Article 4 Direction removing such permitted development rights for small HMOs, the applicant submitted a planning bid for the Loudon Street property to “regularise the development.”
Applicants said that the proposed site was in a “highly sustainable location” near bus and Metro services and cycling infrastructure, supporting “car-free” or “low-car” living, and that bedrooms and communal facilities would “significantly exceed the space standards” set out in council guidance.
It was noted that the existing garage to the south would be converted to create a “spacious sixth bedroom” and that the “development is designed to deliver a premium living environment, aiming for a finish comparable to high-end hospitality standards”.
It was also noted that to “support modern professional living (including working from home), each room is equipped with a dedicated working desk, TV, and hardwired data points for superfast broadband” and that private en-suites would ” reduce reliance on shared facilities”.
The design, access and planning statement adds: “The proposed change of use contributes to the mix of housing available in South Tyneside.
“Small HMOs provide a vital source of affordable accommodation for young professionals and key workers.
“The site is located in a mixed-use area near Stanhope Road, where higher-density living is appropriate and supported by infrastructure.
“A primary driver for this application is the specific demand from local key workers and professionals who require high-quality, flexible accommodation near their place of work [and] the site is uniquely positioned to serve one of the borough’s largest employment hubs.”
In the context of the site’s close proximity to South Tyneside District Hospital, developers added there was a “well-documented demand for high-standard rental accommodation for rotating junior doctors, nursing staff, and healthcare professionals who work irregular shifts and require proximity to the hospital without the financial burden of maintaining a full single-household property”.
Developers said that the proposed HMO layout “places communal areas away from party walls where possible” and that the property would be managed to “ensure tenants respect neighbours”.
The design, access and planning statement adds: “The proposal seeks to bring high quality accommodation to the area, the external frontage remains unchanged, preserving the character of Loudon Street [and] the location is exceptionally well-connected to public transport, justifying a lower reliance on private parking.
“Although an Article 4 Direction is in place, this specific proposal is of a high standard and appropriate scale (6 persons) that will not undermine the community cohesion or amenity of the area.
“We therefore respectfully request that planning permission be granted.”
A decision on the planning application is expected following a council consultation exercise.
For more information on the plan, or to track its progress, visit South Tyneside Council’s planning portal website and search reference: 250751
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