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The Laurex Process: Investment Selection
Know Your Zoning
By Nancy Chadwick
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After location, zoning is probably the most important
characteristic of any type of real estate. It is the obvious starting point
for evaluating a parcel’s potential for development because it spells out
what you can do with the property. Zoning is a critical piece of the puzzle
particularly if you want to be a land developer, an investor or work with a
builder in some way. Save yourself much time, energy and frustration by
checking out the zoning first, not last.
Local governments enact zoning ordinances and adopt the maps that show the
physical boundaries of the zoning districts, and these are modified
periodically. To determine the current zoning of a particular property, you
would first look at the zoning map to see what district it falls in and then
consult the current zoning ordinance. Both of these documents are available
for review or purchase at the municipal building. What will you find in the
ordinance?
It tells you what land uses are permitted in each district or
classification. These classifications generally include residential, mixed
residential, mobile home, commercial, shopping center industrial, office,
and conservation. The ordinance also lays out other standards and
requirements, such as the minimum lot size, minimum lot width, dimension of
setbacks, height restrictions and building coverage. It contains definitions
that help you understand the terminology used throughout the ordinance.
There are general provisions that apply to every zoning district, and these
deal with issues like non-conforming properties and uses, accessory
structures and uses, flag lots, fencing, signage and minimum lot frontage
requirements.
Provisions for a specific zoning district can often include both “by right”
and “conditional” uses. For example, single-family detached dwellings,
agricultural uses and governmental recreation areas may be permitted in a
district. A privately-owned riding academy, stable for horses, public or
private day schools, 18 hole golf courses, places of worship and day care
facilities are permitted in that district only when authorized by the
municipal Zoning Hearing Board as a special exception. This latter group of
uses is not permitted automatically, and to get a special exception, you
would have to demonstrate that your use falls within those defined in the
ordinance and also complies with any requirements, such as minimum site
area, building and paving coverage, and buffering, specific to that
conditional use.
It would be helpful to remember some key points about zoning. Land use and
regulation laws vary from state to state. Terminology and nomenclature vary
from municipality to municipality, even within the same county in the same
state. For instance, the “R-2” zoning classification in one municipality may
mean that single-family detached housing is permitted on a minimum lot area
of 35,000 sq. ft., with a lot width of at least 125 feet, and front, side
and rear setbacks (yards measured from the parcel boundaries to define the
area where a structure can be built) of 60, 20 and 80 feet, respectively. Go
to another municipality, and you could find that the R-2 District permits
single-family detached housing on 43,560 sq. ft. lots 150 ft. wide with
front, side and rear setbacks of 60, 25 and 80 feet. You should not assume
that the same name used for a classification in different municipalities
means the same thing and when marketing land to potential buyers, be sure to
include information on the permitted use and requirements for minimum lot
size and width. Describing the zoning of the property only as “R-5”, “MR-1”
or “C-2” is meaningless.
Finally, some words of caution. Zoning and other types of ordinances are
available online. Do not, I repeat, do not rely exclusively on online
ordinance information. Go to the primary source (the municipality that
enacted the ordinance) and check it out to be sure you have the most current
and accurate information. Always page through the entire ordinance because
municipalities often enact amendments that can be printed in the back of the
original ordinance (without cross-referencing the original provisions that
have been amended). If the provision is somewhere in the ordinance, it
applied. Just because you didn’t see it doesn’t mean that it doesn’t apply.
Article Provided by:
Nancy Chadwick
President, Chadwick Real Estate Inc.
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