unit 20

Unit 20: Land-Use Controls and Real Estate Investment Lecture Notes
I. Land Use Controls

  • Land use is regulated by both public through government powers like zoning and building codes, and private limitations such as restrictive covenants, as well as through public ownership of land.

A. Government Ownership

  1. Police Power of the States:

    • The inherent authority of states to create and enforce regulations aimed at protecting public health, safety, and welfare.

    • This fundamental power is delegated to local governments (municipalities and counties) for land-use regulation through enabling acts, allowing them to enact zoning ordinances, building codes, and environmental protection measures.

  2. Enabling Acts:

    • Legislative acts passed by state legislatures that authorize local municipal governments to exercise certain powers, including creating and enforcing regulations consistent with general state laws.

    • These acts are crucial for decentralizing land-use authority, allowing local governments to tailor regulations to specific community needs while remaining within a broader legal framework.

II. The Comprehensive Plan (Master Plan)

  • The comprehensive plan, often a long-range blueprint (e.g., 20 years or more), outlines the goals and objectives for a municipality's future growth and development. It serves as a guide for public and private land-use decisions and is subject to periodic review and revision. It encompasses multiple aspects:

A. Components of the Comprehensive Plan:

  1. Land Use:

    • Determination of land allocation for various purposes, ensuring an efficient and harmonious arrangement of uses, including:

      • Residential (single-family, multi-family)

      • Industrial (light, heavy)

      • Business (retail, office)

      • Agricultural

      • Traffic and transit uses (roads, public transportation)

      • Utilities (water, sewer, power infrastructure)

      • Common facilities including recreation (parks, open spaces).

  2. Housing Needs:

    • Addressing current and future housing demands for all income levels, focusing on:

      • Rehabilitation of declining neighborhoods to revitalize existing housing stock.

      • New residential developments, including provisions for diverse housing types and affordable housing options.

  3. Movement of People and Goods:

    • Planning for robust transportation infrastructures to facilitate efficient circulation, such as:

      • Highways and major thoroughfares

      • Public transit systems (bus, rail)

      • Parking facilities

      • Pedestrian pathways and safe crossings

      • Bikeway systems to promote alternative transportation.

  4. Community Facilities and Utilities:

    • Incorporation of vital public services and infrastructure, aligned with population growth and resource management, such as:

      • Schools and libraries

      • Hospitals and healthcare facilities

      • Recreational facilities (community centers, sports fields)

      • Fire and police services

      • Water resources management and supply infrastructure

      • Sewerage and waste treatment facilities

      • Storm drainage and flood management systems.

  5. Energy Conservation:

    • Strategies aimed at reducing overall energy consumption and promoting sustainable, renewable energy sources and practices, including:

      • Encouraging green building standards and energy-efficient construction.

      • Promoting renewable energy installations like solar and wind power.

      • Developing energy-efficient infrastructure and public services.

III. Zoning

  • Zoning ordinances serve as local laws that manage land use and types of structures to safeguard public health, safety, and welfare by separating incompatible land uses and promoting orderly development. Areas regulated include:

A. Factors Regulated by Zoning Ordinances:

  1. Permitted Uses:

    • Specifies which types of activities or structures are allowed on each parcel of land within a designated zone (e.g., single-family residential, commercial retail, light industrial).

  2. Lot Sizes:

    • Determines minimum and maximum dimensions of land lots, including minimum square footage or acreage, to control density, preserve open space, and ensure adequate light and air.

  3. Types of Structures:

    • Controls the nature and classification of buildings that can be constructed (e.g., detached single-family homes, multi-story apartment complexes, commercial warehouses).

  4. Building Heights:

    • Limits the vertical size of structures (e.g., maximum number of stories or feet) to preserve views, ensure adequate light and air, prevent overshadowing, and maintain neighborhood character.

  5. Setbacks:

    • Specifies the minimum distance structures must be set back from property lines (front, side, and rear) to provide separation, ensure light and air, reduce fire risk, and maintain aesthetic continuity.

  6. Style and Appearance:

    • Governs the aesthetic aspects of constructions, often enforced through architectural review boards, especially in historic districts or planned communities, to maintain a cohesive visual character.

  7. Density:

    • Defined as the ratio of land area to structure area or, more commonly, the maximum average number of residential units per acre (e.g., 10extunits/acre10 ext{ units/acre}). Also regulated by Floor Area Ratio (FAR), which is the ratio of building floor area to lot area, controlling population concentration and intensity of use.

  8. Protection of Natural Resources:

    • Ensures safeguarding of vital environmental resources and sensitive areas, such as wetlands, floodplains, steep slopes, and critical habitats, by restricting development in these regions.

B. Flexibility of Zoning Ordinances

  • Zoning regulations are adaptable and provide mechanisms to reflect the dynamic needs of society, through processes like variances, conditional use permits, and rezonings.

C. Zoning Classifications

  1. Residential (e.g., R-1 for single-family, R-3 for multi-family)

  2. Commercial (e.g., C-1 for neighborhood retail, C-3 for heavier retail)

  3. Agricultural

  4. Mixed-use areas, including Planned Unit Developments (PUDs).

    • PUDs are a type of flexible zoning that allows for a mix of residential, commercial, and industrial uses within one integrated development. They often feature higher densities in specific areas balanced with significant common open spaces.

D. Specialized Zoning Ordinances:

  1. Buffer Zones:

    • Undeveloped areas, such as parks, playgrounds, greenbelts, landscaped strips, or even specific low-intensity commercial or light industrial zones, that are established to separate and minimize adverse impacts between incompatible land uses, like residential and heavy industrial areas.

  2. Land Use Objectives:

    • Achieved through specific methods such as:

      • Bulk Zoning: Controls density and prevents overcrowding by regulating building heights, setbacks, density (e.g., units per acre or FAR), and lot coverage.

      • Aesthetic Zoning: Specifies architectural styles, exterior materials, and design standards to maintain or enhance the visual appeal and character of an area, often enforced by design review boards.

      • Incentive Zoning: Offers developers bonuses, such as increased density, greater height allowances, or reduced parking requirements, in exchange for providing desirable public benefits like affordable housing units, public plazas, or other community amenities.

  3. Constitutional Issues:

    • Related to zoning ordinances, primarily stemming from the U.S. Constitution, include:

      • 14th Amendment: Prevents deprivation of life, liberty, or property without due process of law and guarantees equal protection under the law. Zoning must comply with these principles, ensuring fairness and non-discrimination.

      • Validity Tests: To be considered constitutional and legally enforceable, zoning ordinances must meet several criteria:

      • Power must be exercised reasonably, and the regulations must not be arbitrary or capricious.

      • Provisions need to be clear and specific, avoiding vagueness.

      • Ordinances should be free from discrimination against any protected class or individual.

      • Must promote public health, safety, and general welfare as their primary objective.

      • Applicability should be uniform across all properties within the same zoning classification.

  4. Zoning Permits:

    • Used to enforce zoning regulations, requiring property owners to obtain approval before undertaking specific land uses or constructions. Related processes include:

      • Zoning Hearings: Held by a Zoning Board of Appeals (ZBA) or similar body to address complaints or requests for exceptions regarding zoning impacts on specific properties.

      • Nonconforming Use: Applies to properties that were lawfully established and compliant with zoning ordinances prior to a subsequent zoning change, but no longer conform. These uses are often