August 18, 2015 / Zoning
When it comes to Real Estate there are a number of strategies to create value. The most popular strategies are popularized with all these renovation, flipping and renting TV shows. A lot of stress, sweat and work but there are ways to be smart and avoid having to learn how to tile a kitchen backslash. As a land use planner and zoning specialist for 20 years, I have been able to see trends and see my most successful clients implement strategies that have created tremendous values without lifting a hammer.
Creating value with rezoning?
The strategy is known as re-zoning or up-zoning. Essentially changing the regulations on a specific site to allow additional uses or densities. Imagine re-zoning a site that could only be developed with a single house to a zoning that would allow the construction of a triplex or fourplex. By changing the potential density on a site, you increase the value of the land and the overall value of the property. This requires a different set of skills then the good old hammer swing but it is a strategy surprisingly accessible and very lucrative. The key is selecting the right site and implementing a solid rezoning process.
If a site is properly selected, not only it will be successful, but the re-zoning will most likely assist the city in achieving its objectives of increasing density in existing neighbourhoods. In the past couple of decades, major cities have aimed at increasing the density in its existing neighbourhoods. The effort is intended to increase the taxation, limit the amount of green field development (sprawl) and create more vibrant communities. This is a great opportunity for rezoning in older neighbourhoods and create tremendous value with real estate.
Our zoning blog shares examples and strategies for selecting and rezoning properties. Feel free to read and connect with us at firstname.lastname@example.org.