How To Approach Zoning Inspector on My Non-Conforming 4-Plex's?

[Burt L.]

I posted in a related thread about condo conversions of two legal, non-conforming 4-plex's in Colorado. They are next to each other with separate legal descriptions.  I retained a land use attorney who researched the zoning and development codes and there is nothing that prevents doing the condo conversion - to increase total market value. 

The practical problem is that the zoning code has a provision that should more than 50% of a structure's value be destroyed, it cannot be built back to 4 units, but only as 2 as the structures were built before the zoning code went in, and it was later zoned as duplex. Due only to this one provision, lenders won't lend as their collateral in rebuilding is compromised. Selling for cash only, or owner-financing would be much more difficult. 

The land-use attorney then offered to research the variance procedure rules to see if a variance could be obtained to allow rebuilding of the four units in case of over-50% damage and to have the county provide a letter for lenders to that effect.  Its questionable that I have legal standing to request a variance as there has been no damage yet, and it may be in doing so that I am asking to increase the non-conformity and so the variance request may not be admitted, to be followed by hearings on whether to approve or not. 

A more direct, faster, and less costly approach would be to ask the Senior Zoning Inspector if I could obtain a letter that says it could be rebuilt in the over-50% scenario, which would then satisfy lenders- as lenders have already confirmed.  

I would need to have something related to the properties to offer the Zoning Inspector, who has been with the department for 30 years and certainly would know the properties. They have been 4-plex's for 70+ years (built in 1948) and I've had them 4.5 years. Upon looking up the property, a zoning staff member told me that the properties "have had their share of complaints" over time and changing from rented apartments to separate ownership would seem to upgrade the type of resident to those with an ownership interest who would be more conscientious about neighbors, etc. This may be in the counties' better interest than continuing as apartment buildings as otherwise that will continue to be the highest and best use. 

The separate sales would also be at the pricing low-end and provide affordable housing an affordable housing option for buyers. The structures were also built before set-back rules were in place and are close to the road without paved parking surfaces. Don't know that I would volunteer paving/concrete pads, but if he required it, that would still work. Wouldn't want to offer a "what would be necessary" comment as the requirements could be quite costly...

I had thought that my approaching the Zoning Inspector would be better than having an attorney doing so, as I suspect most people "suck up tight" when approached by an attorney rather than simply having a conversation with the property owner; he has probably encountered many attorneys in his capacity, though.  I have an email from the same Senior Zoning Inspector from his confirmation last month that the properties were fully permitted and are legal, non-conforming. But I also suspect that a conversation would be more informal and make more progress than by email. 

Am I missing something in how to best approach the zoning inspector or blowing past something else important altogether? This would be a high-stakes conversation, if in fact this is the way to proceed. Its all a big "paper chase" about securing the lenders collateral. The zoning inspector can't prevent a legal separation to condos, but effectively prevents lending.  I appreciate any input.