My Single Family Duplex- Accessory Dwelling- No disclosure

[Ian Fretheim]

Hello BP,

This is my first forum post and why not start off with a doozy?

I bought my first duplex in July of this year. I owner occupy. There were a few small TISH items, as well as some reno work we wanted to do prior to moving in. Anyway, we did our reno stuff, got moved in and settled and I began working on the TISH items. Finished those up prior to the grace period, had the inspector out, passed and cleared the TISH. Sweet.

Well, of course clearing the TISH was a prerequisite to obtaining my rental license. So I got my application and check together and sent it off as soon as I saw that I was clear to go. Week or two later I've got a letter in the mailbox containing my rental license application, check, and a notice informing me that my duplex was a single family residence.

Imagine my surprise. The property in total is 1440 sq. Each unit shares 720. We're up-down. The front door lets into the hallway/stairs that give to each apartment's individual entry. Water is not separate, but electricity and gas are. Here in Minneapolis trash is a city thing. Because we're running as an airbnb, I called to ask if I could save a few bucks each month by reducing to just one trash can. They said I could not because I had a duplex and each unit needed it's own collection. Of course.

So I took a look at my TISH- I'm registered as two units, but have a reference as 1 unit. I'm zoned R4 Multi Family Dwelling, but have a reference as 1 unit. The former owner, who of course sold it to me as a duplex, has a long history of rental licenses (1991) for this very property. All of that is clear as day in the city records. And it's referenced as 1 unit and there is not any record of permit for a SFR to Duplex conversion.

Speaking with Rental Licensing, all I can get is that the reference number is 1. Nothing else matters. Not the zone, not the registered units, not the building code. Nothing. Need to talk to zoning she says. How did the previous get rental license after rental license? Slipped through the cracks she says. Ok.

Get zoning on the line and come to find that this is not a Duplex. Couldn't be. Isn't even close. Minneapolis requires 5000 sq feet of property for a multifamily dwelling. I've got my little house on 2250.

I can apply for an Accessory Dwelling Unit permit- through zoning, getting a building permit and then I can be eligible for the rental licence. However, an ADU does not a duplex make. If I ever want to move out of here I cannot rent EITHER space without dismantling the other. Same goes for selling it unless I can find a buyer happy to take on this same thing.

So the big questions. Has anyone encountered this? What is the required disclosure on the part of the seller? Do I have legal legs to stand on? Do I have half a leg to stand on? Is there any advantage in this situation whatsoever?

-Ian