"Light Industrial" Zoning

[Alexander Zurn]

Hello - I am interested in a single family in the Rhode Island/Providence area. It is a GREAT price considering other single families and, while it could use some work, might be a worthwhile investment (still vetting). A problem I see, perhaps why it is priced so low, is that it is zoned "light industrial". I do not know much about zoning but basic research I did essentially says this type of zoning involves areas with small manufacturing plants near by (?).

Few questions:

1. I assume noise will be an issue but other than that, what else should I be considering with a "light industrial" zoned property? How does this effect the value of the property?

2. Is there a way to research this further and look at potential zoning plans for the city I am in? If so, what am I looking for?

3. If anyone knows more, what exactly does "light industrial" zoning mean?

4. Would I be able to re-zone a property? If so, what would I want it zoned to as?

Thanks for the help!

[Anthony Thompson]

I don't have specific experience trying to sell such a property on the MLS. My guess is that if you sold it off-market to a private party it would matter less, but then you'd have less exposure of course.

The biggest issue I've noticed about properties where the zoning is odd/unusual/not what you'd expect based on the current usage, is that often they are in very not-great areas.

For example, the property you're talking about, would not surprise me if it's on a short street and next to or across from an abandoned / boarded-up factory, railroad tracks, etc. and all the properties on that short street are either vacant or in rough shape.

I'm not just being pessimistic, I've researched a lot of properties and the few times these zoning mismatches pop up, seems more often than not to be a situation like that.

So to me the issue isn't the zoning per se, it's that the zoning itself is an indicator of something else that's less desirable about the property, such as what's around it.

The Providence zoning code is online and in the Industrial Districts section defines Light Industrial (M-1) as: "The M-1 light industrial district is intended for light industrial and office park uses that accommodate a variety of manufacturing, assembly, storage of durable goods, and related activities provided that they do not pose toxic, explosive or environmental hazard in the city."

It's possible to re-zone a property but it is an extended affair that could take at least 6 months, plan on 12 (figure several postponed city council hearings, hoops to jump through, etc. and you get the idea), and I would not count on that as part of the deal at all - that should be "gravy", not something you count on for the deal to work at all.

The best thing I think you can do is ride by the property, maybe talk to neighbors in the area too, and see if you can figure out why it's zoned Light Industrial.