Three Building Permit conditions that shouldn't scare you or your ROI.

Unlike a variance these three conditions are not as scary. However the consequences should be fully understand and how it may affect the ROI.

Special Exception Permit:

I had to go through this process before I was allowed to build my home. The vacant lot I purchased was now zoned R20 which required a property to contain a minimum of 20,0000 SF to build a home. However my lot was a little over 10,000 SF. When I asked zoning if it was a buildable lot they said no but maybe yes. Then I asked more question (see blog post 05) and found out it was a yes if I obtained a special exception permit.

The lot was originally created in the 1940’s and at that time all the properties were zoned R10 which only required 10,000 SF lots. In the 1950’s the city changed the zone to R20 after all the lots on the street were developed except a few. Mine included. My argument was that the lot was legally created and it will conform to the neighborhood. This is very important when requesting a special exception. That your home or project conforms to the neighborhood.

This was a four month process and before starting the application I had already spoken to the head of the planning department and the lady who would be handling my project. They were both in support of the project which is also vital when presenting to any design/planning/city council review boards. It is not wise to pick a fight against the people who will be reviewing the project.

Special Use Permit:

From Wikipedia; A special use permit authorizes land uses that are allowed and encouraged by the ordinance and declared harmonious with the applicable zoning district.

The city encourages special use permits. For example, say a city wants to revitalize a neighborhood with more restaurants, retail and open space to attract the population. However it was not zoned for these specific activities. With a special use permit a developer may build a retail space as long as it falls within the character of the neighborhood. Day care centers is another use that is highly approved as it provides a benefit to the community. Once again it is all about how the project interacts with the neighborhood.

Code Modification:

This is a little different as this is a building department issue and not a zoning/planning department issue. Code modification should only be requested when absolutely necessary. They also should not make or break the project.

The IBC (international building code) is a set of books providing minimum guidelines on how everything should be built. However there are so many varying circumstances on every project that it is up to the city staff to interpret the intent of the code. There are numerous companies that provide consultant services only dealing with code interpretations. They make a lot of money.

An office project I am currently working has requested a code modification for the occupancy load on a terrace. We feel that the there should be no additional occupancy load on the terrace because if there is we have to add additional restrooms on that floor. Our argument is that it is a private terrace and the only allowed users are the same as the people using the office. The outcome will not delay the project but the office would lose about 150 SF of rentable space if we have to build more toilets.

This is an owner’s decision on their ROI. What is more valuable; a terrace or more interior office space. Usually it is more office space.

Do be afraid of a variance (as mentioned in my last blog post) but not of a special inspection, special use permits or code modifications. Of course all three of these items have to be studied before moving forward. If my lot was not created legally and/or all the lots in the neighborhood were on 50k SF lots and/or the support of the city staff then I would not have pursued building a home on that lot. The risk would have been to great.

The good thing about life is that risks can always be mitigated when purchasing vacant land or properties that may require one of these strategies to obtain a profitable ROI.