Zoning Due Diligence: A Critical Step in Redevelopment

When purchasing vacant land, commercial, or industrial property for redevelopment, conducting thorough zoning due diligence is essential. Skipping this step can lead to unforeseen complications and delays, jeopardizing the success of your project. Below is a comprehensive guide to ensure your zoning due diligence is both thorough and effective.

Steps for Zoning Due Diligence

  1. Negotiate a Due Diligence Period
    • Secure a 30- to 45-day due diligence period in your purchase agreement. This timeframe allows you to back out of the deal if zoning or other issues arise.
  2. Research Zoning Entitlements
  1. Start with the Property Appraiser Website: Locate the property’s zoning district using the GIS map feature. Activate the “Legend” tab and select the zoning overlay to identify the district. For instance, a commercial property might be labeled “GC-2,” which typically indicates a semi-intensive General Commercial zoning district. Sometimes, the property appraiser does not publish zoning information. If so, check the city or county’s website for a zoning GIS map to confirm zoning. In rarer cases, the city or county will not have a GIS map, but instead will have a static PDF map. If this is the case, I recommend requesting a zoning verification letter.
  2. Consult the Land Development Code: Access the city’s land development code, often hosted on Municode’s website. Search for the zoning code (e.g., “GC-2”) to confirm allowable uses and development restrictions. Note that some cities consolidate allowable uses into a master chart for all zoning districts.
  3. Verify Consistency with the Comprehensive Plan: Check that the zoning district aligns with the comprehensive plan’s future land use designation. In rare cases where inconsistencies exist, a future land use amendment may be required—a process that can take one to two years.
  4. Check Platting Requirements
  5. Confirm whether the property has been platted. If not, the city may require platting or re-platting, which can take one to two years. This requirement may also apply to subdivided platted lots.
  6. Evaluate Lot Size and Setbacks
  7. Review minimum lot size requirements and setback regulations, including front, side, and rear setbacks. These parameters affect the feasibility of your development plans.
  8. Obtain an ALTA Survey and Phase 1 Environmental Study
  9. For vacant land or commercial properties, commission an ALTA survey and a Phase 1 environmental study. These assessments help identify site-specific issues and potential contamination that could hinder development.
  10. Seek Zoning Verification
  11. If ambiguities exist in the code, request a zoning verification letter from the local jurisdiction. While this document can clarify how zoning regulations apply to your specific property, it should never be relied upon without independent research. If the city provides incorrect information and the code states otherwise, the verification letter will not serve as a reliable basis. This underscores the importance of thorough due diligence, and why our firm provides value in navigating these complexities.
  12. Submit a Public Records Request
  13. Request all development records related to the property, including site plan approvals and development orders. Previous orders may impose restrictions, which are typically recorded and can also be found in the title commitment’s Schedule B2 exceptions.
  14. Schedule a Pre-Application Meeting
  15. Arrange a meeting with planning staff to discuss your project. Having an architect prepare a concept plan in advance ensures the feedback you receive is targeted and actionable.
  16. Review Parking Requirements
  17. Verify parking requirements in the zoning code. Inadequate parking provisions can derail projects, so ensure your proposed development meets these standards during the due diligence phase.

Conclusion

Conducting zoning due diligence is a critical step in the redevelopment process. By following these steps, you can identify potential hurdles early, mitigate risks, and ensure the viability of your project. Our firm has extensive experience guiding clients through zoning and land use complexities. Contact us to ensure your redevelopment project proceeds smoothly and successfully.

Using Florida’s Land Use Mediation Process: A Smart Alternative to Circuit Court Appeals

When a city or county renders a development order on an entitlement application—such as for a special exception, variance, or rezoning—developers and land use attorneys should strongly consider leveraging the land use mediation process outlined in Florida Statutes §70.51. This approach can provide a cost-effective, creative, and flexible alternative to the traditional circuit court appellate process.

Overview of the Land Use Mediation Process

Under Florida law, land use mediation allows developers to challenge a development order without immediately resorting to filing a writ of certiorari in circuit court. Here’s how the process works:

  1. Tolling the Appeal Deadline
    • Typically, a writ of certiorari appeal must be filed within 30 days of the order being rendered. However, invoking the mediation process under §70.51 tolls (delays) this 30-day deadline, providing up to 180 days to resolve the dispute through mediation.
  2. Selection of an Independent Magistrate
  3. Both parties must agree on an independent magistrate to oversee the mediation process. This impartial third party facilitates discussions and, if necessary, provides a formal recommendation.
  4. Two-Step Process
  1. Mediation: The parties meet to negotiate a resolution. Discussions during mediation are not public record, ensuring confidentiality, even though the mediation itself is technically open to the public.
  2. Magistrate Recommendation: If mediation fails to produce a settlement, the magistrate drafts a recommendation for the city or county’s governing body (e.g., the commission). The governing body can either accept or reject this recommendation.
  3. Option to Resume Circuit Court Appeal
  4. If the governing body does not alter its position following mediation, the developer or attorney can resume the circuit court appellate process. The mediation process does not waive the right to judicial review.

Benefits of Land Use Mediation

  1. Flexibility and Creativity
    • Unlike a circuit court appeal, which focuses solely on procedural or legal issues, mediation allows parties to craft creative solutions that may not be possible through litigation.
  2. Extended Timeframe
  3. Tolling the 30-day appeal deadline provides additional time to negotiate and develop solutions, often reducing the pressure to make hasty decisions.
  4. Cost Savings
  5. By avoiding immediate court filings and potentially resolving the dispute without litigation, mediation can save significant legal fees and other associated costs.
  6. Confidentiality
  7. Discussions during mediation are shielded from public record, providing a confidential space for negotiations.

When Mediation May Not Be Suitable

While mediation can be a powerful tool, it is not always the best option. For instance:

  • Inflexible Parties: If the city or county is unwilling to deviate from its original position due to pressure from an interested party, such as a neighborhood association, mediation may be futile. Interested parties are required to participate in the process and can sometimes derail negotiations.
  • Case-by-Case Analysis: The decision to use mediation depends on the specific circumstances of the case, including the likelihood of reaching a mutually agreeable solution.

Conclusion

Florida’s land use mediation process under §70.51 offers a compelling alternative to immediate circuit court appeals. It provides developers and land use attorneys with additional time, confidentiality, and flexibility to resolve disputes creatively and cost-effectively. However, its success depends on the willingness of all parties to engage in good-faith negotiations.

Our firm has successfully utilized this process in past cases, demonstrating its potential to deliver favorable outcomes. If you are facing a development order dispute, contact us to evaluate whether land use mediation is the right approach for your situation.

The Live Local Act: Transforming Affordable Housing Development in Florida

In 2023, the Florida Legislature enacted a groundbreaking law known as the Live Local Act, which was further amended in early 2024. This legislation significantly reshapes the landscape of affordable housing development by overriding certain city and county zoning regulations. For developers, this law provides a range of opportunities to construct multifamily residential projects while meeting affordable housing requirements. Below, we explore the key provisions and the incentives that make this law a game-changer for housing in Florida.

Key Provisions of the Live Local Act

  1. Zoning Overrides
    • Multifamily residential developments can now be constructed even in zones where such uses were previously not permitted, provided the project is located in an area zoned for mixed-use, commercial, or industrial purposes.
    • To qualify, 40% of the units must be designated as affordable housing, with rental rates capped at 30% of 120% of the area’s median income (AMI). This threshold aligns with workforce housing standards, often close to market rates, making it feasible for developers.
    • Projects meeting these criteria must record a 30-year restriction on rents to maintain affordability.
  2. Increased Density and Height Allowances
  1. The allowable density for these projects must be at or below the highest density permitted elsewhere within the city.
  2. Building heights can reach the maximum height authorized in any zoning district within a one-square-mile radius of the project site.
  3. Transit-Oriented Development
  1. Projects located within a half-mile of a major transit stop or a quarter-mile of any transit stop (as defined by local ordinance) qualify for additional flexibility.
  2. Cities and counties must eliminate parking requirements for mixed-use projects situated in transit-oriented corridors, further incentivizing development near public transportation.
  3. Tax Incentives
  4. New construction projects with 70 or more affordable units are eligible for a 75% reduction in ad valorem taxes on each affordable unit for up to 30 years.
  5. Streamlined Approvals
  6. All qualifying projects must be administratively approved without requiring a public hearing, expediting the approval process and reducing potential obstacles.

Why This Law Makes Affordable Housing Development Attractive

The Live Local Act not only relaxes zoning and development restrictions but also introduces substantial financial incentives, making affordable housing projects in Florida highly attractive. Key advantages include:

  • Flexible Unit Mix: Since only 40% of units need to meet affordability criteria, developers have significant latitude to include market-rate units or other uses, creating a more financially viable and profitable project.
  • Tax Savings: The 75% ad valorem tax savings for 30 years provides long-term financial benefits for developers and property owners.
  • Density and Height Flexibility: The ability to match the highest density and height allowances in the area enables developers to maximize project potential.
  • Simplified Approvals: Eliminating the need for public hearings reduces delays and uncertainty, making it easier to get projects off the ground.

Conclusion

The Live Local Act represents a significant shift in Florida’s approach to affordable housing. By overriding restrictive zoning regulations and offering meaningful financial incentives, the law creates a pathway for developers to address housing needs while ensuring projects remain profitable. With its emphasis on transit-oriented development and streamlined processes, the law is poised to reshape communities across Florida and make affordable housing more accessible than ever before.

For developers and stakeholders looking to explore opportunities under this law, our firm provides experienced guidance to navigate the complexities of land use, zoning, and entitlement processes. Contact us today to learn how we can assist in making your project a success under the Live Local Act.