Should we rent out a multifamily property with separate leases?

1 Reply

I am under contract for a property near Temple University campus in Philadelphia. It is zoned as a multifamily but not built with separate units.

Can we rent this out with two separate leases or does there have to be a physical barrier between units?

Likewise, if we bought a property zoned single family, but it was separated into different units, could we rent it out with multiple leases or should we go through the tedious rezoning process?

Legally you should have it zoned multi family and have the units separated. If the units aren't you can still do two separate leases but it would be best to properly separate them. For the single family zoning question, you could do separate leases but may run into trouble with the city if it is discovered that you are renting an improperly zoned multifamily.

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