Thoughts on buying a 4-plex thats currently R1 zoned ?

Thoughts on buying a 4-plex thats currently R1 zoned ?

Rental Property Investor · Halifax · Member since 2019 · 8 posts · 4 votes

Hi BP! So, I have found an off market fourplex but its currently zoned for a SFH (R1). There is a big city centre plan thats been happening and zonings are changing. There is a housing crisis and the city is getting dense, low supply high demand. My question is should I still go for this 4plex despite the zoning? There is potential it could change in the future with the city plan, I could try to get a legal non-conforming letter from the city if its applicable and/or try to rezone it but what if I'm not approved? Is it worth the risk? Anyone experience this? how did you troubleshoot?

Thanks!

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  • Nathan GesnerBusiness Member
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    Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
    4y

    I don't think it's worth the risk to purchase something that is illegal. Get it under contract but ask for 90 days to closing and 30 days for inspections, to include time to review zoning. Work like hell to see if the City will work with you to permit it. If not, or if it looks too risky, then you can void the contract and walk away. If the City is willing to work with you, then you'll know it's worth investing in.

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