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What are zoning laws?

Law for zoning are important for many businesses and real estate transactions. As a result, parties to real estate transactions and business owners may wonder what zoning laws are. Zoning ordinances regulate the use of property which is why they are important for businesses and parties contemplating a real estate transaction to consider. Zoning ordinances can have an impact on a real estate transaction or the operation or expansion of a business.

Because zoning laws can have a significant impact on the purchase of property or when improvements are being made to property, business owners and property owners alike should understand the impacts of zoning laws on them. Property can be zoned for different uses, including commercial, residential or mixed-use such as retail and residential. Zoning laws determine how property can be used and can impact many considerations such as the type of buildings allowed, among a number of other considerations.

When considering the purchase of a property or making improvements to property, zoning laws can impact how you intend to the use the property, among other factors. Thus, it is important to be familiar with zoning ordinances and how they may impact the business or project. It may be possible to request a variance; however, rules concerning a variance depend on local laws so it is important to be familiar with the local laws associated with the request.

Because of the impact zoning laws can have on the purchase of property or the expansion of a business, it is useful to have trained guidance to help understand zoning laws. Zoning laws can be complex so it is necessary to have as much knowledge concerning them as possible to help enjoy a successful transaction.

Source: U.S. Small Business Administration, "Basic Zoning Laws," Accessed April 2, 2017

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