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Over-occupancy, Ag Shacks/Stealth Dorms and Changes to Zoning
Shared Housing
Developers and investors figured out about 20 years ago that a lot of money can be made with over-occupancy and that enforcement was difficult. They then began building what are commonly known as "Ag Shacks" (The name of one of the early companies that promoted these structures.) or "stealth dorms." These structures replace traditional homes and are not suited for any other purpose than rental, unlike traditional homes that can be rented, but can usually revert to owner-occupancy at relatively little cost. They permanently alter the character of a neighborhood and there was no set of criteria the City could use to stop their construction.
"Shared Housing" is a type of structure which was recently adopted by the City. When a building permit is applied for, City Staff compares the components to a checklist. If the plan checks more than 2 items it is sent for review to see if it should be classified as single-family or Shared Housing. Below is an abbreviated checklist:
- Contains more than 4 bedrooms or other rooms that can be used for sleeping purposes.
- Has a similar number of bedrooms and bathrooms.
- Contains a high quantity of bathrooms (over four) that can be accessed only through other rooms.
- Is in excess of one story for the purposes of meeting impervious cover requirements.
- Does not include a garage or, if so, the garage can be converted to living space.
- Has a parking area that will allow parking of more than four vehicles.
Middle Housing
"Middle Housing" is a new zoning classification. This classification was created to:
- Accommodate an ever-growing student population.
- Acknowledge the reality of what was already happening in some neighborhoods.
- Provide protection to other neighborhoods from incompatible housing types (Ag Shacks, etc.).
Ag Shacks and the like will ONLY be allowed in Middle Housing zones. In other words, it should effectively prevent the tear-down of existing single family homes and replacement with built-to-rent structures in designated residential neighborhoods.
However, multi-unit structures will be allowed on a single lot, including up to EIGHT-plexes, depending on lot size and other factors. In other words, Middle Housing zones will likely evolve into new, much higher-density student housing. This, of course, is the real intent.
Where will Middle Housing zones be?
The location of Middle Housing zones will be the next battle for neighborhoods. The City will likely adopt this zoning for areas that are almost entirely rental properties already. This includes a large number of targeted neighborhoods that are critical for affordable workforce and student housing. There has been a public comment period resulting in the removal of a few neighborhoods from consideration.
Things Middle Housing will not do:
- Eliminate existing Ag Shacks due to grandfathering.
- Prevent owner-occupied, single-family homes from being rented, unless prevented by neighborhood
HOAs and/or deed restrictions.
- Change the enforcement, or lack thereof, of the four-unrelated rule.
- Punish Ag Shack developers/owners who built them to intentionally violate the four-unrelated rule.
High Occupancy Overlays (HOO)
Initially, over four-unrelated came with the Middle Housing zones automatically. During the feedback process for Middle Housing, it became apparent that student over-occupancy was a major concern. So, the City created the High Occupancy Overlay (HOO) that must be applied for separately from Middle Housing. City Staff decided that roughly half of the proposed Middle Housing zones were not suitable for more-than-four-unrelated occupancy. These overlays will likely only be granted for larger areas of suitable structures (versus lot-by-lot requests).
Summary
- The "four-unrelated rule" is no longer valid in the City of College Station due to changes in State law.
- Shared Housing has already eliminated the construction of new "Ag Shacks" in many neighborhoods.
New ones will now only be allowed in Middle Housing zones.
- Neighborhoods rezoned to Middle Housing can expect the existing single-family homes and duplexes
to be replaced by new, multi-unit (up to 8) structures over time - that timeline is up for debate.
- The HOO should help preserve Middle Housing neighborhood character, at least in the short term.
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