Grandparenting refers to the fact that a landowner has obtained government approval to develop a project and has relied in good faith on that permit to proceed with development if a zoning ordinance change suddenly comes into effect. Industrial zone laws are generally specific to businesses operating in light, medium and heavy industries that require structures such as factories, manufacturing facilities, research institutes and waste treatment. According to Nobel laureate Ronald Coase`s theorem, questions and disputes regarding land use and development could be optimally resolved without transaction costs without state regulation. According to the assumptions of Coase`s theorem, it could simply be negotiated between the parties involved how a particular plot of land should be used and what kind of activities should be allowed to achieve an economically efficient result. Most zoning bylaws also set out requirements for a development`s FAR, which often differ from place to place. “The floor area ratio is the most important mass regulation that controls building size. FAR is the ratio between the total area of the building and the area of its property” (City of New York 2015a). A FAR describes the intensity of website usage, not height or location coverage. In New York City, “each zoning district has a FAR that, multiplied by the area of the zoning lot, gives the maximum floor area allowed on that zoning lot. For example, on a 10,000-square-foot zoning lot in a county with a maximum FAR of 1.0, the footprint on the zoning lot cannot exceed 10,000 square feet” (City of New York, 2015b).
For example, a municipality could maintain zoning laws that limit heavy industrial and commercial development to areas adjacent to low-income neighbourhoods. The effects of such a policy would allow the wealthiest parts of the city to avoid the noise and pollution associated with it. Residential area: Area reserved for residential buildings by zoning laws. Problems often arise when a new zoning law prohibits the use of a property that was previously legal. As discussed in the previous subchapter, if a zoning law prohibits prior use of the property and eliminates the value of the property to the owner, the zoning law may constitute a “withdrawal” and require the government to pay fair compensation. For example, zoning is the process of dividing a community`s land into zones (e.g., residential, industry) where certain land uses are permitted or prohibited.  In addition, the size, mass and location of buildings may be regulated. Zoning is the most common regulatory dividing line used by local governments to execute urban plans.  The type of zone determines whether the building permit is granted for a particular project. Zoning can determine a variety of direct and conditional land uses. It can also indicate the size and dimensions of the plot area, as well as the shape and scale of the buildings. These policies are defined to guide the growth and development of cities.  Industrial zoned area: Area reserved by zoning laws for mass production uses, such as factories. Of course, the above rules very often make it difficult for cities and municipalities to change their zoning laws to prohibit the use of pre-existing properties. What cities often do instead is simply be “grandfather” and allow non-compliant uses that predate the passage of the new zoning law, while prohibiting new uses that do not comply with the law. However, they will invariably prohibit the extension of non-compliant uses permitted by their pre-dating of the zoning law. For example: A unit development project is one that is not subject to standard zoning “by law” but has greater flexibility from the local government. The floor area ratio is the ratio between the total floor area that a building has or has been allowed to have and the total area of land on which the building is located, which is used by local governments for zoning codes. Some economists argue that zoning laws thwart economic efficiency and hinder development in a free economy, as poor zoning restrictions hinder the more efficient use of a particular area. Even without zoning restrictions, for example, a landfill would likely be attracted to cheaper land rather than residential areas. Strict zoning laws can hinder creative developments such as mixed-use buildings and even stop harmless activities like garage sales.  If workers could move as freely as they could in 1964, U.S.
GDP would be 13.5% higher, or nearly $2 trillion.  A floating zone is a zoning district that defines the conditions that must be met before that zoning district can be approved for an existing property. Upward zoning is the opposite of rezoning and this is when the local government plans to allow more permitted uses. A typical example is when municipalities change the zoning of an area for single-family homes to allow for the construction of multi-family homes. Because land use and zoning regulations restrict owners` rights to use their property in ways they might otherwise (and often want) to, they are sometimes controversial. In addition, the scope and limits of governments` ability to regulate land use are difficult to define precisely. The courts have held that a zoning rule is permissible if it is reasonable and not arbitrary; it is reasonably and substantially proportionate to the health, safety, comfort, morals and general welfare of the public; and whether the means employed are reasonably necessary to achieve their purpose. Overlay zoning, or overlapping district, is a regulatory tool that creates a specific zoning district on an existing base area that identifies special determinations in addition to those of the underlying base area.
The legal framework for zoning land use in Australia is defined by states and territories, so each state or territory has different zoning rules. Land use areas are usually defined at the local government level and are most often referred to as planning plans. In reality, however, in all cases, state governments have the absolute ability to overturn local decision-making. There are administrative appeal procedures such as VCAT to challenge decisions. In addition to possible violations of property rights, zoning has also been criticized as a means of promoting social and economic segregation through exclusion. These exclusionary zoning measures artificially maintain high housing costs through various land use regulations, such as maximum density requirements. Thus, low-income groups, which are considered undesirable, are effectively excluded from the given community. “Although markets divide people into housing based on income and price, policy decisions allocate housing at different prices to different neighborhoods, thus turning the market into a mechanism of class segregation.” (Rothwell & Massey, 2010, p. 1141). In the southern United States, zoning was introduced as an explicit mechanism to enforce racial segregation of communities.
Southern planners coordinated with northern experts to draft racial zoning laws that would be part of the emerging precedent.