By New England Landmark Realty LTD
Vermont's picturesque landscapes have long been a haven for those seeking tranquility and natural beauty. But beneath the charm of its rolling hills and quaint towns lies a pressing issue: a housing shortage that's challenging communities across the state. With developers and policymakers scrambling for solutions, one question looms: could non-zoned parcels of land hold the key to alleviating Vermont's housing crisis?
The Appeal of Non-Zoned Land
In a state where zoning regulations can sometimes act as barriers to swift and diverse development, non-zoned land represents a blank canvas. These parcels, free from rigid local zoning laws constraints, offer developers unmatched flexibility. The possibilities are vast, whether it's creating residential neighborhoods, building mixed-use facilities, or developing small-scale affordable housing projects.
Recent data reveals that non-zoned parcels have a compelling cost advantage. Among parcels with a minimum of 50 acres—large enough to support significant developments—the average price per acre for non-zoned land is $1,262, compared to $2,773 for zoned properties. This substantial difference not only makes non-zoned land more accessible to developers but also highlights its potential to lower entry costs for projects aimed at easing Vermont's housing shortage.
Contrasting Zoned vs. Non-Zoned Land
To better understand the potential of non-zoned parcels, it's crucial to consider how they compare to zoned properties. Key differences include:
- Parcel Size and Price:
- All parcels in the analysis are at least 50 acres, providing ample room for housing developments or mixed-use projects.
- Zoned properties command more than double the price per acre on average. However, this higher cost often reflects proximity to established infrastructure or desirable amenities.
- Location and Accessibility:
- Non-zoned parcels are typically located in more rural areas, where infrastructure like roads and utilities may need investment.
- Zoned properties are often closer to population centers, offering more accessible access to schools, businesses, and public services but with more restrictive land-use regulations.
- Development Speed:
- Non-zoned parcels often sell faster, with significantly shorter days on the market. This trend suggests that buyers—including developers—are attracted by these properties' flexibility and affordability.
- Regulatory Impacts:
- While non-zoned parcels lack local restrictions, all developments over one acre in "1-acre towns" and 10 acres in other areas fall under Vermont's Act 250. This statewide law ensures developments align with environmental, cultural, and community values, leveling the playing field for zoned and non-zoned properties.
The Act 250 Factor: What Developers Must Know
Act 250 applies to all significant developments in Vermont, and non-zoned parcels are no exception. In fact, these properties may face even stricter oversight in towns without permanent zoning or subdivision bylaws. This regulation requires developers to meet ten criteria, including:
- Environmental Protection: Safeguarding air and water quality and preserving natural habitats.
- Infrastructure Impact: Evaluating how the project affects local services like roads, schools, and emergency services.
- Aesthetic Considerations: Maintaining Vermont's scenic and historical character.
While Act 250 adds complexity, developers can navigate it successfully by engaging early with district coordinators, conducting thorough site assessments, and building community support. The flexibility of non-zoned parcels still offers an edge for creative and tailored housing solutions.
Demand Dynamics: Faster Sales, Growing Interest
The data underscores the growing interest in non-zoned land. Non-zoned parcels consistently spend fewer days on the market than their zoned counterparts, even among properties exceeding 50 acres. This trend suggests that developers and buyers recognize the opportunity these parcels provide to create new housing in areas where zoning would otherwise limit development options.
Geographic Potential: Where Opportunity Meets Need
Non-zoned parcels are often concentrated in Vermont's more rural counties, such as Windsor and Orleans. These areas offer significant development opportunities, particularly for projects focused on eco-friendly, sustainable designs that align with Vermont's character. However, their rural nature may require upfront investment in infrastructure to make them viable for housing or mixed-use development.
In contrast, zoned parcels often dominate areas closer to urban centers like Chittenden County, where demand for housing is highest. The high cost and restrictive zoning in these areas can push developers to explore the untapped potential of rural, non-zoned land instead.
Challenges and Opportunities
While non-zoned parcels hold immense potential, they come with challenges:
- Infrastructure Needs: Development in rural areas often requires road, utilities, and public services investment.
- Regulatory Hurdles: Act 250's permitting process can add project time and cost.
- Community Concerns: Rural communities may resist large-scale developments that could alter Vermont's small-town charm.
Despite these challenges, the opportunity is clear. Non-zoned parcels' lower cost per acre and larger sizes provide a unique advantage for developers seeking affordable solutions to Vermont's housing crisis.
Conclusion: A Call to Action
Non-zoned land is more than affordable acreage—an opportunity to reshape Vermont's housing landscape. By capitalizing on these parcels' flexibility and lower costs while navigating Act 250's requirements, developers can responsibly address the housing shortage. With all parcels in this analysis being at least 50 acres, they offer affordability and scale—an essential factor for meaningful impact.
About The Author
Meet Tony Walton, owner and principal broker at New England Landmark Realty, your expert guide to Vermont's real estate scene. Discover personalized market reports, connect with our superior team of local Agents and Brokers, and access valuable resources for buyers and sellers. Delve into Tony's bio and kickstart your real estate journey today with New England Landmark Realty. Find his team at VTMove.com or call 802-253-4711 for personalized service and expert guidance.
