Maria is a broker in Salem, Oregon, showing a 40-acre parcel to a developer client. The property is located entirely outside the city's Urban Growth Boundary. The developer wants to build a 200-unit residential subdivision on the parcel. What should Maria advise her client?
Correct Answer
B) The property outside the UGB is restricted to farm, forest, or rural uses, and urban residential development would not be permitted under Oregon's statewide land use planning rules
Under Oregon's statewide land use planning system (ORS Chapter 197, Goal 14), land outside an Urban Growth Boundary is designated for farm, forest, or rural uses and is not available for urban residential development. A 200-unit subdivision is an urban use that requires the land to be inside a UGB. The developer would need to first petition for a UGB expansion, a lengthy and uncertain process subject to DLCD and local government review.
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Related Topics & Key Terms
Key Terms:
Related Concepts
A tie-in arrangement is an illegal antitrust practice in which a seller conditions the purchase of one product or service on the buyer's agreement to purchase a separate product or service.
A trust account, also called an escrow account, is a separate bank account maintained by a broker to hold funds belonging to others, such as earnest money deposits, security deposits, or other client funds.
Advertising regulations govern how real estate licensees may market properties and services, requiring truthful, non-deceptive advertising that includes proper identification of the brokerage.
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