In The Zone Cities are using rezoning to lure home businesses, and helping to reverse the decay of economically challenged areas

When Jim McCarthywanted to launch McCarthy Communications in his Washington, DC,neighborhood of Georgetown, he figured working from home might befrowned upon.

To the contrary,he found the community was home-office-friendly.

Congress, helearned, had enacted "dual-use" enterprise zones to spureconomic growth in the area. Thus, in 1997, when McCarthy movedinto his condominium--with ample space for his business and a loftoverlooking bustling M Street--he knew he had found ahome.

"The ideawas to promote more small-business [activity] and investment in theneighborhood," says McCarthy, noting that businesses enjoyed areduction in both the local business tax and the district'sunemployment fund. "It's a good thing. Small businessneeds it."

For DCofficials--as well as leaders in communities throughout thecountry--such zoning moves to allow home offices help spur newinvestment in neighborhoods suffering from residents' andowners' flight from the area. This "transitionalzoning" provides incentives for businesses to move intoformerly residential neighborhoods, or actually rezone residentialneighborhoods to include light business and homeoffices.

When city leadersin Wilton Manors, Florida, saw their Five Points neighborhoodaging, they considered ways to curb the downturn in property valuesand forestall resident flight. The city's Residential-OfficeService Control area has been a model success in the South Floridamarket, says Harold Horne, the city's community servicesdirector and author of the plan. Part commercial space, partrestaurant row, part artisan colony, some 10 offices are sprinkledamong 60 other homes in the special zoning district. Low-levelsignage, limited parking and a strict review policy ensures thingsremain quite neighborly.

"We wantedthe zoning to serve as a bulwark against blight and to preserve andprotect those who live there," Horne explains.

The transitionalzoning helps protect the area's residential character andincreases property value. The only retail use is for artists wholive and sell their own creations from the home. Signage can be notaller than three feet, and most parking must be in back of theproperties. Property owners don't have to live or work in thestructures, but can do both, Horne says.

Such rezoning isjust one tool cities are using to stall decay and draw residentsback to once booming neighborhoods, says James Schwab, editor ofZoning News, a publication from the American PlanningAssociation (http://www.planning.org )

Mixed useneighborhoods like Wilton Manors--where doctors, accountants,artisans, retailers and residents peacefully co-exist--are theresult of government and residents working together for the good ofthe community, says Schwab. He adds that such zoning brings nonegative impact on the community, and, in fact, often increasesproperty values.

While governmentstaff can recommend zoning changes and city leaders can enactpolicy, Schwab recommends residents also become advocates forfavorable change in their neighborhoods by contacting their zoningdepartment or their elected officials to inquire about potentialchange in their neighborhood or community. They also should networkwith the neighbors to gauge or generate support for such change."People need to recognize a zoning ordinance is a piece oflegislation created by people who have a vision for the city andhow it works," he says. "[Residents] are entitled to workwith the city to enact change."

ContactSource

• McCarthyCommunications: mccomm@clark.net