Godfrey, Leibsle, Blackbourn & Howarth, S.C.
Godfrey, Leibsle, Blackbourn & Howarth, S.C.

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Elkhorn, WI

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How many houses can a developer put on unimproved land?

There is plenty of beautiful real property in the greater Elkhorn, Wisconsin area. Much of that land could represent an opportunity for wealth generation as a result of development. One of the many ways that those interested in construction or real estate development generate profit is to take existing, unimproved lots and convert them into multiple smaller parcels that each contain standalone residential homes.

Build-to-suit development properties offer a sizable profit margin in many cases and can bring an influx of new money to the community. However, there are limits that apply when developing a property with the intention of creating multiple separate parcels. Specifically, the state limits how many new parcels a property owner can establish from a single pre-existing plot.

Parcel size depends on county population

Wisconsin actually has two separate standards that apply when dividing a large parcel into separate plots. The number of residents already in a county has a direct influence on the size of the individual parcels a business or property owner can create from one larger parcel.

According to data from the 2020 census, the population of Walworth County is more than 106,000, which means the smaller lot standards apply. Lots intended as separate parcels for residential real property will usually need to be at least 50 feet wide and contain at least 6,000 square feet of area, if not more.

Developers who want to cut unimproved land into smaller parcels will require a local subdivision ordinance, and even then, such adjustments are only possible when the properties will have public sewer access instead of septic tank systems.

Property adjustments can make or break an investment

Those seeking to re-parcel a property or otherwise change the legal status of a piece of real property generally need to be aware of the limits that apply to such actions and also the delay and expense involved. Sometimes, an inability to cut a property into enough parcels might make a project less profitable. Learning more about the rules that apply to residential real estate development in the Elkhorn, Wisconsin area may benefit those hoping to turn real property into actual business income.


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