Small Multi-Family, Affordable

In 2021, OCAI worked with Councilmember Palmer to allow four-unit structures in two-family residential districts if it conforms to certain standards. This legislation was expanded in 2024 by Councilmember Harris to allow the four units to be developed in one or more structures when meeting all other yard requirements.


What is a Small Multi-Family, Affordable development (SMFA)?
A Small Multi-Family, Affordable development (SMFA) is a residential structure, or structures, that consists of up to 4 dwelling units with one of the units set aside as an affordable unit.

 


Where are SMFA developments allowed?
SMFA developments are allowed in any zoning district that allows two-family residential dwellings
(i.e., HMC-1, HMC-2, HM-MU, HMR-3, S-RD, S-RM1, S-RM2, S-LRD1, S-LRD2, S-LRM1, S-LRM2, SLC, S-MU, MU-1, MU-2, and all the Historic Urban Districts except for the HU-RS District).


What are the benefits of developing an SMFA?

  • For the property owner/developer: SMFA developments are allowed to contain up to 4 units in districts allowing two-family developments without having to meet the minimum lot area or the off-street parking requirements.
  • For the residents of New Orleans: The availability of affordable/workforce housing throughout New Orleans’ neighborhoods.

What is required to build an SMFA and participate in the program?
In exchange for being permitted to build up to 4 units without having to meet the minimum lot area or off-street parking requirements, one of the dwelling units must be set aside for tenant(s)  earning no more than 80% of the New Orleans metro’s Area Median Income (AMI) with rents priced at 70% AMI for a period of 15 years.*

  • *Annually the US Department of Housing and Urban Development (HUD) determines the median income for the New Orleans Metropolitan Area. As an example, in 2024, a two-person household with an income at or below 80% AMI would have a maximum household income of $55,520 and would be charged a maximum 70% AMI rent of $1,214 for a one-bedroom unit.

Where can you find out more details and read the SMFA regulations in the Comprehensive Zoning Ordinance?
The Comprehensive Zoning Ordinance can be found at: https://czo.nola.gov/home/
The Use Standards for Dwelling, Small Multi-Family Affordable can be found in Article 20, Section 20.3.SSS of the Comprehensive Zoning Ordinance http://czo.nola.gov/Article-20#20-3-SSS

**As of June 14, 2024, SMFA developments are allowed to be developed in one or more structures with no more than 4 dwelling units when meeting all other yard requirements.


How to apply for a SMFA? What is the process?
Steps for applying for a permit to develop a SMFA, please do the following:

  1. Submit a complete application for a Building Permit at https://onestopapp.nola.gov/
  2. Include the intention to participate in the SMFA Program on the Cover Sheet of the submitted plans.
  3. Identify and label the affordable unit on the submitted floor plans.
  4. Submit the SMFA Attestation Form to the Inclusionary Zoning Office in the Department of Safety and Permits. The form may be obtained by emailing IZoffice@nola.gov
  5. Upon review and approval of the SMFA and all other Building Permit, zoning, and any other regulatory requirements, the Building Permit will be issued.
  6. Prior to issuance of a Certificate of Occupancy, the IZ staff will conduct an inspection and provide information for recording a deed restriction on the property and all other requirements for maintaining affordability during the 15-year compliance period.

Who to contact for more information about SMFA or other affordable housing programs?
Please reach out to:
Kelly Butler
Inclusionary Zoning Administrator
Department of Safety and Permits
kgbutler@nola.gov
504-658-7110
**Ordinance No. 29,956, Articles 20, 21, 25, and 26 of the Comprehensive Zoning Ordinance.