Albuquerque does not require owner-occupancy for casita properties under the IDO. New Mexico HB 252 (2023) - the Casita Rule - explicitly prohibits local owner-occupancy mandates for ADUs of 750 sq ft or less on single-family lots. Property owners may build a casita and rent both units to separate tenants. HOA covenants may still impose restrictions.
Albuquerque IDO Section 14-16-4-3(D)(4) does not condition casita permits on owner residency. New Mexico HB 252 (2023), the Casita Rule, explicitly preempts local owner-occupancy requirements for ADUs of 750 sq ft or less on single-family lots, bringing New Mexico in line with California (AB 671) and other ADU-friendly states. Property owners may construct a casita on rental property, sell with the casita intact, and rent both units to separate tenants. Private restrictions remain enforceable: HOA covenants under the New Mexico Homeowner Association Act (NMSA 47-16) and condominium declarations under the New Mexico Condominium Act (NMSA 47-7A through 47-7D) may impose owner-occupancy through declarations. Many newer Albuquerque subdivisions (Cottonwood, North Albuquerque Acres edges, planned westside communities) have HOAs with restrictive covenants. Older neighborhoods (Nob Hill, Ridgecrest, Northeast Heights cores) are typically fee-simple without HOAs. Historic district properties (Old Town) have HPD review but no owner-occupancy mandate.
No city enforcement of owner-occupancy. HOA/condo association violations result in declaration-based fines, typically $50-$500 per violation, with lien rights for unpaid assessments under NMSA 47-16. Civil litigation in Bernalillo County District Court is available for declaration enforcement. State preemption under HB 252 applies to local government rules but does not invalidate properly recorded private covenants.
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