Asheville, NC Zoning Overlays & Bonuses: Density Bonus Law (2026)

Section 7-16-1(69) creates a use-by-right category called "sustainable development projects" that lets a builder exceed the base density allowed under the existing zoning district per Appendix 7-G. The review level is set by the base density before the bonus units are added: a project that reaches 50-69 total units after applying the bonus needs a Level II review under Sec. 7-5-9(b), while a project of 70 units or more needs a Level III review under Sec. 7-5-9(a). To even qualify for the density-bonus track, the code requires the project to have at least five residential units, sit within one-eighth of a mile of a designated high-frequency transit corridor (or another corridor on the city's Sustainable Development Project Eligibility Map), and keep at least 75 percent of the project area, including all grading, inside that mapped area.

Every unit must be Energy Star Certified. If any of the units are marketed as affordable, the owner must record a deed restriction holding rents or sale prices affordable for at least 15 years, with annual increases capped at 4 percent or the Consumer Price Index, whichever is lower. Property owners in residential districts that take the density bonus must also sign a "good neighbor agreement," reviewed and approved by the planning director, and post it where residents can see it. A project that takes the density bonus loses eligibility to use any other by-right, subject-to-special-requirements use category on the same site.