Voluntary 70% FMR Rent Cap (Tax Exemption)
ConsistentSalem, Essex County
Use & OccupancyWhat This Means for Your Project
This provision is consistent with Massachusetts state law. No issues expected during permitting.
State Law
760 CMR 71.03(3)(b)(4) — Voluntary affordability incentives are permissible; mandatory rent caps on protected-use ADUs are not.
Local Ordinance
Property owners may opt into a 70% FMR rent cap in exchange for a property tax exemption under Chapter 150 §8. This is not a mandatory condition of ADU approval.
Impact on Your Project
Because the rent cap is a voluntary incentive pathway — not a condition of permit approval — it does not conflict with state law. Owners who do not opt in may rent at market rate.
How Other Towns Handle Use & Occupancy
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