Arkansas Real Estate License Land Use Controls and Zoning 2 — Questions and Answers
Question 1: Spot zoning occurs when:
- An entire neighborhood is rezoned uniformly
- A single parcel is rezoned differently from surrounding properties to benefit one owner (Correct answer)
- A municipality creates a new agricultural zone
- A developer submits a plat for subdivision approval
Correct answer: A single parcel is rezoned differently from surrounding properties to benefit one owner
Spot zoning is the rezoning of a single parcel inconsistently with surrounding land uses, often considered illegal if it serves private rather than public interests.
Question 2: Under the power of eminent domain, the government may take private property for public use, but must provide the owner with:
- Fair market value compensation (Correct answer)
- Replacement housing in the same neighborhood
- A tax abatement for 10 years
- A special use permit for another property
Correct answer: Fair market value compensation
The Fifth Amendment requires 'just compensation,' which courts generally interpret as fair market value — the price a willing buyer would pay a willing seller.
Question 3: Which of the following is an example of a PRIVATE land use control?
- Zoning ordinance
- Building code
- Deed restriction (restrictive covenant) (Correct answer)
- Comprehensive plan
Correct answer: Deed restriction (restrictive covenant)
Deed restrictions are private controls placed in deeds by grantors or developers that run with the land and bind future owners, unlike public controls such as zoning.
Question 4: In Arkansas, subdivision regulations typically require developers to do which of the following before selling lots?
- Obtain a real estate broker's license
- Record a plat map with the county and meet infrastructure standards (Correct answer)
- Apply for a conditional use permit for each lot
- Pay a special assessment to AREC
Correct answer: Record a plat map with the county and meet infrastructure standards
Subdivision regulations require developers to create and record a plat map and often to provide roads, utilities, and drainage meeting local standards before lots can be sold.
Question 5: A setback requirement in a zoning ordinance specifies:
- The maximum number of dwelling units per acre
- The minimum distance a structure must be from property lines or streets (Correct answer)
- The types of businesses allowed in a zone
- The maximum percentage of a lot that can be covered by impervious surfaces
Correct answer: The minimum distance a structure must be from property lines or streets
Setbacks establish the minimum distance between a building and property lines, streets, or other features, ensuring light, air, and fire safety.
Question 6: The concept of 'highest and best use' as applied in land use and appraisal means the use that is:
- Most environmentally sustainable
- Legally permissible, physically possible, financially feasible, and maximally productive (Correct answer)
- Preferred by neighboring property owners
- Approved in the current comprehensive plan only
Correct answer: Legally permissible, physically possible, financially feasible, and maximally productive
Highest and best use is the reasonably probable use of a property that meets all four tests — legal, physical, financial feasibility, and maximum value — and drives appraisal decisions.
Question 7: When a municipality acquires private land for a highway under eminent domain, this process is also known as:
- Forfeiture
- Escheat
- Condemnation (Correct answer)
- Adverse possession
Correct answer: Condemnation
Condemnation is the legal process by which a government exercises eminent domain to acquire private property for public use after paying just compensation.
Arkansas Real Estate License Land Use Controls and Zoning 2
Spot zoning occurs when: