Commercial Real Estate in Marin County: Village Districts, Coastal Zoning and City Rules

By Matthew Martinez, Founder, CEO & Managing Broker, Diamond Real Estate Group. California DRE #01869679.

Marin’s commercial property is concentrated in its eleven cities and towns along Highway 101, from Sausalito and Mill Valley through Corte Madera, Larkspur and San Rafael to Novato. Outside them, the county regulates a mix of suburban commercial pockets, such as Strawberry, Tamalpais Valley, Marin City, Kentfield and Santa Venetia, and the small West Marin villages like Point Reyes Station, Bolinas, Stinson Beach and Tomales. In those villages, coastal zoning and resident-serving goals shape what a building can be used for. Confirm the jurisdiction and zoning of every parcel before relying on this page.

Who controls the parcel

Area	Regulator	Our guide
San Rafael	City of San Rafael (city transfer tax)	San Rafael
Novato	City of Novato	Novato
Mill Valley, Sausalito, Tiburon, Belvedere	Each city or town	Mill Valley · Sausalito · Tiburon · Belvedere
Corte Madera, Larkspur, San Anselmo, Fairfax, Ross	Each town or city	Corte Madera · Larkspur · San Anselmo · Fairfax · Ross
Kentfield, Greenbrae, Strawberry, Marin City, Santa Venetia, Lucas Valley	Marin County (Title 22)	Kentfield · Greenbrae
San Geronimo Valley: Woodacre, Forest Knolls, Lagunitas, San Geronimo	Marin County (Title 22)	Woodacre · Forest Knolls · Lagunitas · San Geronimo · Nicasio
Coastal West Marin: Point Reyes Station, Olema, Inverness, Bolinas, Stinson Beach, Muir Beach, Marshall, Tomales, Dillon Beach	Marin County coastal code (Title 20) and Local Coastal Program	Olema · Inverness · Bolinas · Stinson Beach · Muir Beach · Marshall · Tomales · Dillon Beach

The county’s planning page describes the Countywide Plan, amended in January 2023 with the Housing Element, and 22 community and area plans for unincorporated communities. Title 22 covers zoning and subdivisions in all unincorporated areas, and some of its sections also apply in the Coastal Zone by reference.

Unincorporated Marin zoning for commercial, mixed use and industrial

Chapter 22.12 sets nine districts:

District	Intended uses	Notes (Table 2-8)
VCR Village Commercial/Residential	Historic village centers mixing resident- and visitor-serving uses	35 ft. Housing at 1 unit per 2,000 sq ft. Small restaurants permitted, bars by use permit
C1 Retail Business	Community shopping, with housing	35 ft. Housing only above a non-residential ground floor, 1 unit per 1,450 sq ft
CP Planned Commercial	Lower-intensity retail, office and housing under design controls	30 ft. Restaurants, bars, hotels and drive-throughs permitted
AP Administrative and Professional	Offices with compatible housing	35 ft. No restaurants or bars
OP Planned Office	Offices and housing	30 ft. No housing density in OP itself
RMPC Residential/Commercial Multiple Planned	Mainly residential with some commercial	30 ft. Density per zoning map
H1 Limited Roadside Business	Rural commercial with limited housing	35 ft. Most uses by use permit
RCR Resort and Commercial Recreation	Resorts with public recreation access	30 ft. Hotels, bars and B&Bs permitted
IP Industrial, Planned	Business park and light manufacturing	30 ft. No housing

In the planned districts (CP, OP, RCR, RMPC and IP), the Master Plan and design review rules in Chapter 22.16 control where they conflict with the table. In most districts, dwellings other than affordable housing must be accessory to the primary commercial use. For mixed-use projects, floor area may not exceed the limit set by the Countywide Plan land use designation.

West Marin villages and the coastal code

In the Coastal Zone, Chapter 20.62 uses coastal versions of the districts: C-VCR, C-H1, C-CP, C-RMPC and C-RCR. C-VCR, the zone for village main streets, is meant to keep each village’s character and self-sufficiency while balancing services for residents and coastal visitors. Most development needs a Coastal Development Permit under Chapter 20.68. Decisions on uses that are only "permitted" or conditional can generally be appealed to the Coastal Commission. Beverage and food production need a use permit in C-VCR, which matters for a West Marin creamery, bakery or tasting room.

The county is processing Local Coastal Program and Housing Element amendments. They would rezone housing sites to a Housing Overlay Designation and add a form-based combining district for the coastal area. The Planning Commission considered them in June 2026, and Board of Supervisors and Coastal Commission hearings are still to come.

Cannabis, short-term rentals and lodging

Cannabis. The county licenses only delivery-only medicinal cannabis retailers. The ordinance allows four licenses, with no walk-in stores. Sites must be zoned commercial, office or industrial and sit at least 600 feet from schools, daycares, youth centers and playgrounds. The annual operating fee is $7,000.

Short-term rentals. Under Chapter 5.41, any stay under 30 days needs a county STR license from a waitlist. Licenses are capped at 1,200 countywide, not counting Dillon Beach, with separate caps in Bolinas, Inverness, Point Reyes Station, Stinson Beach, Tomales and other West Marin townships. Hotels, motels, B&Bs, campgrounds and agricultural homestays are exempt, which makes legally permitted lodging relatively valuable.

Transfer tax, business tax and property tax

The Marin County Recorder’s transfer tax sheet lists the county tax at $0.55 per $500, calculated without assumed liens. San Rafael adds $2.00 per $1,000 on full value, assumed liens included. Confirm other city rates with escrow. In unincorporated areas, every business must hold a county business license, renewed by July 31. Most businesses are taxed by gross receipts class, while lodging and rentals pay $15 per unit per year. A sale generally triggers Proposition 13 reassessment.

Due diligence that matters in Marin County

Start with our commercial due diligence checklist, then add:

Confirm city or county jurisdiction, and whether the parcel is in the Coastal Zone.
Identify the community plan and whether a planned district’s Master Plan controls.
Check restaurant seat counts. More than 40 patrons needs a use permit in VCR and C1.
For coastal parcels, budget time for a Coastal Development Permit and possible appeal.
For lodging, confirm the use is a permitted hotel, B&B or inn rather than an STR that would need a license.
In San Rafael, add the city transfer tax on full value.

Questions people ask

Who regulates commercial property in Strawberry or Point Reyes Station?

Marin County. Strawberry follows Title 22. Point Reyes Station is in the Coastal Zone and follows the coastal code and Local Coastal Program.

Can a restaurant open in a West Marin village?

Restaurants for up to 40 patrons are permitted in VCR. Larger restaurants and bars need a use permit, and coastal parcels usually need a Coastal Development Permit.

Are cannabis storefronts allowed in unincorporated Marin?

No. The county licenses only delivery-only medicinal retailers, up to four, with no walk-in sales.

Can I add apartments above a C1 storefront?

Yes. In C1, housing is allowed above a non-residential ground floor, at up to one unit per 1,450 square feet of lot area.

Does San Rafael have a transfer tax?

Yes. $2.00 per $1,000 of full value, on top of the county’s $0.55 per $500.

How are short-term rentals limited?

A county STR license from a waitlist is required, with a 1,200-license countywide cap plus separate caps in West Marin townships.

Does Diamond handle commercial property in Marin County?

Contact Matthew Martinez to discuss buying, selling or leasing commercial property in Marin County.

Sources & notes

This page is general information, not legal or tax advice. Last reviewed October 2026 by Matthew Martinez.

Inquire about a listing or to schedule a meeting

Matthew Martinez

Your inquiry is processed through our iHomefinder service. Review the form’s contact choices before submitting. Privacy Policy · Terms of Use.