Commercial Real Estate in Sacramento County: County Zones, Corridors and Transfer Taxes
By Matthew Martinez, Founder, CEO & Managing Broker, Diamond Real Estate Group. California DRE #01869679.
Sacramento County has an unusually large unincorporated urban area. Business districts in Arden Arcade, Carmichael, Fair Oaks, Orangevale, North Highlands, Antelope and Rio Linda are zoned by the County, not a city, even though many have Sacramento mailing addresses. The cities of Sacramento, Elk Grove, Citrus Heights, Folsom, Rancho Cordova, Galt and Isleton regulate their own land. Confirm the jurisdiction from the parcel, not the address.
Who controls the parcel
Unincorporated parcels follow the Sacramento County Zoning Code, published in the County’s Land Use Regulation Library along with the General Plan, design guidelines and a zoning map. City parcels follow city codes. The difference shows up in real money: the County Clerk-Recorder says only the City of Sacramento levies its own transfer tax on top of the County’s.
| Area | Who regulates commercial use | Our guide |
|---|---|---|
| City of Sacramento | City code | Sacramento |
| Elk Grove, Citrus Heights, Folsom, Rancho Cordova | Each city | Elk Grove, Citrus Heights, Folsom, Rancho Cordova |
| Galt, Isleton | Each city | Galt, Isleton |
| Unincorporated suburbs (Carmichael, Fair Oaks, Orangevale, North Highlands, Antelope, Rio Linda, Gold River) | County Zoning Code | Carmichael, Fair Oaks, North Highlands, Orangevale |
| Delta towns (Walnut Grove, Courtland, Hood, Ryde, Freeport) | County Zoning Code and Delta special planning areas | Walnut Grove, Courtland |
| Rural east and south (Wilton, Sloughhouse, Herald, Rancho Murieta) | County Zoning Code | Wilton, Rancho Murieta |
Sacramento County zoning for commercial, industrial and mixed use
Chapter 2 of the Zoning Code sorts districts into agricultural, residential, recreational, mixed-use, commercial and industrial groups.
| District | Intended uses | Notes |
|---|---|---|
| BP Business Professional Office | Offices and professional services | Section 2.9 |
| LC Light Commercial | Neighborhood-scale retail and services | Section 2.9 |
| GC General Commercial | Broad retail and service commerce | Section 2.9 |
| NMC Neighborhood Mixed-Use Center | Neighborhood centers | Housing optional |
| CMC Community-Regional Mixed-Use Center | Larger centers | Housing optional |
| CMZ Corridor Mixed-Use | Commercial corridors | Housing required |
| C-O Commercial Recreation | Commercial recreation uses | Recreational group |
| MP Industrial-Office Park | Office and light industrial campuses | Section 2.10 |
| M-1 Light Industrial and M-2 Heavy Industrial | Manufacturing, warehousing and heavier industry | McClellan and Mather areas |
| IR Interim Agricultural Reserve | Farmland held for future industry | Agricultural group |
| SPA Special Planning Area | Site-specific rules | Adopted SPAs and NPAs are in Title V |
Combining districts for flood (F), natural streams (NS), neighborhood preservation (NPA) and the American River Parkway corridor (PC) overlay the base zones, so a riverside parcel in Carmichael or Fair Oaks may carry extra limits.
Corridors, special planning areas and Delta towns
Corridor mixed use. The County’s CMZ district requires housing as part of development, unlike the NMC and CMC centers, where housing is optional. Buyers of corridor retail in older suburban strips should check whether the parcel has been rezoned to CMZ and what that does to a future redevelopment.
SPAs and corridor plans. Chapter 2 places adopted Special Planning Areas and Neighborhood Preservation Areas in Title V of the Zoning Code and specific plans and corridor plans in Title VI. These can override base zoning on parking, uses and design, so pull the plan for any parcel inside one.
Delta towns. The County’s short-term rental rules single out the Locke SPA, Courtland SPA and Walnut Grove NPA as the only places where short-term rental can be the primary use in certain zones, which matters for lodging and mixed-use buildings in those river towns.
Design guidelines. The Land Use Regulation Library includes countywide design guidelines with separate chapters for commercial and industrial projects.
Lodging, business licenses and other County rules
Lodging tax. The County collects a 12% transient occupancy tax in the unincorporated area, and lodging businesses also pay Sacramento Tourism Marketing District and Tourism Infrastructure District assessments, according to the STR permit page.
Business license. A General Business License from the Department of Finance is required for businesses located in the unincorporated area, per the County’s business license FAQ. Effective July 1, 2026, the fee is $262.60 for three years, with Special Business Licenses for activities such as towing and secondhand dealing.
Transfer tax, business tax and property tax
The County documentary transfer tax is $0.55 per $500 of value, less assumed loans, per the Clerk-Recorder. Inside the City of Sacramento, the Recorder also collects the city’s additional real property transfer tax of 0.275% of consideration under City Code 3.16.020, in effect since September 1, 2013. On a commercial sale that difference is significant, and it is one more reason to confirm the jurisdiction. A change of ownership generally triggers Proposition 13 reassessment.
Due diligence that matters in Sacramento County
- Confirm city or unincorporated County from the parcel number and the County zoning map.
- Read the base zone plus any F, NS, NPA or PC combining district.
- Check whether the parcel sits in an SPA, specific plan or corridor plan.
- Calculate transfer tax with the city tax if the parcel is in the City of Sacramento.
- For unincorporated businesses, confirm a County business license.
- Work through our commercial due diligence checklist.
Questions people ask
Is Carmichael or Arden Arcade in the City of Sacramento?
No. They are unincorporated, so the County Zoning Code and County business license apply.
Is there a city transfer tax in Sacramento County?
Only the City of Sacramento levies one, at 0.275% of consideration, on top of the County’s $0.55 per $500.
What is the County’s corridor mixed-use zone?
CMZ, which requires housing as part of development along commercial corridors.
What is the hotel tax in unincorporated Sacramento County?
12% of rent, plus tourism district assessments.
Do I need a business license in unincorporated Sacramento County?
Yes, a County General Business License is required for businesses located there, with limited exemptions.
Where are the County’s special planning areas?
Adopted SPAs and NPAs are in Title V of the Zoning Code, and specific and corridor plans in Title VI.
Does Diamond handle commercial property in Sacramento County?
Contact Matthew Martinez to discuss buying, selling or leasing commercial property in Sacramento County.
Sources & notes
- Sacramento County Land Use Regulation Library
- Sacramento County Zoning Code, Chapter 2
- County Planning, short-term rental permits
- County Department of Finance, business license FAQ
- County Clerk-Recorder, documentary transfer tax
- County Clerk-Recorder, City of Sacramento additional transfer tax
City rules are covered on each linked city page. This page is general information, not legal or tax advice. Last reviewed October 2026 by Matthew Martinez.
Related: Sacramento County real estate guide · Multifamily property in Sacramento County · Commercial real estate services
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