Multifamily and Duplex Properties for Sale in Corte Madera: Zoning and Rent Rules

What multifamily in Corte Madera looks like

Corte Madera is mostly single-family, so investment property tends to be small. Expect duplexes and small apartment buildings on R-2 and R-3 lots near Tamalpais Drive and the Paradise Drive flats, units above shops around Old Corte Madera Square, condominium complexes, and a few larger rental communities near the freeway. New supply comes mainly from Housing Element sites on commercial land. Flatland lots often sit on bay mud, which affects foundations and insurance. For financing, see financing 2-4 unit properties and apartment building loans.

Where the zoning allows it

Chapter 18.08 sets six residential districts. Multiple dwellings are permitted only in R-2 and R-3. Overlays and mixed-use districts add more options.

Usable open space is 300 square feet per unit in R-2 and 100 square feet per unit in R-3, with at least half at ground level. AHE-A projects need set-asides of 25% moderate, 10% low and 15% very low income units under a 55-year agreement, and get reduced parking ratios.

ADUs and SB 9. One ADU or JADU is permitted in each residential district under Chapter 18.31. See our ADU investment guide. Two-unit developments and urban lot splits fall under Chapter 18.31A. The zoning administrator may grant exceptions so each SB 9 unit can reach 800 square feet. Hillside parcels in the HLC overlay and bay mud parcels in the BRNH overlay have reduced density factors. See our SB 9 lot split guide.

Rent rules: state law only

The Attorney General’s rent cap page puts Marin County in the San Francisco Area region. The maximum increase for covered units is 6.3% for increases from August 1, 2025, and 8.8% from August 1, 2026 through July 31, 2027. The page lists no local cap in any Marin city, and the Corte Madera code chapters we reviewed contain no rent cap or local just cause chapter. AB 1482’s just cause and relocation rules govern covered tenancies. See our AB 1482 guide and just cause eviction guide.

Marin County’s mandatory rent-increase mediation program covers only unincorporated Marin and San Rafael. In Corte Madera, mediation is voluntary through the county.

Corte Madera rental property rules

• Section 8 tenants. Chapter 5.30 (2000) bars refusing an existing tenant’s Section 8 subsidy, or ending a tenancy to avoid the program. It applies to properties with more than ten units, and complainants must offer free mediation before suing.
• Business license. Under § 5.04.360, owners of buildings with three or more households pay an annual license tax of $6 per apartment, due January 1.
• Short-term rentals. Chapter 5.34, adopted November 2023, requires a town license for any stay of 30 days or less. Rentals are capped at 75 days a year and one licensed property per owner. Multifamily units, ADUs, JADUs, SB 9 units and deed-restricted units are ineligible. The town audits about 10% of licensees a year, and stays owe the 10% TOT. Do not underwrite apartment units as vacation rentals.
• Transfer tax. The town’s Chapter 3.12 sets $0.275 per $500. The county Recorder’s sheet lists $0.55 per $500 and names only San Rafael as adding a city tax, so confirm the charge with escrow.

Bay mud, flooding and older buildings

The BRNH overlay covers low-slope land on bay mud and includes flood-hazard review. Settlement, cracked slabs and sloping floors are common issues in older flatland buildings, so get a structural and geotechnical inspection. Sewer collection is handled by Sanitary District No. 2. Ask the district about lateral inspection or replacement rules at sale, since we did not verify a lateral ordinance. Many 1960s and 1970s apartment buildings have tuck-under parking, so consider a seismic retrofit review. Buildings of three or more units with elevated balconies need SB 721 inspections.

Underwriting a Corte Madera multifamily purchase

1. Confirm the district and overlays (R-2, R-3, AHE-A, AHO, BRNH, HLC), and test the legal unit count against site area per unit.
2. Classify each unit under AB 1482 and model increases at or below 8.8%.
3. For properties over ten units, confirm compliance with the Section 8 protections, and for affordable overlays, review the recorded agreements.
4. Collect leases, the rent roll and estoppel certificates, and check for any unlicensed short-term rental use.
5. Order geotechnical, structural and sewer lateral inspections for flatland buildings.
6. Rebuild expenses with reassessed taxes, the $6-per-unit license tax and flood insurance in our rental property analysis.

Questions people ask

Sources & notes

1. Corte Madera Municipal Code (GoCodebook, Oct. 2026): Ch. 18.08 R districts, Ch. 18.13 MX, Ch. 18.18 overlays
2. Corte Madera Titles 3 and 5: Ch. 3.08, Ch. 3.12, Ch. 5.04, Ch. 5.30, Ch. 5.34
3. California Attorney General, Rent Caps
4. Marin County, Mandatory Mediation Program
5. Marin LAFCo, Sanitary District No. 2
6. Marin County Recorder, transfer tax

Note: We did not review Chapter 18.31A (SB 9) text, the zoning map or the adopted Housing Element site list.

General information, not legal or tax advice. Last reviewed October 2026 by Matthew Martinez.

Related: Corte Madera real estate guide · Commercial real estate in Corte Madera · Multifamily investing guide · Investor services