What is a Certificate of Occupancy? Zoning Definition
An official document issued by the local building department confirming that a building complies with all applicable codes and regulations and is approved for occupancy or use.
A certificate of occupancy (CO) is a document issued by the local building or code enforcement department that certifies a building or space is safe and suitable for its intended use. It confirms that the structure has been inspected and meets all applicable building codes, zoning requirements, fire safety standards, and health regulations. In most jurisdictions, a building cannot be legally occupied or used until a CO has been issued.
A CO is typically required in three situations. First, after new construction is completed and has passed all required inspections. Second, when an existing building undergoes a change of use, such as converting a warehouse into residential lofts or a house into a commercial office. Third, after significant renovations or alterations that required a building permit. The CO verifies that the finished work matches the approved plans and that the building is safe for the type of occupancy specified.
The certificate of occupancy lists important information including the property address, the permitted use or occupancy type, the applicable building code edition, the maximum occupancy load for commercial spaces, and any special conditions. A temporary certificate of occupancy (TCO) may be issued when a building is substantially complete and safe for occupancy but minor items remain to be finished. A TCO is valid for a limited time, after which the permanent CO must be obtained.
If you are purchasing, leasing, or renovating a commercial property, verifying that a valid certificate of occupancy exists for the intended use is an important step. Occupying a building without a proper CO can result in fines, forced vacating of the premises, and liability issues. If the current CO does not match your intended use, you will need to apply for a new one, which may trigger additional reviews for building code compliance, fire safety, and zoning conformance.
Related Terms
Building Permit
An official authorization issued by a local government that allows construction, renovation, or demolition of a structure after plans have been reviewed for compliance with building codes and zoning regulations.
Building Code
A set of regulations that establish minimum standards for the design, construction, alteration, and maintenance of buildings to protect public health, safety, and welfare.
Inspection
An official examination of a construction project by a local building inspector at various stages to verify that the work complies with approved plans, building codes, and zoning requirements.