What is a restrictive covenant?

I have come across many Leases that contain “Restrictive Covenants” so the question is what is a restrictive covenant? Restrictive covenants are deed restrictions that apply to a group of homes or lots in a specific development or ‘subdivision.’ They are normally drafted and put in place by the original developer, and are different for every area of homes.

Restrictions give a development a more standard appearance because they control some of the activities that take place within its boundaries. Covenants nearly always stipulate the minimum size residence allowed, how many homes may be built on one lot, and what type of construction the homes must (or must not) be. They may include numerous other restrictions. Study covenants carefully before making an offer to purchase property.

Restrictive covenants are Sometimes referred to as “deed restrictions.” Restrictive covenants are deed restrictions but deed restrictions are not necessarily in the form of restrictive covenants.

In essence a restrictive covenant is a private agreement (made in writing) between the neighboring landlords or the Lessor and Lessee. In the case of residential developments it is used to restrict the way land may be used and developed. They are enforceable by one landowner against another, and effectively form a kind of planning order to restrict certain activities within its boundaries. Restrictive covenants can be passed down to future property owners who will probably have to sign a Deed of Covenant confirming that they will abide by the covenants made between the previous owners before they can take control of the property.