[TexasGator]

“
The lots were owned by the family since the 1960s. The lots being conveyed was from the family trust down to the children, I think four out of six of whom are the current legal owners. Generally, any kind of grandfathering is held across generations. It’s only lost when sold outside of the family. “

If they had given one lot to two of the children and the other lot to the other two they would have been grandfathered. As I understand (only slightly) the grandfathering could be passed to any new owner.

The county argued that by both lots being owned by the same people and their use of the lots as one lot, they in fact had ‘merged’ the lots into one and were no longer grandfathered for developing both lots.

They valued both lots as one for about $700k and valued two lots separately (without those restrictions) as slightly more than $700k but less than a 10% difference.

[Svartalfiar]

The county argued that by both lots being owned by the same people and their use of the lots as one lot, they in fact had ‘merged’ the lots into one and were no longer grandfathered for developing both lots.

But they didn't combine them. Legally they were still two separate lots. Tax-wise they were separate.

If I buy a car and let my kid drive it to school and work, and he pays for fuel and basic maintenance while he uses it, does that make him the legal owner of the car? Not at all. Just because something is used in one manner doesn't legally turn it into something else.