This 9.2-acre working farm supports a regional apiary business supplying bees for commercial crop pollination across the West Coast. The property included an aging farmhouse—expanded multiple times over the years—along with several agricultural outbuildings.

After evaluating remodeling costs versus new construction, the owner determined the existing residence had reached the end of its useful life. The goal was clear:

• Build a durable, low-maintenance replacement home
• Maintain uninterrupted farm operations during construction
• Meet all EFU replacement dwelling requirements
• Preserve long-term agricultural land value

After touring a completed home in the Woodhill Homes subdivision in Hermiston, the owner contacted Tailored by Woodhill Homes, impressed by the construction quality and finish standards. We collaborated to modify our Sage floor plan, expanding the rear living and dining areas to capture panoramic views of irrigated farmland while maintaining construction efficiency.

By customizing an existing plan rather than designing from scratch, the owner benefited from:

• Reduced design costs
• Streamlined permitting
• Accelerated construction timeline
• Proven construction systems

Originally developed in 1991, this 0.28-acre property sits within Bend city limits in a highly desirable neighborhood close to schools, employment centers, and daily services. The existing single-family home had been a stable long-term rental owned for over 15 years when the owners approached Tailored Homes.

Their objective was clear: 

Increase unit count, optimize cash flow, and maximize the property’s long-term value under Oregon’s new Middle Housing legislation.

Tailored Homes collaborated closely with the owners, a local civil engineer, and a designer to evaluate zoning allowances, site constraints, and infrastructure capacity. The optimal strategy was to retain the existing rental home and construct three detached 2-bedroom cottages, legally establishing the site as a quadplex under Bend’s Middle Housing code.

Compliance Strategy: Build First, Demolish After Completion

Under Oregon land-use law, a new dwelling may be constructed on EFU land if it qualifies as a replacement dwelling, provided the existing home is removed within a defined timeframe after completion.

Tailored Homes coordinated closely with Umatilla County to ensure:

• Proper replacement dwelling qualification
• Environmental review compliance
• Demolition permitting and scheduling
• Clear documentation to protect long-term land-use status

This strategic sequencing allowed the owner to continue living in the original farmhouse during construction, preserving both housing stability and farm productivity."

• Maximize rental income per lot
• Reduce per-unit construction cost compared to stacked multifamily
• Maintain strong tenant appeal with detached living units
• Increase long-term asset value and exit flexibility

1. Environmental Testing & Demolition Planning

Replacement dwellings on EFU land require environmental review before demolition. Planning must occur simultaneously with new home design and permitting.

Our team guided the owner through:

• Required environmental testing
• Demolition approval process
• Compliance documentation
• Coordinated scheduling to avoid delays

By integrating demolition planning early, we eliminated regulatory bottlenecks and kept the project timeline intact.

2. Sloped Agricultural Site & Irrigation Drainage

The homesite was surrounded by irrigated production fields on gently sloped terrain. While visually stunning, this created drainage challenges that could affect long-term foundation performance.

Working with the project designer, we developed a custom foundation drainage system that:

• Diverts irrigation runoff away from the structure
• Protects crawl space integrity
• Reduces future maintenance risk
• Preserves surrounding field irrigation patterns

For rural homeowners and investors, proactive drainage engineering is essential for asset longevity.

3. Utility Infrastructure While Maintaining Farm Operations

Because the owner occupied the original residence during construction, utilities required phased installation and distribution planning.

Solutions included:

• Installation of a new utility distribution box by the utility provider
• Separate water, gas, and septic connections for the new dwelling
• 400-amp service panel to accommodate both residential needs and workshop power
• Integrated planning with the power company to avoid service disruption

This level of coordination allowed uninterrupted agricultural activity while construction progressed.

Middle housing and ADU infill projects in Bend require precision planning, particularly on developed lots. With more than 20 years of local infill construction experience, Tailored Homes navigated several common—but high-risk—constraints.

Site Planning & Topography

The sloped backyard required a site plan that balanced:

• Drainage continuity for the original home
• City of Bend slope and grading requirements
• Private outdoor space for each cottage

Through close coordination with civil engineering and landscape professionals, the final layout delivered functional infrastructure and attractive tenant-ready outdoor environments.

Construction Access on a Constrained Lot

Backyard access for materials and equipment was limited. Tailored Homes implemented phased scheduling and logistics planning to minimize labor inefficiencies and protect the existing rental home during construction.

Utility Infrastructure & Coordination

A major complexity of this project involved separate utility distribution for three new detached units. Power, gas, water, and sewer systems were redesigned and installed in coordination with the City of Bend and local utility providers—without delaying the overall build schedule.

During excavation, an undocumented septic tank was discovered. The team immediately initiated permitting for abandonment and removal, resolving the issue quickly and keeping the project on track.

By leveraging our refined construction systems and pre-engineered plan customization process, the new 1,845-square-foot home was completed in just 3½ months from the start of the foundation excavation —delivered on budget and on time, before winter arrived.

The owner successfully:

• Transitioned into a new energy-efficient residence
• Demolished the original farmhouse within the required timelines
• Preserved EFU compliance
• Improved long-term property functionality and value

The finished home delivers expansive farm views, modern finishes, increased comfort, and low-maintenance durability suited for rural living.

Despite winter construction conditions, Tailored Homes completed site work, utilities, and all three cottages in just 8 months. The new 2-bedroom cottages were leased quickly, delivering immediate income growth for the owners.

The final outcome:

• A fully legal quadplex in a high-demand Bend neighborhood
• Detached units with strong long-term rental appeal
• Optimized density without sacrificing design or livability
• A scalable model for investors pursuing Oregon Middle Housing and ADU strategies

Oregon’s land-use regulations are among the most complex in the nation—particularly on Exclusive Farm Use (EFU), Rural Residential, Scenic Corridor, Wildlife Overlay, and Wildfire Zone properties.

For landowners, agricultural operators, and rural investors, successful development requires:

• Early regulatory strategy
• Environmental and demolition coordination
• Utility and infrastructure sequencing
• Builder experience specific to rural zoning

Tailored Homes brings deep experience navigating Oregon’s rural construction requirements while delivering high-quality, durable homes built for long-term performance.

If you’re an investor looking to increase rental density, improve cash flow, or redevelop an existing property in Bend or Central Oregon, Tailored Homes brings deep experience in ADU, middle housing, and infill construction.