Factory Built Housing

Factory Built Housing is a general term in the Louisville Metro Land Development Code (LDC) that includes both modular and manufactured homes. Both types are generally constructed in an off-site facility and then transported to a final location for installation. Modular homes must be built to the same state and local building codes as site-built homes, while manufactured homes are built to a code established by HUD (U.S. Department of Housing & Urban Development). Learn more about the differences below.

On December 21, 2023, the Louisville Metro Planning Commission approved a Resolution requesting that staff review the standards for Factory Built Housing in the Land Development Code and develop recommendations to modernize and reduce regulatory barriers to the construction of Factory Built Housing, specifically modular housing. Read the full Planning Commission Resolution below.

Factory Built Housing - Planning Commission Resolution

Factory Built Housing - Proposed Changes to the Land Development Code (23-LDC-0004)

After national best practice research and engagement with industry professionals, the Office of Planning developed a draft amendment (23-LDC-0004) to the Louisville Metro LDC for Factory Built Housing. Read the full draft amendment below. The online comment period for the draft ended on May 12, 2024.

Factory Built Housing - Draft LDC Amendment (Updated 06/06/24)


Planning Committee

23-LDC-0004 will go before the Planning Committee of the Planning Commission on Wednesday, June 12th, 2024 at 10:00am. The Planning Committee will review the draft and determine a date for public hearing at the Planning Commission. Information will be posted as it becomes available.

Planning Committee Staff Report (23-LDC-0004)

Link to Planning Committee Agenda

Modular vs. Manufactured: A Process, not a Product

Both modular and manufactured homes are a type of home that is built in an off-site facility and then delivered to a final location for installation. This is in contrast to site-built (or stick-built) homes, which are constructed from start to finish on site. Though modular and manufactured homes are similar in construction, they are regulated separately. 

Prior to 1976, manufactured (or mobile) homes were not regulated by the federal government. In 1976, the U.S. Department of Housing and Urban Development (HUD) established the Manufactured Home Construction and Safety Standards, commonly known as the HUD Code. These federal standards regulate all aspects of construction, including design and construction strength, durability, transportability, fire resistance, and energy efficiency. Manufactured homes are inspected by federally-approved third parties at the construction facility. Since the establishment of the HUD Code, numerous updates were made, with the last update in 2021. The safety and quality of manufactured homes has increased significantly over this time period, resulting today in very few differences between manufactured, modular, and site-built homes.

Another type of home that is built off-site is known as modular construction. Unlike manufactured homes, modular homes are constructed to meet state building codes. This requires inspection by multiple state building code officials during the construction process, which generally creates longer lead times and increases costs. 

Historically, modular homes were perceived to be of a better quality than manufactured homes. However, with significant updates to the HUD code over the last 20 years, most companies can offer the exact same home as either manufactured or modular. Under today's standards, the only difference between manufactured homes and modular homes is the process - not the product

Today's Manufactured Housing - Learn More

Source: Kentucky Manufactured Housing Institute

Factory Built Housing Definitions

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