The City Council on Tuesday denied approval for a three-story single-family home at 423 Bell Ave.
However, the council moved the property into the Form Based Code designation.
John Bridger, Regional Planning Agency executive director, said his staff had a problem with the three-story height.
However, he said the developer could apply to the Form Based Code Committee to allow the three stories.
The RPA staff said the height is not in conformity with most of the residences on the North Chattanooga street.
Randall Addison of Northshore Development made the rezoning request.
The Planning Commission also did not go along with three stories.
It was noted there is a three-story house that sits back from the street next door.
A staff report says, "The proposal does raise concerns regarding height. The proposal would be an extension of an existing zone; however staff has concerns about continuing to extend a single-family residential zone with three stories maximum, which is not consistent with the existing development form on the block."
Garnet Chapin, president of the Northshore Neighborhood Association, spoke against the proposal, saying it was "an example of the camel getting its nose under the tent."
He said he has concerns with the quality of construction of the developer, saying that a unit a block away from his residence "caught fire the first time the heater was turned on."