What Can You Build in Oregon Shores 2?
Oregon Shores 2 has some of the most affordable owner-financed land I sell in Klamath County, and most of the lots are buildable. But "buildable" comes with two rulebooks, not one, and I'd rather you know that going in than find out halfway through. So here is the straight answer on what you can put on an Oregon Shores 2 lot, what it has to meet, and the couple of things that trip people up.
The lots sit in unincorporated Klamath County, near Chiloquin and Agency Lake, in a community run by the Oregon Shores Recreational Club (OSRC). The single most useful thing to understand before you buy a lot to build on is this: every project answers to two approvals, not one. Klamath County issues the building permit. The OSRC architectural review committee approves your plans on top of that. The county won't waive the OSRC rules, and OSRC won't waive the county's. You clear both, or you don't build.
That sounds like a wall of red tape. It's mostly straightforward once you know the order to do it in, and knowing it up front saves you months. Here's the whole picture.
Here's the short answer
On most Oregon Shores 2 lots you can build a single-family home of at least 1,200 square feet, up to 25 feet tall, plus one guest house, a garage, and normal outbuildings. An approved manufactured or modular home works on most lots too, with conditions, but it's banned outright on a specific list of blocks and lots. Nothing can start, not even a test hole, until you've got your Klamath County permits and your final OSRC approval in hand.
What you're allowed to build
The OSRC restrictions allow one residence per lot plus one guest house, a private garage, and other outbuildings the board approves. The rules that shape the home itself are short and firm:
Minimum size: 1,200 square feet, not counting open porches and garages.
Maximum height: 25 feet from ground level, and your build can't needlessly block a neighbor's view.
Finish deadline for a site-built home: one year to complete the exterior once you start.
Lots are residential. A short list of specified lots can be used for limited commercial purposes (groceries, hardware, sporting goods, a drug store, or real estate) if they also meet Klamath County zoning, but the rest are homes only. You can keep usual family pets, and horses if county zoning allows it on that lot, but no other livestock, poultry, or fowl.
Manufactured and mobile homes, and the lots where they're banned
This is the part I get asked about most, and it's where Oregon Shores 2 is unusual. A manufactured, mobile, or modular home is allowed on most lots, but only if it clears every one of these:
It was built to the applicable codes.
It was built no more than 5 years before it's placed on the lot.
The OSRC board approves the unit, its placement, and how it attaches.
It sits on a cinder block foundation or skirting, which is required on all manufactured and modular homes.
On top of that, manufactured, mobile, and modular homes are prohibited entirely on the blocks and lots below. On these, you build site-built only.
Tract Entire blocks where banned Specific lots within a block where banned
1113 17A, 18, 20, 21, 22 Block 19: Lots 1 through 26, and Lots 43, 44, 45
1184 35, 41, 42, 43, 44, 45, 46, 47, 48, 49 Block 33: Lot 1, and Lots 18 through 20 / Block 34: Lots 1
through 16 / Block 36: Lots 17 and 18 / Block 37: Lots 11 and
12 / Block 38: Lots 1 through 10 / Block 39: Lots 1 through 3,
and Lots 15 through 25 / Block 40: Lots 21 through 38
If your lot isn't on that list, an approved manufactured home is on the table. If it is, plan on a site-built home. Either way, check your exact block and lot against the recorded OSRC restrictions before you commit, because this list is the difference between a plan that works and one that doesn't.
Setbacks, height, and where the house can sit
Where Minimum setback
Side boundary 10 feet
Front boundary 25 feet
Rear boundary 25 feet
Side boundary on a corner lot 15 feet
A garage with direct access from a side street 25 feet from that side line
Height is capped at 25 feet. All utility lines run underground. If a line has to cross a road, OSRC wants it bored under the road where possible, and if the road has to be opened, you put it back to OSRC road specifications. A road crossing carries a refundable $500 deposit and a $50 non-refundable inspection fee, scheduled through the OSRC office.
Septic, water, and power, check these before you buy to build
OSRC names three things to look into before you buy a lot you mean to build on. They're worth real attention, because any one of them can change the math on a cheap lot.
Septic comes first, and it can make or break a small lot. Every lot was perk-tested by the original developer decades ago, and those tests are no longer valid. The Klamath County On-Site program will usually require a new site evaluation and perk test at your expense before it issues a standard septic permit. Current Oregon rules also require room for a reserved back-up drain field. That reserved area shrinks your usable building space and can leave a smaller lot unable to carry a standard system. Engineered alternative systems exist and fill most situations, but they cost more than a standard system. Get the septic question answered early, before you fall in love with a lot.
Water is a community well, and there's a process. Oregon Shores 2 is served by a regulated public water system (PWS OR 41-01285) drawing from an on-site well, with about 167 connections, and its 2023 testing showed no contaminant levels above state limits. To connect, OSRC installs the hookup at its estimated average cost, currently about $2,750, and the work has to be done by OSRC or an approved, licensed, bonded, insured, and WD1 or WT1 certified contractor. County septic approval has to be in hand before water hookup is approved or installed.
Power is usually close, sometimes not. Most lots have power access in reasonable proximity, but a site set back from existing lines can run up a sizable bill, plus the cost of running the lines underground. Pacific Power can quote the cost for a specific lot.
The OSRC architectural review, step by step
This is the approval layer most buyers don't know exists, and it sits ahead of and in addition to the county. Here's how it runs.
Start with a preliminary review. Before you spend money on county and state permits, OSRC recommends submitting the first part of the architectural review packet (the submission form, hold harmless, proof of ownership, your blueprints with footprint and elevations, and a site plan) for preliminary board approval. This tells the board what you intend and catches problems before you've paid for permits. The committee is allowed up to 60 days to respond, and it rarely takes that long.
Get your county and state permits next. Once the preliminary review clears, you can pursue your Klamath County building permit, your septic permit, and the rest knowing the OSRC rules are satisfied.
Get final OSRC approval before you touch the ground. A final architectural review approval is required before the start of any construction or building, and that explicitly includes digging test holes, clearing, or leveling. The final approval requires copies of all county-recorded blueprints and all building permits. In OSRC's own words, do not begin construction until final board approval.
A few site rules apply once you're building. Construction noise has to stop between 6:30 pm and 7:30 am Monday through Saturday, with no noise-producing construction on Sundays. Open test holes and trenches have to be marked with caution tape or cones until they're refilled, and trenches can't stay open more than two weeks. If you act as your own general contractor, OSRC requires a $1,000,000 general liability policy naming OSRC as additional insured, and any contractor doing work tied to the water system signs a hold harmless agreement and carries the same coverage.
One rule deserves its own line, because it catches people off guard: no buildings, sheds, carports, garages, RVs, trailers, or tents are allowed on any lot until the architectural review is approved. An Oregon Shores 2 lot isn't a place to park a camper and stay while you sort things out.
The county permit process, and who to call
Because Oregon Shores 2 is unincorporated, there's no city in the loop. The county is your building authority, and the state sets the code the county enforces. People search for a "Chiloquin building permit," but Chiloquin is just the mailing town. Your permit comes from the county.
The rough order at the county is planning sign-off and a Land Use Compatibility Statement, then the on-site septic evaluation, then the building permit. A non-refundable plan-review deposit, set as a percentage of the permit fee, is due when you submit your plans. Homes are built to the current Oregon Residential Specialty Code as adopted by Klamath County (the 2023 edition, with state amendments that now include wildfire hazard requirements for areas like this one). A building permit application expires if you don't pull the permit within about 180 days, and an issued permit can lapse if work stalls. A manufactured home also needs a county manufactured dwelling permit and is installed to the state installation code.
You can apply for most permits online, but on-site and septic applications can't be filed online and have to go through the on-site program directly.
Contacts worth saving:
Klamath County Community Development, Building Division. 305 Main Street, Klamath Falls, OR 97601. Phone (541) 883-5121, option 1. Fax (541) 885-3644. Hours Monday through Friday, 8:00 am to 5:00 pm. Online permitting at aca-oregon.accela.com/oregon.
Klamath County On-Site (Septic) program. (541) 883-5121. Site evaluations and septic permits start here, and these can't be submitted online. The county works with Oregon DEQ on on-site systems.
Klamath County Planning Division. (541) 883-5121, for zoning questions, the Land Use Compatibility Statement, and addressing. Ask for their "What is a buildable lot?" and "Steps for Obtaining Home Site Approval" resources.
Oregon Building Codes Division (state). oregon.gov/bcd. The state adopts the residential, structural, plumbing, electrical, mechanical, and manufactured dwelling codes. The county does the actual permitting and inspections.
Pacific Power. 888-221-7070, to quote electric service to a specific lot.
Oregon Utility Notification Center. 800-332-2344, or dial 811. Call before you dig, every time.
Oregon Shores Recreational Club (the HOA). 2019 Meadow View Dr., Chiloquin, OR 97624. Phone 541-783-2033. Email oregonshores2@gmail.com. Office hours Monday through Thursday, 8:30 am to 2:30 pm. Website osrc2.org, where you can read the full restrictions and bylaws.
If you're buying on a payment plan
Owner financing is how most people buy these lots, so let me be clear about it. As a contract buyer you're an OSRC member from day one, which means you're responsible for the annual Club assessment that maintains the roads and the water system. You can do plenty while you pay, including planning your home and lining up the county and OSRC approvals. What you can't do is build, live on, or camp on the land until it's paid off and the deed is in your name. Pay cash and you get full use at closing. I'd rather tell you that up front than let you find out later.
The questions I get asked most
Do I need a permit to build in Oregon Shores 2? Yes, two layers of approval. You need a Klamath County building permit, plus septic and any manufactured dwelling permit, and you need OSRC architectural review approval. Final OSRC approval is required before any ground is disturbed.
Can I put a manufactured or mobile home on my lot? On most lots, yes, if the unit was built within the last 5 years, meets code, sits on cinder block foundation or skirting, and the OSRC board approves it. Manufactured, mobile, and modular homes are banned entirely on a specific list of blocks and lots, where you have to build site-built. Check your exact block and lot against the recorded restrictions.
What is the minimum house size? 1,200 square feet, not counting open porches and garages. The height limit is 25 feet.
Do I need septic and a well? You need a county-approved on-site septic system, and current rules require room for a reserved back-up drain field, which can make a small lot unsuitable for a standard system. Water comes from the OSRC community well, with a hookup at about $2,750, and county septic approval has to come before water hookup.
Can I camp or park an RV on my lot while I pay it off? No. OSRC doesn't allow buildings, RVs, trailers, or tents on any lot until the architectural review is approved, and on a payment plan you can't live on or camp on the land until it's paid off.
How tall can my home be, and where can it sit on the lot? Up to 25 feet tall, set back 10 feet from the sides, 15 feet on a corner lot's street side, and 25 feet from the front and rear.
Who approves my plans, the county or the HOA? Both. They're separate approvals. Klamath County checks code and zoning. OSRC checks its own restrictions on top of that.
When can I start building if I'm on a payment plan? You can get your county and OSRC approvals lined up while you pay, but construction and occupancy wait until the lot is paid off and titled in your name.
Ready to look at Oregon Shores 2 lots?
Oregon Shores 2 is where I hold some of my most affordable inventory, and I name every cost out loud before you sign. If you've got questions about a specific lot, or what you want to build on it, reach out. I'd rather answer ten questions now than have you wondering about any of it later.
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Continue reading:
Why We Chose Klamath County, Oregon
How Owner Financing Works for Land
What Happens If You Miss a Payment? The Honest Answer About Land Contracts
I last reviewed this guide in June 2026. Building codes, county fees, and OSRC rules change over time, so always confirm the current requirements with Klamath County and OSRC, and read the recorded CC&Rs before you buy or build. The OSRC restrictions referenced here were recorded in Klamath County in 2006 (instrument M06-13239), and the OSRC building guidelines are dated April 2024.
