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I dont agree with this. We have a VERY small lot...by small I mean a 60' by 120' lot with a 1300 sq foot house in the middle of it. Our backyard is small...our chickens are happy...and we have 9 of them.
TxChiknRanchers...dont take this personal...I just have to disagree and give hope to city dwellers that is really is possible to have chickens in the city.
Bellydancer,
I think most of the issues have been addressed above...the smell...the predators...the roos...the laws, etc.
I am not sure of your exact situation. I live in a small-ish city. I have 4 neighbors that butt up close to our lot and they were able to hear our rooster clearly in the morning. Our rooster is now gone...and we have since found out that friends 5 houses away heard our rooster in the morning

. But no one can tell we have hens. This gives you an idea how close our neighbors are.
Living in the city you have to get creative with the space.
I'll take more pics tomorrow because we have reworked the "free range" area. Below are pics of the coop/run.
Here is part of our run that is enclosed...it is attached to the coop and another run (it runs behind our workshop...the coop and other run are right up against our workshop):
Here is the coop...you can see the run shown above is on the left of this photo and runs behind the workshop...it is predator proof (well, as predator proof as we can...ya never know):
Happy chicks (I think Moe our Easter Egger is actually skipping...hehehe!):
More happy chicks...ok..."Smudge the Deleware" looks ticked in this photo but she is really happy