does it move any closer to the fence? Do you own the small next door? I assume the original house was grandfathered...
You get the Villa and the small shown in the picture. There was a large patio there previously and can be replaced to be within 1-2 tiles of the fence. If you go there now you can see how close the neighboring L-Shape is to the fence, the homes can be placed as equally close to the fenceline.