I think it is probably the number, and also that the Landlord is concerned that the children might damage the proerty. I guess I can try and see if he would accept an outrageous security deposit like 3-5K and see if he will go for it. With three Bedrooms, I should not be in violation of any Zoning occupancy guidelines, because I believe that 2 people per bedroom is generally acceptable. Neither the lease nor the local CCNR's state any maximum, only that "all persons living in the property must be approved by the owner and the property management company".
Thanks everyone for your input.

