Guiding clients through all aspects of their ADU projects
Including zoning, permitting, design parameters, construction methods, estimated costs, financing options, property management, sustainable upgrades, long-term maintenance, and more
A Brief Introduction to Accessory Dwelling Units (“ADUs”)
Since 2017, California has passed sweeping changes in State Legislation that has legalized the development of ADU’s on both single family and multifamily properties as a way to alleviate the housing crisis. ADUs are known by many names (granny-flats, in-law unit, backyard cottage, etc.), they take many forms (conversions, additions, and new construction), and they serve many purposes (family, rental, and/or office space). ADUs can range in size anywhere between 150 sq.ft to 1200 sq.ft and cost anywhere between $20,000 (to convert a master bedroom into a small studio apartment) up to $250,000+ for new construction of a 1200 sq.ft home.
In a sentence, ADUs are a flexible and viable option for any homeowner and/or property owner seeking to maximize the equity, income, and utility of their most valuable asset.
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Why ADUs?
Concept provided by Levy Design Partners
ADUs built within the footprint of existing structures offer substantial savings during development in terms of time, money, land, and resources. Once completed, ADUs can increase the overall value of the property because they are capable of providing reliable, passive, and long-term income. And with the proper planning and design, ADUs can help multigenerational families with managing the costs of housing, childcare, and healthcare.
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Benefits of ADUs
AFFORDABILITY
ADUs are affordable because they do not require paying for land, major new infrastructure, structured parking, or elevators. In addition, ADUs can be built with cost-effective wood frame construction, which is significantly less costly than homes in new multifamily infill buildings.
Flexibility
ADUs give homeowners the flexibility to experiment with new lifestyles by downsizing, traveling, or sharing independent living areas with family members and others.
Security
ADUs can provide additional financial security and insurance against job loss, recession, or other financial shocks like medical emergencies.
Passive Income
Residents in the Bay Area are earning anywhere between $1,500 to $3,500 a month by building their ADUs, which are turned into residential rental units. For greater earning potential, homeowners can move into their ADU and utilize the main structure as a rental unit.
Extra Space
ADUs can provide as much living space as many newly-built apartments and condominiums, and they're suited well for couples, small families, friends, young people, and seniors. ADUs can also function as separate office space for working at home and hosting clients or meetings.
Privacy
ADUs allow extended families to be near one another while maintaining privacy.