How to Build an ADU in San Francisco

Posted on
July 29, 2020

Accessory Dwelling Units (ADUs),also called secondary units, in-law units, tiny homes, granny flats or cottages, are units added to existing or new residential units on a property. This secondary units are allowed on both single-family and multi-family buildings. In this article, we'll cover the procedure on getting the permit to add and ADU to existing single-family homes.

Since 2003 when the government code was changed to allow for a streamlined permit approval of the second-unit on a property, the City of San Francisco has done small adjustments to enable getting permits faster for ADUs. Still, this process may take around 18 months to get it started. The good part is that technology has advanced in creating tools that give you a faster and more affordable way to find out where and how large an ADU could be on a property. These new tools will cut at least a month of research on your end and put you in the right direction.

Once you know what you may be allowed to build, an ADU builder can give you a more accurate bid for your project. If you want to see how much profit you could make, you just multiply the maximum square footage possible on your property to the average per square foot value in your neighborhood. A more efficient way to get all these answers is by looking up your address to get an instant answer free.

On August 31, 2018, Mayor London N. Breed issued an Executive Directive to accelerate the approval of Accessory Dwelling Units (ADUs), and to clear the backlog of pending applications. This directive comes along with the City's initiative to increase density in order to overcome the housing shortage in San Francisco.

ADU or no ADU?

Homeowners in San Francisco have full support from the city to add ONE (1) more unit to their existing home of four (4) or less legal dwelling units. If your home is eligible for the Voluntary Seismic Retrofit Program, you may add more than one ADU.

‍Waiver or No Waiver?

City of San Francisco leaves the back door opened for exceptions to the current code. Those of you whom the existing building allows for an ADU under current code regulations, are called "NO Waiver" ADU. For those of you whose property would require some exceptions from the code, are called "Waiver" ADU.

Here you can find out if you are a "NO waiver" or a "Waiver" ADU.

ADUs are generally developed using underutilized spaces within a lot, whether a garage,  storage,  rear  yard, or  an  attic.  These units are independent from the primary unit that  have  their  own entrances, kitchens, bathrooms  and  living  areas.  

ADUs can be located:

  • within the existing building;
  • as an extension to the existing building;
  • or as a separate structure on the same lot as the primary unit

Types of ADUs

There are four ADU types:

  1. Conversion ADUs are new units that convert space in a residential building.
  2. Attached ADUs are new units that expand a residential building.
  3. Detached ADUs are new free-standing buildings located on a residential property.
  4. Junior ADUs (JADU) are a new type of ADU that convert up to 500 square feet of space in a single-family structure. JADU requires owner-occupancy in either the remaining portion of the single-family home or the newly created JADU.

ADUs' size:

  • not larger then 50% of the primary residence
  • up to 16 ft in height (on a sloped lot the height may be different)
  • interior spaces have to follow the building department guideline

If you wonder how the new zoning regulations influenced the value of your property, check your address here.

Will my  ADU be rent controlled?

ADUs added to existing single family homes will not be subject to rent control, unless a “waiver” from a Planning Code requirement, such as the open space or exposure requirement, is granted.

Can I use my  ADU for short-term rentals?

No. Accessory Dwelling Units are ineligible for the Short Term Rental program.

Can I Sell my  ADU?

No.  ADUs under this program cannot be subdivided and sold separately. It can only be sold with the primary residence.

Review Process: What’s involved?

If the proposed  ADU is within the existing built area of your single-family home, the review process will be straightforward and should take less than 120 days. Planning Department will review and provide comments at the counter. If the proposed ADU includes an addition to the existing home for an ADU, this will likely be reviewed by all City agencies within four months, and neighborhood notification is not required for ADUs 1,200 square feet or smaller. If the proposed ADU is proposed in conjunction with construction of a new home plus ADU, neighbors within 150 feet of the subject property and relevant neighborhood groups must be notified for a 30-day public review period; the timing of this will vary. The Discretionary Review process will also apply, similar to all other expansion permits reviewed by the Planning Department.

10 STEPS to complete an ADU project

First.

Calculate the size and location of the ADU you may be allowed to have on the property. Sounds complicated and expansive. In this case, order your ADU report for your property on-line. If your property has an existing legal building in the rear yard, such as a garage or storage shed, this may be eligible for converting into an ADU.

Second.

Decide on how this  ADU can serve you best. Is this unit helping you pay the mortgage by creating a rental apartment? Is it going to house multi-generational households or an older homeowner could move to the ADU while the children live in the main home? Depending on its primary use, you might realize that the size of the  ADU may not be satisfy your final goal.

Third.

Take your ADU report to the Planning Department for a pre-application meeting. Submit a screening form to the Department of Building Inspection (DBI).

Fourth.

Design your project and finalize construction drawings. This is your permit set and expect to pay around 10% of the cost of the project to the professionals helping you. If you need assistance on choosing the team of professionals for your project, the ADU report gives you 30 min of free assessment.

Fifth.

Contact contractors to get cost estimates and time frame for the project. As a rule of thumb, you should budget at least $150,000 for an ADU project. Here is a good article about the costs you'd have to take into consideration when putting together the budget.

Sixth.

Get information about financing. If you'd like to see how long it'll take to make a profit by renting your ADU, here is a calculator.

Seventh.

The Planning Department and other city agencies review. If expansion is proposed this process will include Neighborhood Notification. We advise to hire a professional to put together the set of drawings for permits, unless you've already done so on step Four.

Eight.

Building permit is issued, all fees paid.

Ninth.

Hire your General Contractor or multiple contractors for each task. Best, if you never went through a construction project before and don't have a lot of time to dedicate during the day, it is to hire a General Contractor. This company will sub-contract contractors for every job for your project and oversee the construction process. Start construction!

Tenth.

Once the construction is completed, schedule the final inspection with the city inspector. If not objections are made during the inspection, you should get the Certificate of occupancy. Now you have the ADU ready for your family or your new tenant to move in!

We'll stay in touch!

Felicia Nitu,
— CEO and Co-founder, CityStructure
Felicia Nitu - Founder and CEO of CityStructure

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