Is building an ADU a good investment in Los Angeles County?

Certainly! ADUs in Los Angeles County provide an excellent opportunity for additional rental income, especially given that owner occupancy is not obligatory, except for JADUs. With construction costs varying from $250 to $400 per square foot, and factoring in additional development fees, the current average market value for a square foot of living space in Los Angeles City is approximately $647. This renders ADUs a compelling and profitable investment.

Los Angeles County Accessory Dwelling Unit Requirements.

ADU permits are rapidly increasing in Los Angeles County. Here is a breakdown of ADU requirements in Los Angeles for 2023.

General ADU requirements

Detached, attached, and conversion ADU types, along with JADU’s are all allowed in Los Angeles County. Both, single and two-story ADU’s are permitted.

For independent living your ADU must be equipped with: Exterior access separate from primary residence, Living, Sleeping, Dining, Cooking, and Bathing.

The kitchen must have at minimum the following: A sink, a refrigerator, a cooktop or range and cabinetry.

JADU can share a bathroom with the primary residence. However, JADU’s must have their own separate entrance.

Zoning

All zones single-family and multi-family most probably are eligible for ADU’s. ADU’s are not allowed in properties located in a Very High Fire Hazard Severity Zone without two means of access to a highway.

Number of Units

  • One ADU + One JADU in lots zoned single-family
  • For lots zoned multi-family 1 ADU or 25% of number of units whichever is greater.
  • For lots zoned multi-family, up to two detached ADU’s.

Building Size

  • JADU, maximum 500 SF
  • 150 SF Minimum for ADU’s and JADU’s.
  • Detached ADU’s maximum 1,200 SF
  • Attached ADU, Maximum 50% of primary residence or 1,200 SF, whichever is less.

Building Height

  • 25 feet general limit for attached and detached ADU’s
  • 18 feet for properties within 200 feet from a Scenic Highway.
  • 16 feet for single-story multi-family residence.
  • 18 feet for multi-story multi-family residence.

Setbacks

Minimum setbacks:

  • 4 feet side and rear yard setbacks
  • 6 feet separation from existing structure.

Parking

Unless the property is exempt, one parking space is required for an ADU. Your ADU is exempt from parking in the following situations:

  • Your property is situated on a street where a parking permit is mandatory.
  • You property is within 1/2 mile of public transportation.
  • Your property is less than a block away from a care share area.
  • Your property is situated in an area of architectural or historical significance.
  • On-street parking permits are required and not offered to the ADU tenants.
  • The ADU is part of the proposed or existing primary residence or an accessory structure. (No proposed addition)
  • There is no proposed bedroom in the ADU (studio ADU)
  • ADU is detached in an single-family zone with floor area under 800 SF
  • ADU is detached in a multi-family zone with height up to 16 feet.

Fees

The exact number of fees depends on the zoning of your lot and the overall scope of your ADU project. This is a list of some of the typical fees you can expect to pay.

  • Plan Check fees
  • City Impact Fees
  • School Impact Fees
  • Building Code and Green Code Fees
  • Permit Fees
  • Utility Connection fees

Sprinkler System

When the combined floor area of an ADU + attached garage exceeds 1,200 SF, an automatic sprinkler system is required. If ADU is attached, a 1-HR fire separation rated wall is required.

Basements

You can convert an existing unfinished basement space to an attached ADU.

Owner Occupancy

Owner occupancy is not a requirement for permitting an ADU. Owners are required to live on the property only if a JADU has been constructed on it. This is a state law requirement.

Taxes

Building an ADU does not trigger a reassessment of the value of the primary residence. However property taxes are based on property values and an ADU does increase the value of the property.

Rental Limitations

Short-term rentals under 30 days are not allowed Los Angeles County.

< All ADU Regulations