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The North Bay Business Journal on ADU Trends

Check out this article by Jeff Quakenbush from The North Bay Business Journal on the 2020 ADU trends, quoting our very own ADU Expert Scott Johnson! The article text is also available below.


Cutting red tape for more ‘granny units’

Accessory dwelling units, commonly called “granny units,” are enjoying a surge in popularity in California as state and local governments have cut red tape and fees to encourage homeowners to get them built, according to conference speaker Scott Johnson.

“ADUs were prohibitive because the regulations and fees were too high,” he said. Johnson is an adviser with the Napa Sonoma ADU Center and owner of tiny-dwelling consultancy Pocket Housing.

The first wave of ADU permit streamlining legislation came out of Sacramento in 2017, and the second round came last year. From just the first round, the number of ADU construction permits that were pulled in Napa and Sonoma counties from 2015 through 2019 jumped 252%, from 85 permits to 299, Johnson noted, citing California Department of Housing & Community Development data.

“It’s largely a result of the rule changes, but also because there’s huge demand for housing, in particular small housing,” Johnson said. “One- and two-bedroom units are really in demand.”

In Santa Rosa alone since 2015, 414 permit applications have been submitted for ADUs, including conversions of garages spaces, according to city data as of May 12. That total includes 93 permits for ADUs in the city areas burned by the 2017 fires, when 26 existing ADUs were destroyed along with over 3,000 single- and multifamily units.

And rising housing rents, new California laws and emerging ADU financing tools are expected to further heighten demand for ADUs, Johnson said.

“The complexity of rules makes it hard for homeowners to go to a designer and build one,” Johnson said. He noted jurisdictional nuances such as a ban on ADUs for certain parcels in Sonoma County’s Z combining district in agricultural areas and generally in Napa County’s agricultural preserve areas.

That’s where the Napa Sonoma ADU Center seeks to help. It was created last year with funding from Napa Valley Community Foundation and Community Foundation of Sonoma County. The goal is to give homeowners a clearer idea up front of the costs and the building process, including design, financing, permitting, construction and rental. The organization also is working with the 16 jurisdictions in the two counties to make their public-facing permitting agency counters and websites more helpful.

Accessory dwelling units, commonly called “granny units,” are enjoying a surge in popularity in California as state and local governments have cut red tape and fees to encourage homeowners to get them built, according to conference speaker Scott Johnson.

“ADUs were prohibitive because the regulations and fees were too high,” he said. Johnson is an adviser with the Napa Sonoma ADU Center and owner of tiny-dwelling consultancy Pocket Housing.

The first wave of ADU permit streamlining legislation came out of Sacramento in 2017, and the second round came last year. From just the first round, the number of ADU construction permits that were pulled in Napa and Sonoma counties from 2015 through 2019 jumped 252%, from 85 permits to 299, Johnson noted, citing California Department of Housing & Community Development data.

“It’s largely a result of the rule changes, but also because there’s huge demand for housing, in particular small housing,” Johnson said. “One- and two-bedroom units are really in demand.”

In Santa Rosa alone since 2015, 414 permit applications have been submitted for ADUs, including conversions of garage spaces, according to city data as of May 12. That total includes 93 permits for ADUs in the city areas burned by the 2017 fires, when 26 existing ADUs were destroyed along with over 3,000 single- and multifamily units.

And rising housing rents, new California laws and emerging ADU financing tools are expected to further heighten demand for ADUs, Johnson said.

“The complexity of rules makes it hard for homeowners to go to a designer and build one,” Johnson said. He noted jurisdictional nuances such as a ban on ADUs for certain parcels in Sonoma County’s Z combining district in agricultural areas and generally in Napa County’s agricultural preserve areas.

That’s where the Napa Sonoma ADU Center seeks to help. It was created last year with funding from Napa Valley Community Foundation and Community Foundation of Sonoma County. The goal is to give homeowners a clearer idea up front of the costs and the building process, including design, financing, permitting, construction and rental. The organization also is working with the 16 jurisdictions in the two counties to make their public-facing permitting agency counters and websites more helpful.

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