What's Behind the Influx of Accessory Dwelling Units?

From left, Ben Metcalf, California Department of Housing; Karen Chapple, UC Berkeley; Veritas’ Au; Timothy Hsu with CalHFA  and Berg attend a recent ULI event.

SAN FRANCISCO—A report sponsored by the Urban Land Institute and conducted by UC Berkeley and University of Texas researchers cited significant success from the creation of thousands of new Accessory Dwelling Units in Seattle, Portland and Vancouver. But the study also found major impediments in the lack of financing options and regulatory hurdles that are holding back ADU housing there, in the Bay Area where several cities have enacted ADU ordinances and in other parts of the country, GlobeSt.com learns.

ADUs are typically “granny flats,” or garage apartments and free-standing second units built by single-family home owners. In San Francisco, recent legislation is also sparking ADU development in apartment buildings by converting under-utilized laundry space, parking and storage areas.