It’s a given that real estate investors are, well, driven to make money. It’s also a given that adding multi-family units through the accessory dwelling units (ADUs) zoning process represents substantial opportunities for property owners to increase revenue. And, it’s a given that California has made it much easier to add ADUs on properties using more relaxed zoning laws and the “ADU zoning process.”
It’s no wonder that so many opportunistic investors are interested in how to build more units. . So, how do you build more units through the ADU process?
The Short Answer: Hire a Bay Area Multi-family ADU Specialist.
If you’re like many investors, you may be unfamiliar with the nuances of the ADU zoning process. Here’s a quick explanation. California realizes the value of ADUs in helping to address the state’s lack of affordable housing. That’s why California has made it so much easier to build ADUs.
What this means for savvy investors is that ADUs represent lucrative ways in which to add to their rental income by taking advantage of the more streamlined zoning process involved in building ADUs. In comparison to other types of real estate investments, ADUs can be an incredibly attractive alternative.
“Multi-family property owners are leaving money on the table by not maximizing the number of rentable units. Adding an ADU is the fastest legal way a property owner can increase revenue. We assess, plan, design and build legal ADUs that maximize the return on your investment,” explained Steve Edrington, President and founder of Oakland-based Adapt Dwellings.
The First Step in How to Build an ADU Is Determining What’s Feasible (and What’s Not).
The ultimate success of any ADU project is dependent upon first conducting a comprehensive feasibility study. This is another reason you really should partner with professionals who understand ADUs inside and out, as ADUs are a highly specialized type of construction (or conversion). Experts in ADUs are by far the best resources to shepherd you step-by-step through an initial study that results in the creation of a realistic plan for your particular property and budget.
Knowing what’s feasible up front prepares you to take full advantage of the under-utlized or un-utilized space you have on your multi-family property and turn it into habitable space in the form of ADUs. The best part? The additional space turns into additional cash flow. What’s more, you can take advantage of a 10-year deferment of rent control and in many cities, such as Oakland, a 10-year exemption from the Just Cause for Eviction law on these units.
At Adapt Dwellings, we begin with a feasibility study conducted by an in-house, experienced building inspector and former electrician, Phillip Barthman who has an intimate understanding of how local planning and building departments will be looking at ADU plans. This key advantage means your plans will be realistic, accurately scoped, approved, compliant, all within budget.
How to Build an ADU Within Budget
Our feasibility study includes a detailed financial analysis. Because we are investors too, we understand that you want to know what to expect in terms of your ADU projects’ ability to generate revenue and provide cash flow that protects your real estate portfolio now, as well as in the future.
We place such importance on the initial feasibility study not only because it’s the right way to approach an ADU project. It’s also how to build an ADU responsibly and to ensure the success of your ADU project.
How to Build an ADU Designed for Increasing Property Value (and Curb Appeal).
An Adapt Feasibility Study also sets up our architectural team to successfully make your vision come to life. Armed with precise details of your particular project, including zoning and building code requirements for a legally recognized ADU, our architects get to work.
Integrating your feedback on the overall concept, design aesthetics, and other details that are important to you is equally as important to us. We see each project as a collaboration. Once we have alignment between all key stakeholders involved in the project, it usually takes a week to complete concept drawings, after which they are presented to you.
When a full concept design has been agreed upon, a more fine-tuned estimate of costs is developed. Next comes a more detailed and technical set of plans covering all of the necessary components needed to prepare and submit an application for your ADU project to the local jurisdiction for city approval.
When you partner with an ADU specialist like Adapt Dwellings, we take what can be another potentially stressful and frustrating experience – communications with local planning departments – off of your plate. Our depth of experience and the relationships we’ve established with local planners over the years provides the security you deserve in knowing that your project will move forward to completion.
How to Build an ADU From Concept to Keys
At Adapt Dwellings, we offer the advantage of being able to design and build your ADU. Adapt Dwellings, Incorporated, holds a Class B General Contractor’s License (CSLB #1098831). That means we can be your full-service, end-to-end ADU resource, which is a huge benefit that adds value in numerous ways.
Being a design-build firm offers our clients more assurance that the project will be done right because we are intricately involved in it every step of the way. It also leads to faster decision-making – and simply more efficiency overall.
When you work with the full-service team of professionals at Adapt Dwellings, you can have confidence that your multi-family ADU project will be evaluated, designed, permitted, built and delivered just as you envisioned. You can also have confidence that it will be done in a way that maximizes your overall return on investment and strengthens your investment portfolio.
