Accessory Dwelling Units

   In September of 2015, Mayor Kirk Caldwell signed the Accessory Dwelling Unit (ADU) bill into law in an effort to address the critical housing shortage.

    An ADU may be built on a lot of no less than 3,500 sq. ft. For lots of 3,500 to 4,999 sq. ft. the dwelling may be no larger than 400 sq. ft. (approximately the size of a one-bedroom unit at Makaha Surfside). If the lot is 5,000 sq. ft. or larger, the ADU may be up to 800 sq. ft. (equivalent of a two-bedroom at Makaha Valley Plantation).

   The dwelling must be used for long-term rentals only. A long-term rental is defined as a minimum of six months. The property owner or their representative must reside on the property in either the original home or the ADU. At the time the Mayor enacted this City ordinance, he anticipated that it would create 5,000 new rentals. As of March 2017, approximately 1,200 homeowners have submitted applications, only 150 have been permitted, and there is no data on how many have actually been completed.

   Applications have been denied for various reasons, including inadequate parking and narrow streets in older neighborhoods, but most have been because of inadequate sewer capacity. In addition, most neighborhoods with associations have covenants that prevent adding an ADU to those properties.

   In an effort to encourage more applications, the City instituted a temporary waiver of some of the permitting fees, a cost savings of up to $10,000. Permit applications are required to be reviewed within 60 days or they are automatically approved.

   Several companies offer ADU “kits” starting in the $20,000 price range and can provide assistance with financing. Building an ADU can provide rental income for homeowners, increase the property’s value, assist young families in getting started, or help our aging to stay at home.