Interview with Olesia Chikunova: Everything you need to know about ADUs
The other day I met with Olesia Chikunova, founder of Homepie Renovation Concierge. Her company helps busy homeowners manage complicated renovation and new construction projects, including ADUs. The housing shortage is making these types of units increasingly popular in the Bay Area with county restrictions loosening to meet the demand. I get questions on ADUs all the time so it seemed like a fitting first topic for my new Q&A series on the blog.
Source: Florian Schmidinger on Unsplash
Lana:
Thanks for taking the time to meet with me today, Olesia. I know you’re an expert on all things ADU but let’s start with the basics. What is an ADU?
Olesia:
ADU stands for accessory dwelling unit. It’s really any secondary unit. You may also hear terms like backyard cottage or granny unit, or even in-law unit. There are different types of units that are legal, and different rules apply to detached versus attached. Attached units are either converted, carved or bumped out. Converted units may start from a garage or basement. Carved units take part of an existing building and dedicate it to an additional unit. And bumped out units are basically an addition to the home.
Image: Detached ADU
Lana:
Let’s assume I want one of these structures. Where do I start? How do I even find out if i can build an ADU on my property?
Olesia:
People usually skip the most obvious step, and that’s why I usually start with a very basic question: what exactly do you want to achieve? I call it the wish list. Because until you figure out what you want, nobody will be able to help you.
I mean, yes, if you come to a contractor and tell them I want an additional building, of course they will build it for you. But there are so many different ways to build and achieve your purpose. So when we work with homeowners, we like to start at the beginning. What is it that you want? Is it an office space? Is it one bedroom or two? Only then we can start looking at the site, main house and backyard to figure out what is the next step: site survey or looking at floor plans. You will have to figure out how much of the backyard you are prepared to dedicate to the new unit.
Lana:
And what is the minimum size lot you can build an ADU on? It seems like it can be hard to figure out because each city has a different rule.
Olesia:
Soon it might be easier to figure out because there was State legislation passed last November that allows every single residential house to have two additional units. Two - a regular ADU and a Junior ADU. The new bills eliminated owner occupancy requirements - so you can build an ADU even if you are renting out the main house. The residential impact fees for under 750 square feet were eliminated as well - there are still costs for the permit of course. The new regulation also limits setback requirements to 4-feet - that is if you can get it approved by the Fire department.
Legislation like this is meant to boost ADUs. We’ve seen examples of it in places like Los Angeles, where only 117 ADUs were permitted in 2016, then legislation passed and there were 4,513 in 2019. That’s 38x growth in 3 years.
Lana:
So does this new legislation make minimum size pretty clear to homeowners?
Olesia:
Not totally. It can still be complicated because remember there are two ADUs. One is attached and one is detached with certain requirements for each. But one thing about this new bill is the town can’t say no if the unit is smaller than 750 square feet. If it's physically possible to put it on the lot, they must allow it. Another caveat, of course, is that the State just passed this legislation. The towns are still figuring out how to implement it locally.
And it does matter where you live. Even towns in the same county can differ drastically—San Mateo loves ADUs and Redwood City hasn’t figured it out yet. But you can certainly start at the county level to get more information:
Lana:
It seems like it’s really easy in San Francisco.
Olesia:
Yes, San Francisco has a task force working on it and they’re making the process very transparent. San Jose is also completely on board with ADUs, and as mentioned it’s supported in San Mateo, too.
Lana:
Let’s talk about average cost. I know it will vary by type of unit but let’s use a detached one-bedroom, one-bathroom with kitchen as the example.
Olesia:
What you just mentioned could be 250 square feet, or it could be 600 square feet. Which is why I say it’s so important to know what you want.
Lana:
Give me average cost for both so we get an idea of what different detached one-bedrooms could come to.
Olesia:
The smaller one might cost you $150,000 but the larger 600 square feet might cost you about $250,000, even though it is almost three times bigger. It’s not really about square footage. It's about the labor and materials, engineering costs, foundation, administrative costs, permits and all the utilities that you need to put in. Whether it's 250 or 600 square feet, it's still new construction, and it’s all small square footage. Some builders even say that there's almost no difference between 600 and 800 square feet and recommend to max out, though that might force you to upgrade a couple of things for the main house.
Lana:
That brings to mind another question. Prefab houses are extremely popular, and a lot of people, especially the younger generation, don't want to build anything. They just want to order it online and put it on their land. So what should they know about going this route?
Olesia:
There is a lot of hype out there. It starts from a shed goes to a manufactured home to modular to prefab, and then finally custom. And if you’re asking which type is best, that’s actually the type of information we provide when we work with people. Because we are looking at the family needs and then at the site and the survey, and that’s really one of the first steps to take when you're thinking about building an ADU. What’s best depends on the property: Will we physically be able to bring a pre-built unit in? Will we be able to put it on the site? Because sometimes things like utility lines and existing structures are going to limit access.
Lana:
I remember your ADU seminar last spring, which is how we met. There was a family there who were adding a backyard cottage, and they said they needed a crane to put the building in. That really stuck out in my mind.
Olesia:
It's not even just a crane—apart from the crane, you'll need to stop road traffic. And that's why with smaller lots it is sometimes easier and more cost effective to actually build custom.
Lana:
I get questions about prefab houses almost daily. Because people want to know why they can’t just buy the land, order the home and just put it down. Homeowners get excited about this possibility but the reality is, it’s just very complicated.
Olesia:
Well, it doesn’t have to be complicated, if you know where to look for the information. If you know what you are looking for size wise. And if you know the difference between prefab, modular and manufactured construction. But again, if you are thinking about something that is say, 12 feet wide, and the gate to the backyard of your property is six feet wide. I mean you can figure out, it's a no go. And it is still new construction, so whether prefab or not, it needs foundation and utilities.
Lana:
So I guess my next question is, what type of construction would you recommend?
Olesia:
From the construction point of view, let us go back to the site. Does it have a slope? If it's a level kind of land, then obviously it's much easier to build. If it's a slope, then we'll have to look at more complicated construction solutions. And complicated means more expensive. Personally, I love pre-fabs - they are a very eco-conscious option, I have built three by now for my family. For speed and cost efficiency - look at modular or manufactured.
Lana:
So how high will you be allowed to build?
Olesia:
That will depend mainly on your town regulations, but also on your neighbors, your main house and your neighborhood.
Lana:
And detached ADUs can only be one story?
Olesia:
Yes, the law says one story. But there is always some nuance that will depend on your city. In Redwood City, I believe you're only allowed a 14 feet high unit. Definitely a one story. In Cupertino, it can go up to 20 feet, so you may have a loft. Still a one story—but with a better space utilization. Thanks for inviting me today, if someone wants a little bit more detail, I have a page on my website https://www.homepie.co where I try to add anything I learn on the subject.