CLIENT ALERT:
PASSAGE OF CALIFORNIA ASSEMBLY BILL 2299 AND SENATE BILL 1069 VASTLY EXPANDS THE RIGHTS OF HOMEOWNERS AND PROPERTY DEVELOPERS TO BUILD "ACCESSORY DWELLING UNITS" ON RESIDENTIAL LOTS
California Legislature Lets Grandma Live More Like  'The Fonz'


In the late 1970s, the coolest cat on television was Arthur "Fonzie" Fonzarelli.  On the TV show Happy Days, The Fonz (yeah, he was too cool to have just one nickname) wore a black leather jacket, rode a motorcycle, and lived in an apartment above his friend's garage.  California endorses his lifestyle.  California wants you to live like The Fonz and let others do so as well.

With the recent passage of Assembly Bill 2299 and Senate Bill 1069, the California legislature has vastly expanded the rights of homeowners and property developers to build "Accessory Dwelling Units" on residential lots.  
You don't have to wear a leather jacket or ride a motorcycle, but garage apartments are the hottest (and "coolest") trend in affordable housing. With the recent passage of Assembly Bill 2299 and Senate Bill 1069, the California legislature has vastly expanded the rights of homeowners and property developers to build "Accessory Dwelling Units" on residential lots. Originally known as "Granny Flats", and more recently as "Second Units", Accessory Dwelling Units are essentially tiny houses or apartments attached or adjacent to existing single-family homes and garages. Until the beginning of this year cities and counties had the right to severely limit, and even prohibit, construction and occupancy of Accessory Dwelling Units. That's no longer the case.

Citing a severe statewide shortage of affordable housing, and declaring that Accessory Dwelling Units are "an essential component of California's housing supply," the legislature has made sweeping changes to the rights of developers and property owners to add Accessory Dwelling Units to their properties - and has summarily invalidated any city or county ordinance which conflicts with the new state laws.  

The Assembly and Senate Bills amend Government Code sections 65582.1, 65583.1, 65589.4, 65852.150, 65852.2, and 66412.2. Among the significant changes expressly or impliedly made by those amendments are:
  • Relaxation of set-back requirements
  • Reduction (and in some cases, elimination) of off-street parking requirements
  • Exemption of Accessory Dwelling Units from density restrictions, such as zoning ordinances which prevent more than a single residential unit to be located on a single lot
  • Relaxation of height restrictions
  • Exemptions from maximum lot-coverage requirements
  • Modification of living-space requirement within an Accessory Dwelling Unit
  • Elimination of maximum occupancy limits
  • Easing of requirements that the principal dwelling or Accessory Dwelling Unit be owner-occupied

Owner's or developer's application for a permit to construct an Accessory Dwelling Unit must now be processed and approved on a ministerial basis.  

One of the most important changes made by these Bills is that an owner's or developer's application for a permit to construct an Accessory Dwelling Unit must now be processed and approved on a ministerial basis.  If the applicant meets the criteria established by the Bills, the city or county has no discretion to deny the application.

One thing that has not been changed by the Bills is the applicability of local building standards.  Accessory Dwelling Units must still be constructed in accordance with local building, plumbing and electrical codes.

So if you're a homeowner and want to add a room, build a backyard hut or convert a garage so that you have a place to house grandma, a local college student, or a cool dude who wears a leather jacket and rides a motorcycle, call your architect without fear that the City Planning Department will tell you no.  If you're a member of that City Planning Department, call the City Attorney's office and order revisions to the local zoning ordinances so that they comply with the new state law.


About Craig D. Hardwick
Craig D. Hardwick is a shareholder of AlvaradoSmith and Chairman of the Firm's Real Estate and Land Use Transactions Department.  Craig specializes in all aspects of transactional real estate law, with an emphasis on real estate acquisition, construction, leasing and financing. 




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