SB-9 vs traditional ADU - which is better in Irvine?

Hello!

Your question touches on an important decision that many homeowners in Irvine are currently facing. Both SB-9 and traditional ADU (Accessory Dwelling Unit) approaches offer unique benefits and challenges, especially when it comes to maximizing your property's potential. Let’s break down each option in detail to help you make an informed decision.

### Understanding SB-9 and Traditional ADUs

**SB-9 Overview:**
SB-9, enacted in 2021, allows homeowners to split a single-family lot into two separate parcels and build up to two residential units on each lot. This potentially means a total of four units on your original parcel if conditions are met. Here’s how it plays out:

1. **Lot Split**: You can divide your 7,000 sq. ft. lot into two parcels, each at least 1,200 sq. ft.
2. **Development**: On each parcel, you can construct up to two units.

**Traditional ADU Overview:**
An ADU is a secondary housing unit on a single-family or multi-family residential lot. In California, state law allows for:
- **Detached ADU**: Typically up to 1,200 sq. ft.
- **Attached ADU**: Up to 50% of the main home’s square footage, maxing out at 1,200 sq. ft.
- **Junior ADU (JADU)**: A unit up to 500 sq. ft. within the existing house.

### Pros and Cons

**SB-9 Pros:**
- **Increased Density**: Allows for more units, potentially leading to higher rental income.
- **Flexibility**: You can sell one of the parcels, providing immediate financial return.
- **Investment Potential**: Long-term value may increase as density and housing demands grow.

**SB-9 Cons:**
- **Complexity and Cost**: Lot splits require surveys, potential legal fees, and municipal approvals, which can be costly and time-consuming.
- **Local Restrictions**: Irvine may have specific constraints on SB-9 developments, such as design and environmental considerations. Always check with the Irvine Planning Division.
- **Property Taxes**: New parcels may be reassessed, potentially increasing property taxes significantly.

**ADU Pros:**
- **Streamlined Process**: Generally simpler and quicker than a lot split, with fewer bureaucratic hurdles.
- **Cost-Effective**: Building an ADU is often cheaper than developing multiple units, typically ranging from $150,000 to $250,000 in Irvine.
- **Immediate Income**: ADUs can be rented out once completed, providing steady income.

**ADU Cons:**
- **Size Limitations**: Rental income may be limited by the smaller size compared to multiple units.
- **Single Ownership**: You cannot sell the ADU separately from the main property.

### Cost and Timeline Estimates

For **SB-9 Projects**:
- **Lot Split Costs**: Expect to spend $10,000 - $20,000 for surveys, legal, and application fees.
- **Construction Costs**: Building each unit can range from $200,000 to $400,000 depending on size and finishes.
- **Timeline**: Lot split and initial approvals might take 6-12 months. Construction could add another 12-18 months.

For **ADUs**:
- **Construction Costs**: Typically $150,000 - $250,000, depending on size and features.
- **Timeline**: From design to completion, expect around 12-18 months.

### Local Considerations in Irvine

- **Zoning and Design**: Check Irvine's specific zoning code and design guidelines, which can affect both ADU and SB-9 projects. The Irvine Planning Division is an excellent resource.
- **HOA Rules**: If your property is within an HOA, verify any additional restrictions they may enforce.
- **Parking Requirements**: Both ADU and SB-9 projects may need to address parking, though recent state laws have relaxed some requirements.

### Practical Advice

1. **Consult a Professional**: Engage with a local architect or ADU consultant familiar with Irvine’s rules to navigate the technicalities.
2. **Check Local Laws**: Stay updated on Irvine's local ordinances as they adapt to state laws.
3. **Budget Wisely**: Factor in contingencies in your budget for unexpected costs.

### Next Steps

1. **Research Local Ordinances**: Contact the Irvine Planning Division to get the latest requirements.
2. **Feasibility Study**: Conduct a feasibility study with a professional to determine the best use of your lot.
3. **Engage with Neighbors**: Since neighborhood character is important, consider discussing your plans with neighbors to gauge their support or concerns.

Ultimately, your choice between SB-9 and a traditional ADU in Irvine should align with your financial goals, timeline, and capacity to manage a potentially complex project. I hope this detailed breakdown helps you move forward with confidence!

Best of luck with your project,

[Your Name]
ADU Consultant