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Why Now Is the Perfect Time to Add an ADU to Your Rebuild

  Palisades Regroup  ·  2 minute read

1. ADUs Don’t Count Toward the 110% Rebuild Threshold

A significant concern for many homeowners is how much square footage they can restore when rebuilding. Under the current rules, you can rebuild up to 110% of your original home’s size without triggering additional reviews. But here’s the bonus: any ADU you add during this process typically does not count toward that 110% total. That means you can gain extra living space—perfect for a home office, guest suite, or rental income opportunity—without affecting the main rebuild limit.

2. A Streamlined Approval Process

Adding an ADU under normal circumstances often involves separate permits, plans, and an approval process that can be both complicated and time-consuming. If you include an ADU as part of your overall Palisades Fire rebuild project, however, it’s usually exempt from the standard ADU-only red tape. This means:

  • Fewer Permits to File: You can typically incorporate ADU plans into your primary rebuild permit application.
  • Less Delays: Avoid the extra layers of review that come with a standalone ADU project.
  • Cost Efficiency: Bundling your ADU into the broader rebuild could reduce duplicate fees and administrative expenses.

3. Transformative Benefits of an ADU

Whether you need space for extended family, are looking for rental income, or want a flexible area that can adapt to future needs, an ADU offers a host of advantages:

  • Multi-Generational Living: Keep family members close while giving everyone privacy.
  • Rental Income: Short- or long-term renting can help offset your mortgage or rebuild costs.
  • Guest Accommodations: Perfect for visiting friends, adult children returning home, or a dedicated office/studio.

4. How to Get Started

If the idea of integrating an ADU into your rebuild sounds appealing, here are a few quick steps:

  1. Check Local Guidelines: While ADUs are exempt from the 110% limit in many post-disaster rebuild scenarios, confirm your jurisdiction’s specific rules.
  2. Collaborate Early: Discuss your ADU plans with your architect and contractor at the outset. This helps avoid costly design changes down the road.
  3. Plan for Utilities: Even with a streamlined process, ADUs may require separate utility hookups or additional considerations for parking and access.
  4. Secure Financing: Talk to your insurance provider and lender about including ADU construction costs in your overall rebuild budget.

5. Rebuild Smarter, Not Harder

Rebuilding after the Palisades Fire is a significant undertaking. While the devastation is real, it also provides a chance to reimagine your property in a way that better suits your lifestyle and future goals. Adding an ADU now—when it won’t count toward your 110% limit and will likely bypass the standard approval challenges—can be a true game-changer for your home’s long-term usability and value.