NEWPORT BEACH, Calif. — Newport Beach voted last week to temporarily waive fees for accessory dwelling units, the miniature homes often stationed behind their larger siblings. 

These ADUs, also called “granny flats,” have become more popular as the housing market continues to spike and new construction has failed to keep pace with demand.

State law has also encouraged more ADU construction and even JADUs (junior accessory dwelling units). Local municipalities have been mandated to relax requirements for these add-ons as a way to increase available housing. 


What You Need To Know

  • Newport Beach voted to waive permit costs for ADUs through 2022

  • These smaller dwellings, along with JADUs, are key to the city's plans to increase new housing by almost 5,000 units over the next eight years

  • It will also help the city achieve its affordable housing goals

  • Illegally built units will have the opportunity to be permitted for free

The result has been a boom in new construction, not all of it blessed by the city.

Some people use these extra homes to move in elderly family members or rent out short-term or long-term.

Newport Beach has chosen to forgive illegal construction of new units by offering to waive permitting fees which range from $1,000 to $5,000.

The ruling by the city council includes anything from an independent structure to a converted garage. 

“We really want to encourage property owners with existing, illegal ADUs to reach out and work with our staff to obtain the necessary permits to bring the units into compliance,” said Mayor Brad Avery in a news release. "We also expect that property owners who are considering ADU construction or conversion will use this opportunity to save money on city permitting costs.”

In recent years, state legislation has dramatically increased the allowable size of ADUs and the ease with which they can be built. Old regulation used to allow an ADU with a residentially zoned single-unit home. Now the same property can be permitted for an ADU and a JADU. Plus, ADUs used to max out at 750 square feet. New laws allow them to range from 850 to 1,000 square feet.

These laws have sometimes overridden local preferences and often local homeowners association rules.

But this new ruling will help the city meet several key goals. Newport Beach is required to offer 4,845 new housing units over the next eight years and will need to increase its available low-income housing.

All permits will be waived through 2022.