ADU News
June 23, 2025

San Diego City Council Approves Sweeping Reforms to Accessory Dwelling Unit Program

Argi Avetisyan
Argi Avetisyan
Gather ADU expert
San Diego City Council Approves Sweeping Reforms to Accessory Dwelling Unit Program
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June 22, 2025 – San Diego, CA – In a pivotal move to address the city’s housing crisis while responding to community concerns, the San Diego City Council voted 5-4 on June 16, 2025, to adopt a comprehensive package of 25 reforms to the city’s Accessory Dwelling Unit (ADU) and Junior Accessory Dwelling Unit (JADU) regulations. These changes aim to balance the need for affordable housing with considerations for neighborhood scale, infrastructure, and public safety, following months of heated debate and extensive public input. The reforms, which include updates to comply with state laws and modifications to the ADU Home Density Bonus Program, mark a significant shift in how San Diego approaches backyard housing development.

Background: The Rise of ADUs in San Diego

Accessory Dwelling Units, often referred to as “granny flats” or “backyard cottages,” are secondary housing units built on the same lot as a primary single-family residence. Junior Accessory Dwelling Units are smaller units, capped at 500 square feet, created within existing homes in single-family zones. Since 2017, San Diego has aligned its ADU policies with evolving California state laws designed to address the state’s housing shortage and homelessness crisis. The city’s ADU Bonus Program, introduced in 2020, went beyond state requirements by incentivizing developers to build additional ADUs in exchange for including income-restricted units, significantly boosting housing production. In 2023 alone, ADUs accounted for 20% of all homes permitted in San Diego, underscoring their role in tackling rising housing costs.

However, the program’s success came with unintended consequences. In some neighborhoods, developers exploited loopholes, constructing large-scale projects—sometimes dozens of units on single-family lots—that strained local infrastructure, parking, and fire safety resources. Residents in areas like Encanto, Clairemont, and Golden Hill voiced concerns about traffic congestion, reduced privacy, and developments that clashed with the character of their communities. One Encanto resident, Erik Becerra, highlighted a proposed 43-unit ADU project near his home, arguing that the neighborhood’s infrastructure was ill-equipped for such density.

The Reform Process: Community Input and Council Deliberations

The push for reform began in earnest in March 2025, when Mayor Todd Gloria proposed changes to the ADU Bonus Program to address these community concerns while preserving its affordable housing goals. The process was marked by extensive public engagement, including public hearings held by the Planning Commission on May 1 and the Land Use and Housing Committee on May 15. Over 200 residents attended the City Council meeting on June 16, with many carrying signs reading “No Bonus ADUs” and “Stop the corporate takeover of San Diego’s neighborhoods.”

City Planning Director Heidi Vonblum emphasized the collaborative nature of the reforms, stating, “These reforms are the result of thoughtful input from community members and the City Council to evaluate the ADU program and make meaningful changes.” The council’s 5-4 vote reflected a divide, with supporters like Councilmembers Joe LaCava, Raul Campillo, Marni von Wilpert, Henry Foster, and Jennifer Campbell favoring the reforms, while opponents, including Kent Lee and Sean Elo-Rivera, advocated for less restrictive caps or none at all.

A notable point of contention was the cap on ADU units. Councilmember von Wilpert’s proposal for a strict limit of four units per lot was rejected due to concerns about compliance with state law, leading to a compromise cap of six units, depending on lot size, and a two-story height limit. This decision was a partial victory for residents like Dave Nicolai, who lamented the impact of a seven-unit ADU next to his College Area home, but a loss for developers seeking greater flexibility.

Key Reforms: Balancing Housing and Community Needs

The adopted reforms address a wide range of issues, from unit caps to fire safety and infrastructure funding. Here are the highlights:

1. Unit Limits and Development Scale

  • Single-Dwelling Lots: The reforms clarify that single-family lots can host one JADU, one converted ADU, and one detached ADU, capping the total at six units based on lot size. This aims to prevent “outlier” projects like the 43-unit development in Encanto.
  • ADU Bonus Program Restrictions: The program is now prohibited in the city’s lowest-density zones (e.g., RS-1-1 to RS-1-11), except in high-resource areas outside open spaces and parks. Maximum unit counts are tied to lot size, and floor area ratios further limit development scale.

2. Fire Safety and Evacuation

  • Projects in High or Very High Fire Hazard Severity Zones must be located on improved public streets with at least two evacuation routes and maintain a five-foot setback for defensible space. Fire code requirements, including sprinklers, now apply to ADU Bonus Program developments, aligning them with multifamily building standards.

3. Infrastructure and Parking

  • Developers must now pay infrastructure fees to support community needs like libraries and fire stations, addressing concerns about strained public services. Parking requirements have been reinstated for ADUs not near public transit, responding to complaints about street congestion.

4. Affordable Housing and Ownership

  • The reforms implement Assembly Bill 1033, allowing ADUs to be converted into condominiums and sold separately from the primary residence, potentially increasing homeownership opportunities. Fines for violating affordable rent restrictions have also been increased to ensure compliance.

5. Size and Setbacks

  • Detached ADUs remain capped at 1,200 square feet, while converted ADUs have no maximum size limit, per state law. Setbacks align with fire code regulations for brush management, enhancing safety.

Community Reactions: A Mixed Response

The reforms have elicited varied responses. Homeowners like Paul Scott, who called large ADU projects a “misuse of authority,” welcomed the changes, arguing they protect neighborhood integrity. Lynne Miller echoed this sentiment, stating, “Too much building, too fast benefits out-of-town builders and ignores local concerns.” However, renters and developers expressed disappointment, citing the need for more housing options. Daniel Horton, chief of staff for Councilmember Henry Foster, had previously criticized some ADU projects as resembling “slave quarters,” highlighting tensions over development quality.

The California Housing and Community Development Department (HCD) also raised concerns, warning that some proposed reforms, such as parking requirements, might violate state housing laws. In response, city planners adjusted their recommendations to avoid losing San Diego’s “prohousing” designation, which could impact state funding.

Implications for San Diego’s Housing Future

San Diego’s ADU reforms reflect a broader challenge facing California: how to increase housing supply while respecting community character and infrastructure limits. The city’s proactive approach—streamlining permits through the Development Services Department and waiving ADU impact fees—has made it a leader in housing innovation. However, the rollback of the Bonus Program signals a shift away from the “YIMBY” (Yes In My Backyard) policies that dominated recent years, prompted by resident backlash and practical concerns.

While the reforms aim to curb overdevelopment, critics worry they may slow housing production at a time when affordability remains elusive. Colin Parent, CEO of Circulate San Diego, previously praised the city’s ADU program as a model for other cities, but the new caps and fees could deter smaller-scale builders. Conversely, residents hope the changes will restore balance, ensuring new homes “fit with existing communities,” as Vonblum noted.

GatherADU’s Call to Action

At GatherADU, we’re committed to helping San Diego homeowners navigate the evolving ADU landscape with confidence. Whether you’re planning to build an ADU, convert one into a condo, or ensure compliance with the new fire safety and infrastructure regulations, our expert team is here to guide you. Schedule a free consultation today at app.gatheradu.com/meeting or call us at (323) 591-3717 to discuss your ADU project and how these reforms impact your plans. Let’s work together to create affordable, safe, and sustainable housing solutions that enhance San Diego’s vibrant communities.

Sources: City of San Diego, Inside San Diego, San Diego Union-Tribune, NBC 7 San Diego, KPBS, Axios, CalMatters, Terner Center

Photo Copyright: https://www.insidesandiego.org/

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