Accessory Dwelling Units (ADUs) are becoming increasingly popular on the Peninsula for homeowners looking to expand their living space or generate rental income. However, each city in the Peninsula has its own set of rules and regulations when it comes to building an ADU.
Understanding Peninsula ADU laws, the associated costs, and realistic timelines can save homeowners time, money, and frustration. This complete guide covers everything you need to know about ADUs in San Carlos, Menlo Park, Palo Alto, Redwood City, and Belmont.
What is an ADU and Why You Should Consider One for Your Peninsula Home
An Accessory Dwelling Unit (ADU) is a secondary housing unit built on a property with a primary residential home. ADUs can be detached (like a small cottage), attached (like an in-law suite), or conversions of existing structures (such as garages or basements).
Benefits of adding an ADU include:
Generating rental income
Providing multi-generational housing
Increasing the overall value of your property

Peninsula Cities and Their Unique ADU Regulations
Each city on the Peninsula has unique rules for building an ADU. Here’s a quick look:
San Carlos
Setback: 5 feet from the property line
Max Size: 800 sq ft (detached)
Parking: On-site parking required
Redwood City
Setback: 4 feet
Max Size: 1,000 sq ft
Hillside properties must comply with additional regulations
Belmont
ADUs allowed in residential and mixed-use districts
Historic homes may face additional design review
Parking exemptions in certain cases
Palo Alto
Max Size: 850 sq ft (detached)
Strict design review process
No off-street parking required if located near public transit

The Costs of Building an ADU on the Peninsula
Costs vary depending on the size, design, and complexity of the ADU. On average, Peninsula homeowners can expect the following:
Design fees: $5,000–$10,000
Permitting fees: $2,000–$5,000
Construction costs: $250–$400 per square foot
Total cost: $150,000–$350,000 for an average 500–800 sq ft ADU.
ADU Construction Timelines on the Peninsula
A typical ADU project on the Peninsula will follow this timeline:
Planning and Design: 1–2 months
Permitting: 2–6 months, depending on city approval
Construction: 3–6 months
Work with a local ADU builder to ensure that your project stays on track and within the permitted timeframes.

How a Peninsula ADU Builder Can Save You Time & Money
Choosing a local contractor who understands Peninsula-specific ADU laws can significantly streamline the process. From faster permits to pre-existing relationships with local planners, working with a Peninsula-focused builder ensures that your project stays on time and within budget.
Real-World Example: A Recent ADU Project in San Carlos
We recently completed a garage-to-ADU conversion in San Carlos. The project took 5 months from design to final inspection, and the homeowners are now earning rental income.

How to Get Started on Your Peninsula ADU Project
If you’re ready to start your own ADU project on the Peninsula, contact us today for a free consultation. We’ll help you understand zoning requirements, design your ADU, and guide you through the permitting process.
Visit us at Matrix Group One Inc.
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