It is expensive to live in Los Angeles and like most cities in America, residents spend a lot of money on housing. In Los Angeles, 30% of residents spend more than half of their income on rent. At the same time, as cities like Los Angeles attract more residents, the cost of living continues to go up and the supply of housing continues to be constrained.
To help combat these challenges, the City has launched the LA ADU Accelerator Program to provide financial incentives to homeowners who build an ADU on their property and rent them to residents in need. This pilot program is also open to homeowners who have an existing ADU on their property and choose to put that ADU into this program. This pilot program is operated by the City of Los Angeles and has been made possible by a grant from Bloomberg Philanthropies and a financial match from the City of Los Angeles.
Interested in applying?
Here are some key things to note:
The application deadline was November 1, 2019. The next phase will be announced shortly.
Grant Amount: $10,000
Eligibility: Homeowners who have a legally permitted ADU with a certificate of occupancy already on their property.
Notice of approval: January 2020
How to pull building permits: Search Online Building Records at LADBS
Questions? E-mail us at firstname.lastname@example.org
View our Homeowner Application Guide for tips on filling out your application and saving time.
Why we believe this program will work:
There are over 500,000 single-family housing units in the City of LA that can accommodate ADUs.
Recent California state legislation has made ADUs legal and easier to build.
ADUs are relatively cheap to build, have no land costs, and help property owners earn additional income.
LA residents passed measures HHH and H to increase funding for homeless services and housing, demonstrating that residents support innovative solutions to solve this problem.
How this program will benefit participants:
Homeowners will be part of the solution to increase the affordable housing stock in the City, help a neighbor in need, and receive benefits such as a steady rental income and increased equity on their homes.
Tenants will have a place to call home, pay rent that is slightly below market value and be able to stabilize their lives.
If you are interested in applying to the program, please consider the requirements closely.
This pilot program will operate for three years and will have three application cycles - one per year. Each year, homeowners can apply for a grant or loan which can be applied to the eligible costs of construction and other important aspects of building and maintaining an ADU. Applicants will go through a rigorous screening process. Once selected, a team comprised of various City departments will support homeowners as they build and rent their ADUs to housing insecure tenants.
The City of Los Angeles is interested in partnering with homeowners who are committed to increasing the affordable housing stock in our City and renting to a neighbor in need. This program will target housing insecure Angelenos who have jobs, stable connections, and non-acute needs but are at risk of becoming displaced or have recently been displaced due to the rising costs of living in Los Angeles.
To be eligible to apply for our program, homeowners must:
Own property that is in the City of Los Angeles and therefore eligible for this City of Los Angeles program. (You can check to make sure your property is within the City limits by visiting ZIMAS).
Have an existing legally permitted ADU on their property (eligible to apply now) or are in the ADU permitting process (eligible to apply in early 2020).
Be willing to house someone in need for an agreed upon period of time (see below for requirements).
Term: Must house a low-income or housing insecure tenant for a minimum of 3 years
Eligible homeowner: Homeowners who have a legally permitted ADU with a certificate of occupancy already on their property.
Program requirements: Participate in regular program calls and check-ins (frequency to be determined); complete annual program reports to verify program compliance.