CALIFORNIA FOCUS
FOR RELEASE: FRIDAY, APRIL 25, 2025, OR THEREAFTER
BY THOMAS D. ELIAS
“BERKELEY INNOVATES WITH
PREVIOUSLY UNPERMITTED HOUSING”
Progress in solving
California’s unquestioned housing shortage can often be measured by the number
of permits issued for new construction or conversions of existing office
towers.
But Berkeley, a college
town that rarely fears trying approaches different from most other cities, now
has a new wrinkle that might add as many as 4,000 new units to its housing
stock: providing ways for owners of unpermitted secondary housing units to get
them certified for the rental or sales market.
Many of these units were
built to house adult children and other family members with a bit of separation
from the property-owning families. Some have previously been rented out, but
owners felt they were “burned” by irresponsible tenants. Many of these units
have not been rented recently, some for many years.
Similar units exist in
varying numbers in most California cities, which may watch Berkeley closely to
see if its planned amnesty for owners will work. Essentially, many of these are
“granny flats” dating to before California began easing construction of ADU’s
(accessory dwelling units) with a series of laws passed starting in 2016.
Since then, about 80,000
permits have been issued for building ADUs behind or beside existing homes.
Many newly-built homes come with ADUs, which owners can rent out to raise money
for use toward mortgage payments.
A law passed last year
will also allow ADU owners to sell them off, essentially subdividing their
property even where local laws previously forbade it. The law was passed to
provide a way for first-time buyers to begin gathering equity from their homes,
even if they are small.
In many cases, owners have
long felt they might be assessed heavy fines for building without permits or
renting units not formally certified as up to current building standards.
Now Berkeley has activated
an amnesty program due to last about four years, until early 2029. Owners will
be encouraged to contact city planners and building inspectors to get their
units legalized, if they meet today’s standards, or to learn what they might
have to do to get them to that point and how much it might cost.
Berkeley will offer both
certificates of occupancy, which tell renters or buyers that a unit is up to
code, and certificates of compliance, which establish that a unit meets minimum
fire and other life safety standards, even if it might not have sufficient
insulation, central heating or other features required in new housing.
City officials, who sorely
want more affordable housing both for students at UC Berkeley and others,
insist their new program will not allow unsafe housing. So expect that some
owners will have to eliminate exposed electric wiring and other fire hazards before
they can legally rent their extra units.
But those expenses would
almost always be made up for by rents received in the first few months of
occupancy. So this is a way for longtime homeowners to gain income after
getting little or nothing from extra units while keeping them off the rental
market.
It's also a way for
Berkeley and maybe other cities to help meet their state-mandated obligations
to allow more affordable housing.
Knowing some longtime
owners will be hesitant to come forward for fear of incurring large new
expenses, Berkeley says it will aim to “make it easy” for them by having a
staff of building officials available to work with anyone who who applies to
get a unit legalized.
If the city lives up to
its stated aims and other follow up, too, this could be a way to add thousands
of units to a housing market that desperately needs them. It’s also a way to
create housing without disrupting anyone’s environment or the character of any
locale. The only real surprise here is that cities did not long ago jump to do
something like this.
-30-
Email
Thomas Elias at tdelias@aol.com. His book, "The Burzynski Breakthrough:
The Most Promising Cancer Treatment and the Government’s Campaign to Squelch
It," is now available in a soft cover fourth edition. For more Elias
columns, visit www.californiafocus.net
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