City of Oakland | Oakland launches low-interest loan program for…

Date posted: November 4, 2022 at 08:48
Last update: November 4, 2022 at 10:19 am

Oakland – The City of Oakland has launched the Accessory Dwelling Unit Loan Program (ADULP) to provide financing and technical assistance to low-income homeowners to convert an existing unauthorized secondary unit into a secondary accessory dwelling unit (ADU) or a Junior Accessory Dwelling Unit (JADU).

The program is designed to help ensure that secondary units developed outside of the required permitting process are safe, legal and can continue to provide flexible housing options for tenants or family members. Participants receive a deferred payment loan of up to $100,000 and guidance on design, tendering, permitting and construction processes.

“ADUs are an important strategy for improving housing safety in Oakland right now — for landlords and renters alike,” said Oakland Mayor Libby Schaaf. “This innovative program will help owners make the necessary upgrades to ensure ADU occupants experience safe and healthy conditions.”

A qualifying property must be an owner-occupied single-family residence in an Oakland “opportunity zone,” located in West Oakland, along the Interstate 880 corridor, and parts of East Oakland. Household income must be at or below 80% of the area median for Alameda County, which is $87,700 for a two-person household and $109,600 for a four-person household. Eligibility must be confirmed by February 2023 and all construction must be completed by spring 2024.

“This ADU legalization program is an important new preservation tool to keep Oaklanders in stable housing, whether they rent or own,” said Christina Mun, acting director of Oakland Housing & Community Development. “In addition to creating safer living conditions for ADU residents, ADULP will support low-income homeowners who wish to house family members or caregivers in a very difficult housing market, or access rental income that will allow them to stay in their own home. ”

The program is funded by the CalHOME program of the State of California, provides grants for housing rehabilitation assistance for low-income homeowners. The recent expansion of their program to include ADUs was in response to greater interest in ADUs statewide and new regulations to remove barriers to their establishment.

More information, including links to a confidential eligibility survey, documents in Spanish and Mandarin, and information on becoming a licensed contractor, can be found here: https://www.oaklandca. gov/adulp.

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