Granny Flats: An Assessment of Economic and Land Use Issues
Author(s):
Engel, David
Reiger, Arthur J.
Publication Date:
01/1983
Performing Organization(s):
U.S. Department of Housing and Urban Development Washington, DC
Availability:
HUD USER, P.O. Box 23268, Washington, DC 20026-3268; phone (800) 245-2691; fax (202) 708-9981; or TDD (800) 927-7589
Notes:
In-house document, no contract or grant number.
Descriptors:
Accessory apartments. Housing for the elderly. Zoning regulations. Mobile homes. Construction costs. Operating costs. Land use controls.
Abstract:
This paper examines the costs of granny flats, including the availability and terms of financing, and the ability of local land use and zoning regulations to accommodate this type of housing. In contrast to other accessory housing, granny flats are separate and detached structures on the same lot as an existing single family house, are intended primarily for elderly person, and are meant to be removalbe structure. Cost estimates are developed for granny flats that cover three categories: initial costs, including purchase of the unit and utility hookups; carrying costs to cover financing, maintenance, insurance, utilities, and taxes; and transfer/relocation costs. The initial costs are assessed at $23,000, of which $1,800 is for the unit itself. Two hypothetical cases illustrate carrying and transfer costs: a single - family homeownership where an adult family member owns the unit and a scatter - site rental project where a nonprofit group owns the flats and rents them to homeowners for an elderly relative. Most current local zoning and land use controls do not permit granny flats. Localities facing a decision whether to revise their regulations will have to balance the potentially significant benefits to the elderly with the equally legitimate concerns of residents about increased density, aesthetics, and other impacts on the community. Any ordinance is likely to authorize granny flats only on a special permit/conditional use basis. Community conerns will probably fall into three areas: the nature of the applicant and occupant, the type and size of structure, and the restriction on the site. A major issue is whether a unit can technically fit on a particular lot size, and the few existing granny flat ordinances suggest that communities prefer to locate these units only in low density districts. Tables, drawings, and 23 references are provided.
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