Legislation Details

File #: 26-492    Version: 1
Type: Land Use and Environment Status: Discussion Item
File created: 8/5/2026 In control: BOARD OF SUPERVISORS - LAND USE
On agenda: 8/19/2026 Final action:
Title: Noticed Public Hearing: ADU Ordinance Amendment: ADU Separate Sale Implementation Options to Support Homeownership and Owner Occupancy and Related CEQA Exemptions (Districts: All)
Attachments: 1. Board Letter, 2. Agenda Information Sheet, 3. Approval Log, 4. Attachment A, 5. Attachment B, 6. Attachment C, 7. Attachment D, 8. Attachment E, 9. Attachment F, 10. Attachment G, 11. 08192026 ag04 Public Communication 1, 12. 08192026 ag04 Ecomments, 13. 08192026 ag04 Exhibit 1, 14. 08192026 ag04 Speakers, 15. 08192026 ag04 Minute Order

 

Date:

August 19, 2026

 04

                                                                                                                                                   

To:

Board of Supervisors

 

Title

Noticed Public Hearing:
ADU Ordinance Amendment: ADU Separate Sale Implementation Options to Support Homeownership and Owner Occupancy and Related CEQA Exemptions (Districts: All)

 

End

Overview

This is a request for the County Board of Supervisors (Board) to amend the County Zoning Ordinance related to the separate sale of Accessory Dwelling Units (ADUs). The proposed amendments build on the Board’s prior adoption of the separate sale ordinance on March 4, 2026 (5) and provide options the Board directed staff to return and present. The ordinance adopted in March 2026 created a new for-sale housing type that may be more accessible to first-time homebuyers, older adults seeking to age in place, households looking to downsize, empty nesters, and buyers seeking potential lower-cost homeownership opportunities due to its smaller unit size and shared maintenance costs through a Homeowners Association (HOA) structure. At that hearing, the Board also directed staff to return with ordinance options that would build on these existing benefits, further encourage homeownership opportunities, and support owner occupancy of ADUs that are sold separately from the main dwelling on a single-family residential lot.

 

Staff prepared four options for the Board’s consideration.  These options were informed by County priorities related to homeownership opportunities and further refined through engagement with subject matter experts and the public to incorporate flexibility for the implementation of certain options. The options generally require additional actions by either the seller and/or buyer when the ADU condominium is created, marketed for sale or sold, adding steps to the existing condominium subdivision process and real estate transactions. The Board may choose to implement one, several, or none of these options. If the Board chooses not to adopt any new criteria (Option 1), the County will continue to allow the separate sale of ADUs, as currently codified in County Zoning Ordinance as adopted in March 2026.

 

                     Option 1 - No Additional Local Criteria: This option would maintain the ADU ordinance as currently adopted, relying solely on the State framework without additional local requirements focused on encouraging homeownership or supporting owner occupancy.

 

 

 

                     Option 2 - Right of First Refusal (ROFR): This option would require each condominium unit owner on a lot to establish a ROFR contract with an existing tenant or another owner on the same lot. The holder of the ROFR contract will have the opportunity to purchase the unit first if they are able to match a future offer from another buyer.

 

                     Option 3 - Owner Occupancy Affidavit: This option would require new buyers of ADU condominium units to sign an affidavit stating that they, or a family member, intend to occupy the unit as a primary residence for a defined period.

 

                     Option 4 - Required Public Posting Period: This option would require an ADU condominium unit to be publicly listed for sale for a defined period each time it is offered for sale. The listing would include a disclosure stating that the ADU is being offered to buyers who intend to use the unit as a primary residence for themselves or a family member.

 

Stakeholder feedback revealed that while there is public interest in the County’s new program for ownership of ADU condominiums, most seemed more interested in better understanding the current process in State Code. Stakeholders expressed concern that adding new local requirements could unintentionally recreate the kinds of regulatory barriers that have contributed to housing challenges. Overall, most feedback from development professionals and housing advocates reflected a strong desire to avoid adding regulations that may limit homeowner choice, slow down sales, or provide limited public benefit.

 

While encouraging owner occupancy was an important concept reflected in feedback, there was division on effective methods to approach this. Option 4, a required public listing period to prioritize owner occupants, was favored by some housing advocates, however many property owners and real estate professionals indicated their observation of an existing preference for owner occupants during marketing and listing periods. Feedback also questioned the impact of adding this type of requirement to one narrow type of housing rather than all housing.

 

Consistent with the Board's direction to explore additional options that support homeownership and owner occupancy, staff also evaluated broader housing concepts based on Board feedback and assessed their feasibility beyond the scope of the ADU ordinance amendment. Staff explored the potential to expand countywide efforts that may benefit first-time homebuyers or tenants across all housing types. Concepts that were not included in the programmatic options for an ADU ordinance amendment include Tenant Relocation Assistance, Empty Homes Tax, Deed Restrictions, and Larger ADU Types. These concepts align with existing County priorities to support homeownership opportunities and housing stability, and the Board may choose to incorporate these ideas into programs that have broader capacity for future application to all housing types. These concepts, which arose during best practice research and stakeholder engagement, are not specific to ADUs and could apply to housing units in general. They have been included for reference in the Project Analysis section of this report.

 

 

 

Existing County efforts that support homeownership for all housing types include the County's two First-Time Homebuyer Programs, including the Down Payment and Closing Cost Assistance (DCCA) Program and the Down Payment Assistance (DPA) Program, administered by the County's Housing and Community Development Services (or HCDS). With the adoption of the County’s new program to allow the separate sale of ADUs, any first-time homebuyer effort promoted by the County, that includes condominiums as eligible property types, also includes ADU condominiums as a new homeownership property type that is also eligible.

 

Today’s request is for the Board to consider the options presented to amend the ADU Ordinance to support furthering goals for owner occupancy and homeownership opportunities by incorporating additional requirements for ADUs sold as condominiums.

 

Body

Recommendation by Planning Commission:

On June 12, 2026, the Planning Commission recommended that the Board of Supervisors consider programmatic options 2, 3 and 4. The Commission reviewed all the options and expressed that options 2, 3 and 4 were acceptable without objection. Commissioner comments included preference for the potential ordinance amendments to specify the following time periods as they pertain to each option:

                     Option 2 - Right of First Refusal: 30 days during which to match an offer.

                     Option 3 - Owner Occupancy Statement: One year commitment to occupy the unit.

                     Option 4 - Required Public Posting Period: 30 days minimum to list for sale.

 

Recommendation by Department Of Planning & Development Services:

1.                     Find the item is not a “project” and is exempt from CEQA under CEQA Guidelines section 15378. Changes related to the separate sale of ADUs do not require analysis under CEQA as the transfer of ownership of these homes will not cause a direct or reasonably foreseeable indirect physical change in the environment under CEQA Guidelines section 15061(b)(3).

2.                     Consider the proposed options and adopt the attached form of ordinance to enact any selected options in section 6156.x.D.10, Programmatic Options 1, 2, 3, 4:

An Ordinance Amending the San Diego County Zoning Ordinance Part Six: General Regulations: Accessory Use Regulations Related to Accessory Dwelling Unit (ADU) and Junior Accessory Dwelling Unit (JADU) Section 6156.x (PDS2025-POD-25-009) (Attachment A  and Attachment B [Changes Shown])

End

 

Equity Impact Statement

Planning & Development Services (PDS) recognizes the historic and ongoing housing inequities that affect many residents in the San Diego region, including barriers to homeownership and challenges in accessing stable, attainable housing. The Accessory Dwelling Unit (ADU) Separate Sale Implementation Options to Support Homeownership and Owner Occupancy (Amendment) supports greater housing equity in the unincorporated area by reducing barriers that can disproportionately affect first-time buyers and owner occupants.

 

 

Sustainability Impact Statement

These Amendment options help support the County’s housing goals by making it easier for residents to access more flexible housing choices for first-time homebuyers, multigenerational families, and seniors who wish to remain in their communities. The program supports sustainable growth by encouraging long-term owner occupants in communities.

 

Fiscal Impact

There is no fiscal impact associated with today’s recommendation. The proposed updates to the Zoning Ordinance can be completed with existing staff resources. There will be no net change in General Fund cost and no additional staff years.

 

Business Impact Statement

If approved, the potential amendments would add new requirements to the existing ADU Ordinance which allows the separate sale of ADUs as condominiums in the unincorporated areas of the county. The amendment options generally require additional actions by either the seller and/or buyer when the ADU condominium is created, marketed for sale or sold, adding steps to the existing condominium subdivision process and real estate transaction. Real Estate industry professionals may be impacted by additional time to facilitate transactions for their clients.

 

Details

Advisory Board Statement

Due to the timeline for returning to the Board, staff conducted more limited outreach efforts, including a public webinar and small group discussions. Similar to previous outreach conducted during adoption of the local program allowing the separate sale of ADUs, feedback primarily focused on broader concerns related to ADU development generally, rather than the specific local criteria associated with the separate sale of ADUs.

 

Involved Parties

This is a County of San Diego initiated project.

 

Planning Commission Vote

On June 12, 2026, the Planning Commission voted 4-0, with 2 absent, to recommend that the Board of Supervisors consider options 2, 3, and 4 to amend Section 6156.x.D of the Zoning Ordinance. 

 

Background

Adopted in 2023 and effective January 2024, State Assembly Bill (AB) 1033 is an opt-in law that allows local jurisdictions to permit Accessory Dwelling Units (ADUs) to be sold separately from the primary residence as condominiums. The State law establishes a baseline framework, including compliance with the Subdivision Map Act, formation of a Homeowners Association (HOA), and separate property tax assessments, without increasing the number of units permitted on a property. Jurisdictions can establish additional local criteria based on community priorities.

 

 

 

On March 13, 2024 (10), the Board of Supervisors (Board) directed staff to evaluate the feasibility of allowing the separate sale of ADUs in the unincorporated area. In response, staff conducted outreach with stakeholders, property owners, and the development community to assess interest, concerns, and ideas for structuring a local program for the separate sale of ADUs. Based on this input, the Board on October 9, 2024 (5) directed staff to move forward with development of a local program for the separate sale of ADUs, in accordance with AB 1033, that incorporates both State-mandated provisions and local eligibility criteria.

 

On December 5, 2025, staff presented an ordinance amendment to the Planning Commission that included allowing the separate sale of ADUs and options for establishing local criteria for the separate sale of ADUs. The Planning Commission recommended to the Board that the County follow the State framework, established by AB 1033 and identified in State Code Section 66342, without additional local eligibility requirements, noting that added criteria could limit participation and reduce flexibility.

 

On March 4, 2026 (5), the Board voted unanimously to adopt AB 1033 and allow a program for the separate sale of ADUs in unincorporated communities through a condominium conversion process. This local program is intended to expand homeownership opportunities by creating smaller, more attainable units, while also providing options for seniors and families to downsize, remain in their communities, and access property equity. Participation is voluntary, and not all properties may qualify. The ordinance includes guidance on the conversion process, utility and mapping requirements, and HOA formation to ensure that the program is understandable, accessible, and responsive to public input.

 

During the hearing on March 4, 2026 (5), the Board did not include any local criteria and provided the greatest flexibility for the number and types of ADUs that may be sold separately (Attachment C). The Board also discussed whether additional local criteria could better support first-time homebuyers and homeownership opportunities and directed staff to return within 120 days with a draft amendment containing options to promote first time home buyers and home ownership for separate sale of ADUs including but not limited to the right of first refusal and/or an owner occupancy requirement for the first year or longer, with any additional legally compliant options that County Counsel identifies through conversations with Board offices.

 

In response, staff drafted four options for local implementation criteria focused on supporting homeownership opportunities and promoting owner occupancy for the separate sale of ADUs (Attachment D). These options are intended to complement State guidance while advancing local priorities related to housing access and stability. They provide potential pathways for how a local program could be structured, with varying levels of involvement by property owners or County staff. The proposed options are focused on establishing local implementation criteria specifically for the separate sale of ADUs and are not intended to apply to other types of property sales.   They are intended to add new procedures to the process of preparing an ADU for separate sale as a condominium. While they may help to support and encourage homeownership and owner occupancy, they also introduce additional regulations to a new program in its early stages. These options were informed by County priorities related to homeownership opportunities and further refined through engagement with subject matter experts and the public to incorporate some flexibility in certain situations.

 

The Board may choose to adopt one, several, or none of the options (Attachment E). If no local criteria is adopted, the County would continue to allow ADUs to be sold separately with no changes to the current ordinance adopted on March 4, 2026 (5), as currently codified, per County Zoning Ordinance Section 6156.x.D. 

 

 

Project Analysis

Each option presents varying levels of effectiveness and enforceability.

 

Option 1: No Additional Local Criteria (Maintain Existing Ordinance): This option would maintain the ADU ordinance as it currently exists, relying solely on the State framework without additional local requirements. It preserves maximum flexibility for property owners and avoids added regulatory complexity. While this option does not include additional local implementation criteria, the intent of this ordinance, as previously adopted by the Board, provides an effective tool to advance local policy objectives to allow more homeownership opportunities by introducing a new product type for the housing market, creating smaller, more attainable units available for sale.

 

Option 2: Right of First Refusal (ROFR): A ROFR requirement would provide an existing tenant or other condominium owner on the same property with the first opportunity to purchase a unit if they are able to match a future offer from another buyer. The intent of this option is to promote owner-occupied units. Each condominium owner must establish a ROFR contract with an active rent paying tenant or a condominium owner on the same lot. This option includes the potential to provide existing tenants with an opportunity for homeownership. This option also provides potential for current owners on the same lot to downsize to age in place, upsize to grow their family, or expand multi-generational living situations by purchasing units on the same lot. Requiring a ROFR places a new responsibility on property owners when they attempt to market their property for sale. Property owners would be required to commit to a ROFR contract with another party, prior to knowing their own future circumstances or if they might change their minds about whom they want to sell to. A ROFR contract is required to adhere to non-discrimination standards identified by the Fair Housing Act. After an initial offer is received, the ROFR contract holder would have a specified length of time (e.g. 30 days) to match the original offer. This may impact marketability and complexity of transactions. This requirement could be applied during the condominium conversion or mapping stage, when the County has regulatory authority. For example, the City of Santa Cruz applies a similar requirement for displaced tenants at the time of conversion. However, enforcement after conversion may be limited, as it would likely depend on title companies to identify compliance issues. This option does not address broader financial barriers to homeownership, such as down payment requirements or mortgage qualification, which may limit the ability of tenants to exercise the right to purchase. Property owners could also potentially avoid the requirement by terminating leases prior to conversion, thereby removing tenants before the provision applies. As a result, this option would primarily affect existing ADUs and would likely have minimal impact on newly constructed ADUs intended for sale.

 

Option 3: Owner Occupancy Statement: An owner-occupancy affidavit would require buyers to declare that either they themselves or a family member will occupy the unit as their primary residence for a specified period (e.g. one year). The intent of this option is to support buyers interested in occupying a property themselves, and to help discourage speculative investment. This approach may help support longer-term residential stability in communities. An owner occupancy requirement would be a new responsibility for both the buyer and the seller of an ADU. Buyers would be required to commit to residency, and encounter added procedural requirements if their living situation needs to change due to unforeseen life events. Marketability may be impacted, for sellers, if potential buyers perceive an owner occupancy requirement as too restrictive to commit to. This approach could be incorporated into the purchase and closing process, and the County could establish penalties, such as fines, for noncompliance. Monitoring and enforcement may present challenges, and the County may choose to exercise discretion in situations involving legitimate life changes such as employment relocation, health issues, or changes in family circumstances. Furthermore, this option does not directly address broader affordability constraints or other financial barriers to homeownership.

 

Option 4: Required Public Posting Period: A required public posting period would mandate that ADU condominium units be marketed through publicly accessible real estate websites or databases that source listings directly from the MLS (Multiple Listing Service) for a minimum period (e.g., 30 to 60 days) with a disclosure stating that the ADU condominium is being offered to owner-occupant buyers with the intent to use the unit as a primary residence for themselves or a family member. The intent of this approach is to increase visibility and create a window of opportunity for potential owner-occupants. The City of San Diego includes a similar 30-day requirement in its ADU separate sale program. This approach may support broader public awareness and provide additional time for prospective homebuyers to compete with investors or cash purchasers. However, the requirements could also be viewed as a limitation on seller flexibility in a competitive housing market by delaying the timing of a sale and imposing additional marketing requirements not typically required for other types of residential property sales. This option may introduce a new requirement for sellers using waitlists as part of their marketing process. Additionally, a fixed posting period may create challenges for time-sensitive sales. For these reasons, the draft ordinance language indicates that exceptions may be made at the Director's discretion. While the requirement may encourage owner occupancy opportunities, it would not guarantee that the eventual purchaser occupies the unit as a primary residence.

 

If the Board were interested in combining Option 2 with either Option 3 or Option 4, it would have the discretion to shorten the timelines associated with those options. For example, the Right of First Refusal period in Option 2 could be reduced from 30 days to 15 days. Similarly, the public posting period in Option 4 could also be reduced from 30 days to 15 days. This would allow the combined requirements to be completed within a maximum 30-day timeframe, rather than extending the overall sales process beyond that period. Additional information on option modifications is outlined in Attachment D.

 

Additionally Explored Concepts, Not Specific to the ADU Separate Sale Program:

Following the Board's direction to explore additional options that support homeownership and owner occupancy, several additional concepts were explored, but were determined to not be necessarily specific to the ADU Separate Sale Program. Some of these concepts may be appropriate for future exploration or expanding to more housing types. While many of these concepts were not specific to ADU condominium property types, these subjects may necessitate a broader timeline to evaluate feasibility and accommodate more robust stakeholder engagement.

 

Tenant Relocation Assistance - Staff considered a countywide tenant relocation assistance requirement for tenants displaced by condominium conversions or similar actions that result in the sale of residential units. The intent of a local tenant relocation assistance requirement would be to expand upon the State Tenant Protection Act, per Civil code section 1946.2. The act currently entitles a tenant to one month of rent to help them relocate to a new home if they are evicted for a specified “no fault” situation, however ADUs are generally excluded from this State protection.

 

A County tenant relocation assistance requirement could apply across a broader range of housing types in the unincorporated area, providing an equitable approach that is not limited to a single housing type, such as ADU condominiums. Under a local tenant relocation assistance requirement, property owners may be required to provide relocation assistance equivalent to one to three months’ rent (beyond any applicable requirement by the State) to any displaced tenant who has resided in the unit for a specified duration (e.g., six to twelve months within the 18 to 24 months preceding displacement). The County of San Diego does not currently require a relocation allowance. The development of such a program could be addressed through broader efforts such as the Housing Element or Housing for All.

 

While many cities have adopted additional requirements that expand eligibility or increase payment amounts, these programs vary significantly across jurisdictions and often exclude single-family properties with fewer units or recently built units, limiting the programs’ applicability in some contexts. For reference, the City of Santa Cruz requires relocation assistance for all housing types, equal to four months of rent for qualifying low- to moderate-income tenants who have occupied a unit within the previous two years. While the property owner would be required to pay for any tenant relocation assistance, monitoring and enforcement would be limited. Because this approach would apply broadly to all housing types rather than specifically to ADUs, it was explored as a concept but not advanced.

 

Empty Homes Tax - Staff initially explored an Empty Homes Tax intended to encourage owners of vacant residential properties to rent or sell their units, thereby increasing housing supply in the region. In early 2026, the City of San Diego advanced an Empty Homes Tax that would have applied to homes vacant for 183 or more days within a calendar year, with the goal of returning units to the long-term housing market. The proposal included exemptions for primary residences, occupied units (including those leased or used by family members), and owners unable to occupy or rent a unit due to specified circumstances. The measure was placed before voters on the June 2, 2026 ballot, and was not approved. Because this approach would apply broadly to all housing types rather than specifically to ADUs, it was explored as a concept but not advanced. Options 2 through 4 presented above remain focused on ADUs as an opportunity to expand homeownership.

 

 

Deed Restriction - According to the State’s Department of Housing and Community Development (HCD), local agencies may not require an affordability deed restriction as a condition of permitting an ADU. The State does not prevent a jurisdiction from requiring a deed restriction as part of the condominium conversion process for ADUs, however the State does not provide guidance on the subject at this time. While deed restrictions for the separate sale of ADUs to qualified low- or moderate-income buyers in limited cases involving nonprofit development and tenancy-in-common agreements are allowed, broader application of deed restrictions would raise legal concerns and require significant administrative oversight by the County’s Department of Housing and Community Development Services (HCDS).

 

Larger ADU Types - The term "Accessory Dwelling Unit" or "ADU" is defined by State law and limited to 1200 square feet for new detached ADUs. The County could create a new building type similar to ADUs but larger in size, but this new building type would not benefit from the ministerial processing and CEQA exemptions built into State law for ADUs. Creating such a building type and making it broadly available in the unincorporated county would require significant CEQA analysis and alteration of the General Plan and several Specific Plans. If the Board wanted to direct staff to allow ADUs larger than 1,200 square feet, this could be included as a program in the 7th Cycle Housing Element with additional funding for things like additional outreach and environmental review. Allowing larger ADUs may contrast the new opportunities realized through the Board’s recent decision to allow ADU condominiums as a smaller and more attainable property type for homeownership.

 

Countywide Efforts for All Housing Types

During the March 2026 Board Hearing, the Board discussed wanting to support First Time Home Buyers. While evaluating potential local criteria to implement the separate sale of Accessory Dwelling Units (ADUs), staff reviewed broader Countywide efforts for first-time homebuyers that would include ADU condominiums as an eligible property type.

 

County’s Housing and Community Development Services (HCDS) currently administers two First-Time Homebuyer Programs, the Down Payment and Closing Costs Assistance (DCCA) Program and the Down Payment Assistance (DPA) Program. Condominiums are an eligible property type under these programs, and this includes ADU condominiums as a new homeownership property type that is also eligible.

 

Through the DCCA Program, eligible applicants may receive a deferred, low-interest loan of up to 22 percent of the purchase price for down payment assistance, in addition to up to four percent of the purchase price (not to exceed $10,000) for closing costs. Program eligibility is subject to a maximum purchase price of $743,000 (subject to periodic adjustment) and a household income limit of 80 percent of the Area Median Income (AMI). Through the DPA Program, applicants may receive a deferred loan of up to 17 percent of the purchase price for a down payment. Eligibility is subject to a maximum purchase price not to exceed the most recent median sales price for a single-family home in the County and a household income limit of 80 to120 percent AMI. The purchased property must serve as the buyer’s primary residence. Eligible property types include new or resale single-family homes, condominiums, townhomes, and manufactured homes on permanent foundations. The separate sale of ADUs creates condominiums that would be an eligible property type for both First-Time Homebuyer Programs currently administered by HCDS.

 

On March 24, 2026, the Board directed HCDS to report back with a memo evaluating the feasibility of establishing a County-funded and administered pilot program to support first-time homebuyers in the unincorporated area (Attachment F). This effort would complement the existing County first-time homebuyer programs.

 

Environmental Statement

The Amendment is not a “project” and is exempt from California Environmental Quality Act (CEQA) under CEQA Guidelines section 15378. Changes related to the separate sale of Accessory Dwelling Units (ADUs) do not require analysis under CEQA as the transfer of ownership of these homes will not cause a direct or reasonably foreseeable indirect physical change in the environment under CEQA Guidelines section 15061(b)(3).

 

Public Input

To better understand public concerns and program opportunities, staff hosted a public webinar, published the options for public review, and engaged with stakeholders and subject matter experts, to present and gather feedback on the proposed local criteria options for the separate sale of Accessory Dwelling Units (ADUs). Staff shared the range of options developed in response to Board direction and included information on current County resources for supporting first-time homebuyers. The options were made publicly available for review during the month of May 2026, and stakeholders were invited to submit feedback. The objective of this outreach was to better understand potential opportunities, challenges, and community perspectives related to implementing local criteria, beyond the State framework for the separate sale of ADUs, under AB 1033. Public feedback helped refine the draft options, including minor revisions to clarify terminology and provide additional implementation flexibility.

 

Feedback from the webinar revealed that there is public interest in the County’s new program for ownership of ADU condominiums, and that the majority of interest involves understanding the complexities of navigating the existing process implemented with baseline framework from State Code. Before considering the introduction of adding local criteria requirements, attention remained on the extensive requirements in determining whether or not an applicant may qualify for, or have the means to, develop ADU condominiums for separate sale.

 

During public review, additional feedback was gathered from stakeholders and industry experts. Comments consistently emphasized the importance of preserving as much flexibility as possible for property owners when implementing the separate sale of ADUs. There was concern that individual property owners may not necessarily have the experience or technical knowledge to navigate the existing process of converting ADUs to condominiums without professional assistance, and that adding additional local criteria may be a burden that discourages the separate sale of ADUs or creates legal commitments beyond participants’ expectations.

 

 

While encouraging owner occupancy was an important concept reflected in feedback, there was division on effective methods to approach this.  A required public listing period to prioritize owner occupants was favored by some housing advocates, however many property owners and real estate professionals indicated their observation of an existing preference for owner occupants during marketing and listing periods. Feedback also questioned the impact of adding this type of requirement to one narrow type of housing rather than all housing.

 

Stakeholders expressed concern that adding new local requirements could unintentionally recreate the kinds of regulatory barriers that have contributed to current housing challenges, and several noted that many of the proposed rules appeared difficult to enforce in practice. Commenters also raised worries about requirements that could delay time sensitive real estate transactions or impose procedural steps that most sellers already complete voluntarily. Overall, the majority of feedback reflected a strong desire to avoid adding regulations that may limit homeowner choice, slow down sales, or provide limited public benefit.

 

Department Reasons For Recommendation

On March 4, 2026 (5), the Board of Supervisors (Board) adopted an ordinance allowing ADUs to be sold separately as condominiums in the County’s unincorporated area. Additionally, the Board directed staff to return with options to promote first-time home buyers and homeownership through the separate sale of ADUs. Staff have prepared options aligned with the Board’s direction and refined through stakeholder feedback. Staff have coordinated with County HCDS and confirmed that any first-time homebuyer effort promoted by the County which includes condominiums as eligible property types will mention ADU condominiums as a new homeownership property type that is also eligible. Today’s request is for the Board to consider the options presented to amend the ADU Ordinance to encourage owner occupancy and support homeownership opportunities through the separate sale of ADUs. These options are focused specifically on establishing local implementation criteria for the separate sale of ADUs and are not intended to apply to other types of property sales.

 

Linkage To The County Of San Diego Strategic Plan

Today’s proposed actions support the Initiatives identified in the County of San Diego’s 2026-2031 Strategic Plan, which provides a countywide framework for advancing sustainability, equity, innovation, and community well-being. Specifically, the proposed Amendment responds to the need for a broader range of homeownership opportunities to promote long-term economic sustainability for individuals and families across a wider range of income levels (Sustainability Initiative); leverages policy tools and existing infrastructure to expand housing opportunities that respond to community needs (Equity Initiative); encourages innovative approaches to land use planning and housing delivery (Empower Initiative); supports community stability by creating opportunities for families to remain together and for residents to age in place (Community Initiative); and incorporates equity and environmental justice considerations to reduce disparities in access to housing (Justice Initiative). These actions are advanced within the County’s Housing for All framework, which brings together enterprise-wide efforts under a unified “One County” organizational approach to urgently address housing and homelessness while aligning with the County’s Strategic Initiatives related to equity, inclusion, and sustainability.

 

 

 

Respectfully submitted,

DAHVIA LYNCH

Deputy Chief Administrative Officer

 

 

 

Attachments

Note: Due to the size of the attachments, the documents are available online through the Clerk of the ’Board’s website at www.sandiegocounty.gov/content/sdc/cob/bosa.html. <http://www.sandiegocounty.gov/content/sdc/cob/bosa.html>

Attachment A -   An Ordinance Amending the San Diego County Zoning Ordinance Part Six: General Regulations: Accessory Use Regulations Related to Accessory Dwelling Unit (ADU) and Junior Accessory Dwelling Unit (JADU) Section 6156.x (POD2025-POD-25-009)

Attachment B -  An Ordinance Amending the San Diego County Zoning Ordinance Part Six: General Regulations: Accessory Use Regulations Related to Accessory Dwelling Unit (ADU) and Junior Accessory Dwelling Unit (JADU) Section 6156.x (PDS2025-POD-25-009) (Changes Shown)

Attachment C -     3-4-2026 Board Letter

Attachment D -     Proposed ADU Ordinance Amendment Options

Attachment E -     Action Sheet

Attachment F -     7-1-2026 HHSA HCDS Board Memo

Attachment G -     Public Letters