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Home My WebLink AboutStaff Report 2510-5367CITY OF PALO ALTO CITY COUNCIL Monday, December 01, 2025 Council Chambers & Hybrid 5:30 PM Agenda Item A.Final Accessory Dwelling Unit (ADU) - 2025 Quarter 3 (July - September 2025) Report City Council Staff Report From: City Manager Report Type: INFORMATION REPORTS Lead Department: Planning and Development Services Meeting Date: December 1, 2025 Report #:2510-5367 TITLE Final Accessory Dwelling Unit (ADU) - 2025 Quarter 3 (July - September 2025) Report RECOMMENDATION This informational report requires no action. Future quarterly reports will be prepared only at Council’s direction. BACKGROUND Quarterly ADU reports were initiated to provide Council with ongoing production updates. Beginning in 2026, this information will be available and updated monthly on the City’s Housing Dashboard, eliminating the need for future reports. ANALYSIS This report summarizes accessory dwelling unit (ADU) and junior ADU (JADU) application activity for the first three quarters of 2025. Since 2015, the City has received 920 ADU/JADU building permit applications and issued 725 permits. In the first three quarters of 2025, 120 new applications were received, 101 permits issued, and 101 final inspections approved. These figures continue to support the Housing Element’s projected average of 64 ADU/JADU units per year (512 units over eight years). ADU sizes for open applications range from 176 to 1,000 square feet, averaging 585 square feet. About 40% of applications are north of Oregon Expressway and 60% south, with the north- south distribution varying annually since 2017. Additional details are provided in Table 1. FISCAL/RESOURCE IMPACT This action has no fiscal impact. ATTACHMENTS Attachment A: Q3 2025 ADU Location Table APPROVED BY: Jonathan Lait, Planning and Development Services Director Table 1: Summary of ADU Permits from 2015-2025 Category 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 (Q1-Q3) New ADU Applications Filed1 10 9 28 55 75 78 136 151 122 136 120 Permits: Ready to Issue (City Approved)2 8 5 12 39 62 46 112 127 135 131 106 Permits: Issued (Permit Obtained)3 8 5 12 36 62 43 89 120 125 124 101 Permits: Final Inspection Approved4 3 4 9 12 33 46 37 62 101 105 101 Permits Expired 1 1 1 6 3 Detached ADUs (Submitted)5 20 35 52 52 80 80 48 53 46 Detached ADUs (Issued)5 8 24 41 33 55 64 57 48 36 Attached ADUs (Submitted)6 8 20 23 20 56 44 43 47 45 Attached ADUs (Issued)6 4 11 21 9 34 32 40 52 34 Junior ADUs (Submitted)7 1 1 1 25 27 31 36 29 Junior ADUs (Issued)7 1 1 1 9 24 28 24 31 Category 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 (Q1-Q3) Average Application Processing Time (Days Including Weekends)8 127 214 118 183 135 197 162 193 187 193 178 Average Construction Time (Days Including Weekends)9 578 751 330 287 173 262 455 431 496 519 517 City Impact Fees Collected for New ADUs10 $451,514 $402,012 $198,962 $44,057 $139,592 $540,453 $487,322 $498,101 $412,867 ADU Size Smallest 150 SF 159 SF 220 SF 208 SF 178 SF 192 SF 227 SF 165 SF 176 SF ADU Size Largest 900 SF 900 SF 1,031 SF 1,000 SF 1,218 SF 2,217 SF 1,000 SF 1,000 SF 1,000 SF Average ADU Size 470 SF 469 SF 383 SF 518 SF 550 SF 589 SF 571 SF 558 SF 585 SF North 46%49%52%55%49%52%41%44%40%ADU Location Relative to Oregon Expressway South 54%51%48%45%51%48%59%56%60% Source: City of Palo Alto Accela Data January 2015 through June 2025 Notes: 1. Any ADU/JADU Application SUBMITTED for the year 2. Any ADU/JADU application Permit 'READY TO Issue' for the year (regardless of when it was submitted) 3. Any ADU/JADU Permit ISSUED for the year (regardless of when it was submitted) 4. Any ADU/JADU Permit receiving a Final Inspection (Ready to Occupy) for the year, regardless of when the application wassubmitted. Years 2015-2017 data point not available. 5. Any Detached ADU Permit Application submitted for the year/Any Detached ADU Permit Issued for the year, regardless of when the application was submitted. Years 2015-2016 data point not available. 6. Any Attached ADU Permit Application submitted for the year/Any Attached ADU Permit Issued for the year, regardless of when the application was submitted. Years 2015-2016 data point not available. 7. Any JADU Permit Application submitted for the year/Any JADU Permit Issued for the year, regardless of when the application was submitted. Years 2015- 2016 data point not available. 8. Average number of days from permit application submittal to when permit is approved and ready to issue. This average includes weekends and days application is pending due to applicant preparation of resubmittal or additional information from applicant. 9. Average number of days from permit issued to final inspection completed. This average includes weekends and days staff is waiting for applicant to schedule the next required inspection; it also includes time related to the construction of a primary residence when the J/ADU is built at the same time. 10. Impact Fees collected for ADU’s permitted for the year. Years 2015-2016 data point not available. 1 Q1-Q3 2025 ADU/JADUs Submitted New Construction Conversion Type of Conversion # of Dwelling Project Zoning Date Application Acc. Structure # of ADU Pending Pending Pending Pending Pending 2 Q1-Q3 2025 ADU/JADUs Submitted New Construction Conversion Type of Conversion # of Dwelling Project Zoning Date Application Acc. Structure # of ADU Pending Pending R-1 Pending Pending Pending Pending 3 Q1-Q3 2025 ADU/JADUs Submitted New Construction Conversion Type of Conversion # of Dwelling Project Zoning Date Application Acc. Structure # of ADU R-1 Pending Pending Pending Pending Pending Pending R-1 Pending 4 Q1-Q3 2025 ADU/JADUs Submitted New Construction Conversion Type of Conversion # of Dwelling Project Zoning Date Application Acc. Structure # of ADU Pending Pending Pending Pending Pending Pending 5 Q1-Q3 2025 ADU/JADUs Submitted New Construction Conversion Type of Conversion # of Dwelling Project Zoning Date Application Acc. Structure # of ADU 6 Q1-Q3 2025 ADU/JADUs Submitted New Construction Conversion Type of Conversion # of Dwelling Project Zoning Date Application Acc. Structure # of AD U Pending 7 Q1-Q3 2025 ADU/JADUs Submitted New Construction Conversion Type of Conversion # of Dwelling Project Zoning Date Application Acc. Structure # of ADU 8 Q1-Q3 2025 ADU/JADUs Submitted New Construction Conversion Type of Conversion # of Dwelling Project Zoning Date Application Acc. Structure # of ADU Pending Pending 9 Q1-Q3 2025 ADU/JADUs Submitted New Construction Conversion Type on Conversion # of Dwelling Project Zoning Date Application Acc. Structure # of ADU