New Laws: 8 ADUs on Multifamily & Faster Coastal Permits?

Robert Schmalz
Feb 9
1 min read

Hope you are crushing it this week.

If you are investing in the Westside or South Bay, you know the biggest hurdle is usually the city, not the deal itself. That is why the new 2025/2026 ADU regulations are such a game-changer for us.

The state has just unlocked massive value-add potential for multifamily owners. Under the new SB 1211, you can now add up to 8 detached ADUs on existing multifamily properties. Even better for our coastal investors (Santa Monica, Venice, Manhattan Beach), AB 462 is streamlining the Coastal Development Permit process, cutting months off the timeline for ADUs in coastal zones.

If you aren't looking at your current portfolio (or new acquisitions) with these density bonuses in mind, you might be leaving significant equity on the table.

Check out the latest details below:

ADU Cheat Sheet: A clear guide to the new laws, including the "8 ADU" rule for multifamily and the removal of owner-occupancy requirements.
- Read: 10 Things to Know Before Starting Your ADU in 2026
LA Market Watch: A look at where property values are surging in LA County this year (hint: it's where the density is being added).
- Read: Where Los Angeles Property Values Are Surging Most