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All Forum Posts by: Sam K.

Sam K. has started 5 posts and replied 15 times.

Post: Structural engineering services

Sam K.Posted
  • Investor
  • San Diego
  • Posts 15
  • Votes 11

Looking for structural engineering services, calculations and permit submittal with responses to comments in San Diego city. I have  2 unit detached ADU on top of each other being designed by an architect, I need structural engineering done on it. I can send a conceptual pdf document. Looking for quotes

Originally posted by @Matt Devincenzo:

City of SD has actually gone well above State ADU guidance...any existing '2-unit' zoned property can get up to 7 total units....

  1. 2 units per your zone allowance
  2. 1 attached ADU
  3. 2 detached ADUs
  4. 1 'bonus' ADU with the inclusion of 1 'affordable' ADU

The City code also clarifies that you do not have to build your remaining density before constructing the ADUs...and if your are in a Transit Priority area you can propose as many bonus/affordable ADUs pairs as you want. Obviously there are still design guides that might make this practically infeasible, but it is allowable. 

@Matt Devincenzo - Wow amazing!! Never knew that with all the reading that I have been doing. Thanks for that info. Of course great point about practicality and get financing for all such things.

Originally posted by @Jason Shackleton:

Hey @Sam K. I know of a lender that does ground up construction loans. - How can we connect @Jason Shackleton? 

Originally posted by @Dan H.:

What makes you believe you can do two ADUs in a RM1-1 zone? I believe you are constrained to one ADU and one JADU. The JADU cannot be from new space except as necessary to enter (it has some small cap on the footage that I think may be 60'). The JADU also has the limitation that it can only be rented when the property is owner occupied. A JADU in many markets is as likely to lower the value of the property as it is to raise the property value.

Financing is one of the issues with ADU additions. The larger issue is in many markets the value of the ADU addition as established by an appraisal is less than the hands off ADU addition costs.

Good luck

 @dan Heuschele - Its not a belief :) , I have already spoken to the city and it is allowed to build one as long as there is a duplex or a proposed duplex. And agreed to all your points on financing, it is an issue hence I'm here, trying to finance as much as possible. Thanks.

Hi BP Community,

I have a RM1-1 zoned property in San Diego city. I know I'm allowed to construct to 2 ADU's on it. I want to do a ground up construction of 2 ADU's on top of each other. I have questions around financing.

I'm expecting a total hard and soft costs to be close 275K - 325K for this project. Trying to finance most of the cost. All will be permitted and all work will be done via licensed general contractor.

  1. Given I have purchased the property 6 months ago, I do not expect HELOC and Cash-out Refinance to cover a significant amount
  2. Renovation loan under Freddie and Fannie only allows construction of one ADU on the property and hence that is also not an option in my opinion.
  3. So I need references of lenders in San Diego or California area who will provide construction to permanent loans for such a project.

Also open to other suggestions and options that I'm not thinking about. Thank you!

    Post: Section 8 rent increase San Diego

    Sam K.Posted
    • Investor
    • San Diego
    • Posts 15
    • Votes 11
    Originally posted by @Ahmed Megahed:

    Did you hear back? 

    @ahmed megahed yes my rent increase was updated.

    Post: Section 8 rent increase San Diego

    Sam K.Posted
    • Investor
    • San Diego
    • Posts 15
    • Votes 11

    Hi All, My rent was approved for $1550 very quickly by the city and I have started receiving the updated payment.

    Post: Section 8 rent increase San Diego

    Sam K.Posted
    • Investor
    • San Diego
    • Posts 15
    • Votes 11

    Thank you all for the responses, I initiated the process and will keep this thread updated of the outcome, so the knowledge is shared. 

    Post: Section 8 rent increase San Diego

    Sam K.Posted
    • Investor
    • San Diego
    • Posts 15
    • Votes 11
    1. I recently purchased a duplex, one unit is Section 8 and has the same tenant for the last 15 years is what the selling agent told me. Its in the zip code 92117. Outdated 1b/1b.
    1. The contract submitted to city SDHC is $1350 per month as rent by previous owner.
    2. The last contract signed with tenants in 2018 is $1450 per month (but SDHC does not have it). This was done by previous owner. Possibly because the son moved in to take care of mom (~82 years old), Only the mom is on the lease. I do not want to disrupt their living situation since the tenant (mother is very old and has health issues). Its a month to month and still under the previous owner. I haven't created the lease under my name. I will pretty soon. 
    3. I want to increase the rent to between $1595 up to $1650, which seems to fair value for this zip code IMO. Owner pays water.
    4. There is no security deposit on file, I want to collect one months rent as security deposit too.

    Question: Is there a limit by what % I can increase the rent? Should I bump the rent first, get that sorted and then create a new lease? or the both together? Since once I create a new lease the minimum term is 6 months and I can't change the rent once lease is in place. Any other things that I need to be careful about?

    Originally posted by @Dan H.:

    The rent control law from 2019 provided statements to provide the tenant indicating unit was rent controlled and statement to provide tenant that maintains the right to move family into the unit.   You need to find out if the tenant was provided the notification to have family move into unit.

    If this notification was provided then there is no potential issue.  Give the 2 months notice due to tenant being there more than a year and move in.

    If the notification was not provided the implication seems to be that the tenant can stay indefinitely, but the wording is not crystal clear to me.  In particular, it never states explicitly in the absence of this notification that the LL gives up the right to move themselves or the identified family into the unit at end of lease.  

    Here is a section of interest:

    For leases entered into on or after July 1, 2020, clause (i) shall apply only if the tenant agrees, in writing, to the termination, or if a provision of the lease allows the owner to terminate the lease if the owner, or their spouse, domestic partner, children, grandchildren, parents, or grandparents, unilaterally decides to occupy the residential real property. Addition of a provision allowing the owner to terminate the lease as described in this clause to a new or renewed rental agreement or fixed-term lease constitutes a similar provision for the purposes of subparagraph (E) of paragraph (1).

    Note it explicitly states “if a provision of the lease allows owner to terminate the lease if the owner ...”.   It does not explicitly state, but seems to imply, that without such notification the owner does not have right to move in. 

    Here is the rent rent control law: https://leginfo.legislature.ca...

    If the notice was not provided and you want to move in, I would provide the 2 month’s notice due to the law not being crystal clear.  Realize if the tenant fights the lease termination, you could be out of luck. 

    It is important for LL to know the laws.   This notice is something that would be easy to have provided the tenant.

    Good luck



    Thanks Dan, Being to able to read this detailed law gave me confidence.