Berkeley vs San Jose: ADU Rules Compared

Side-by-side comparison of ADU zoning rules, costs, and rental potential. Updated 2026.

9/10Berkeley Score
vs 
8/10San Jose Score

Zoning & Size Limits

RequirementBerkeley, CASan Jose, CA
Allowed ZonesAny lot zoned to allow residential use with an existing or pAll residential zones (R-1, R-2, R-M, R-MH)
Max Size (Detached)1,200 sq ft outside the Hillside Overlay; 850 sq ft (studio/1-bedroom) or 1,000 sq ft (2+ bedrooms) within the Hillside Overlay1,200 sq ft
Max Size (Attached)Same limits as detached (1,200 sq ft outside Hillside Overlay); conversions of existing space have no size cap1,200 sq ft or 50% of primary dwelling
Max HeightDetached new construction: 25 ft (20 ft within Hil25 ft for detached
Parking RequiredNone required for ADUs or JADUs; displaced garage parking doNo parking required
Owner OccupancyNot required for ADUs. JADUs with separate sanitation faciliNot required

Setback Requirements

SetbackBerkeley, CASan Jose, CA
Rear Setback4 ft minimum4 ft
Side Setback4 ft minimum (interior or street side); architectural features may project 2 ft if 2 ft remains to the property line4 ft
Front SetbackADUs may be placed within the front setbackPer underlying zone

Permits & Timeline

DetailBerkeley, CASan Jose, CA
Permit Timeline60-day ministerial review; deemed approved if the city fails to act within 60 days (SB 543, eff. Jan 1, 2026)60 days
Permit Fees$250 zoning plan check + $500 neighbor noticing fee at submittal + $250 address assignment; building permit fees based on project valuation (city fee estimator tool available)$4,000-$14,000
Impact FeesLand Use Planning assesses no impact fees. Berkeley Unified Waived for units under 750 sq ft
Pre-Approved PlansYes — the city points applicants to pre-approved ALimited pre-approved options available

Construction Costs

CostBerkeley, CASan Jose, CA
Avg Build Cost$250,000-$500,000$180,000-$400,000
Cost Per Sq Ft$400-$700$250-$450
Garage Conversion$120,000-$250,000$100,000-$220,000
Prefab ADU$250,000-$320,000$130,000-$300,000

Rental Income Potential

RentalBerkeley, CASan Jose, CA
1BR Avg Rent$2,300-$2,900/mo$2,000-$2,800/mo
2BR Avg Rent$3,000-$3,900/mo$2,500-$3,500/mo
Short-Term RentalsNo — recorded deed restriction prohibits short-term rental oRestricted; requires transient occupancy tax registration
Est. ROI4-7% annual return5-9% annual return

Which City Is Better for ADUs?

Berkeley scores 9/10 while San Jose scores 8/10 on our ADU-friendliness index. Berkeley edges ahead overall. Both cities offer viable ADU development opportunities — the best choice depends on your specific property, budget, and goals.

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