Proposed ADU Policy Would Expand Housing Options

adu

City of Lincoln leaders recently held a press conference outlining proposed changes to the Accessory Dwelling Unit (ADU) policy, part of a broader push to create more flexible housing options in established neighborhoods. The discussion focused on how ADUs — smaller, self-contained living units on the same lot as a primary residence — can help stretch housing supply without upending neighborhood character. They have increasingly been viewed as a practical way to increase housing supply, provide rental opportunities and allow homeowners to accommodate aging relatives or adult children.

The City’s proposal would update several ADU standards, including:

  • Lot Area Requirements: ADUs would be allowed on any lot that meets the minimum size for a single-family home, rather than requiring space for a two-family structure.

  • Setbacks: Attached ADUs would match the setbacks of the main home, while detached units could follow accessory-building setbacks if they are at least 60 feet behind the front lot line.

  • Accessory Floor Area: ADUs would no longer count toward total accessory floor area limits, meaning large garages would not prevent construction of an ADU.

  • Height Limits: ADUs would follow the zoning district’s height limit, removing the current restriction that prevents them from being taller than the primary home (though accessory-building height rules would still apply when located within setbacks).

  • Short-Term Rental Clarification: Properties could include either an ADU or a separate short-term rental in addition to the main home — but not both.

Planning and Development Services Director David Cary said the changes could dramatically expand the number of properties eligible for ADUs.

“Currently, only 24% of parcels in these residential districts can meet the lot size required by code to have an ADU. If the proposed code changes are approved, 80% of single-family parcels would meet the lot size requirement,” Cary said.

HBAL President Dan Loeck expressed the association’s support for efforts that expand housing choices while using existing infrastructure efficiently.

“When we facilitate more housing choices, we create community growth, support affordability and promote efficient use of infrastructure like streets and water,” Loeck said. “We look forward to helping make these types of homes a reality for more Lincolnites.”

The Planning Commission is expected to review the proposal in early March before it advances further in the public process. HBAL will continue to monitor the discussion and share updates with members as potential changes move forward.