New York City is offering homeowners up to $395,000 to build accessory dwelling units on their property through the Plus One ADU Program.
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Daily Tesla News is your daily dose of NYC real estate news that actually matters. Covering Staten Island and Brooklyn markets, policy changes, and homeowner tips.
Brought to you by Joseph Ranola, 70+ 5-star Google reviewed real estate agent covering Staten Island and Brooklyn.
What Staten Island Homeowners Need to Know About the Plus One ADU Program
In today’s Daily Tesla News, Joseph covers one of the most significant housing policy changes to hit New York City in years: the Plus One ADU Program, which gives eligible 1-3 family homeowners up to $395,000 in forgivable loans to design, permit, and build an accessory dwelling unit (ADU) on their property. For Staten Island homeowners sitting on underutilized garage space, basements, or backyard square footage, this is a potentially life-changing opportunity.
What Is an ADU?
An accessory dwelling unit (ADU) is a secondary living space added to an existing property — think a converted basement apartment, a studio above a garage, or a small standalone unit in the backyard. ADUs have been legal in many parts of New York City for years, but the cost of building one — typically $100,000–$400,000 — put them out of reach for most homeowners. The Plus One ADU program changes that equation dramatically.
How the Forgivable Loan Works
The program provides a forgivable loan of up to $395,000 to cover design, permitting, and construction costs. The loan is forgiven — meaning you don’t repay it — if you rent the ADU to income-qualified tenants for 10 years at below-market affordable rents. If you sell or stop renting before the 10 years are up, a prorated portion of the loan becomes repayable.
The Income Potential
Even at below-market rents, a properly built 1-bedroom ADU in Staten Island can generate $1,500–$1,900 per month in rental income. Over 10 years, that’s $180,000–$228,000 in gross rental income — on top of a free construction loan. Use our ADU Income Calculator to see exactly what your property could generate.
Is Your Property Eligible?
Eligible properties must be 1–3 family homes in NYC, owner-occupied, and located in a qualifying area. Staten Island is included in the program. The homeowner must meet income requirements and be willing to rent to income-qualified tenants. Ready to explore whether your property qualifies? Talk to Joseph about your ADU options.
