Garage Conversion Cost in Los Angeles – Updated for 2024

Aug 12, 2020 | Garage Conversions, ADU

📅 UPDATED: JANUARY 2024

The average cost of a garage conversion in Los Angeles ranges from $70,000 to $107,000 for a 2-car garage, depending on various factors such as design, permits, and materials. However, it’s essential to note that specific costs can vary based on your project’s unique requirements and the size of your garage. In this article, we’ll review the factors that influence garage conversion costs in Los Angeles to help you get a more accurate estimate for your project.

Most people are amazed at how much a garage conversion costs in Los Angeles. We come across articles all the time that get the wrong impression about the actual cost of a garage conversion ADU. We want to make this clear and in the next few articles starting with this one we will review the different types garage conversion costs in Los Angeles.

It’s tempting to look at average cost per square foot numbers online, if you do so make sure you are checking the proper cost, there are several reasons that garage conversion’s cost more per square foot than typical single-family homes.

And here are some of the reasons why:

  • Most permitting and design fees are fixed costs, which means you must pay them no matter the size of the garage conversion unit.
  • Garage conversion requires a bathroom and kitchen, which is ‘expensive’ square footage.
  • Since garage conversions are smaller, the cost per square foot is not offset by extra bedrooms, large living spaces, and hallways that you would find in larger homes. These spaces are considered ‘cheaper’ square footage and normally bring down the average cost.
  • Garage conversions require new utilities connections which adds to the cost of rough construction opposed to a room addition that doesn’t require it.
  • Just like a regular house, garage conversions require new foundations, plumbing, electric, heating and cooling, and a separate roof.
  • The larger the garage conversion unit, the cheaper your cost per square foot. Detached 1,200 square foot unit is likely to be cheaper per square foot than a 400 square foot unit.

Cost per square foot can vary significantly depending on the size and structural form of a garage conversion unit.

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Cost Of Developing an ADU From a 2-Car Garage Conversion

Garage conversion is one of the most affordable options of ADU development. If your budget is limited, keep the existing footprint of the garage and don’t add on to the garage.

2 car garages ranging in sizes from as little as 300 Sqf and all the way to 475 Sqf, smaller garages will be suitable as a studio ADU and the larger ones can be converted to a one-bedroom ADU

The associated ADU costs are:

  • Design, planning and permit expedite: $6,500 – $7,000
  • City fees will average* at: $5,000 – $6,000
  • Construction labor and material will average* at $200 per square foot, so based on 2 car garages sizes range the construction cost range is $60,000 – $95,000

Total average* cost of a 2-car garage conversion range is $70,000 – $107,000

When you compare this costs to 2020 numbers of $56,000 – $84,250, and to 2021/2022 costs of $62,000 – $95,000 you can clearly see a huge difference reflecting an average of 25% increase from 2020 to 2023.

Garage Conversion Costs In Los Angeles 2020 2023

Sounds like a lot of money, but let’s look at return on investment. The average value per square foot for a home in Los Angeles is $714 (in 2020 it was $523, and it 2021/2022 it was $635/Sqf) The total average* cost of ADU developed from the largest 2 car garage conversion is about $225 per square foot (in 2020 it was $177, and in 2021/2022 it was $200).

Can you see the added value? That value doesn’t even take into account the passive rental income that the unit will bring, smaller garage conversion ADU’s rents in LA on an average of $1,750 per month (in 2020 it was $1,500, and 2021/2022 it was $1,600).

Garage Conversion Rental Income In Los Angeles 2020-2023

*Average costs: project costs are dependent on city fees, project location, project size, existing garage condition of framing and foundation, proximity of utility connections and owner selection of finish materials such as; flooring, doors, windows, cabinetry, tile, stone, etc.…

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2-Car Garage Conversion Or A Ground Up New ADU Construction? Cost Compare

A 499 Sqf ADU is one of the most wanted ADU sizes mainly because it avoids school district fees, development impact fees and has basic planning requirements which makes it faster to approve compared to an ADU of 500 Sqf and above.

This size of an ADU can get you a 1 bedroom, 1 bathroom unit, and there are 2 main ways to develop this type of an ADU, converting an existing garage with an addition, and a new ground up unit either detached or attached.

Each option will provide same result, however one (garage conversion with addition) will carry a much lower price tag, let’s compare:

Garage conversion with addition
375 Sqf garage + 125 Sqf Addition
Ground Up
499 Sqf New Construction
Design, planning, and permit expedite$8,000$8,000
City fees$5,000 - $6,000$5,000 - $6,000
Construction, labor and material$31,250 - $37,500$124,750 - $149,700
Remodel / convert existing
labor and material
$75,000No
Total$119,250 - $126,500$137,750 - $163,700

All above costs are average*.

When calculating Construction New Labor and material it’s based on an average range of $250-$300/sqf.

When calculating Remodel/Convert Existing Labor and material it’s based on an average of $200 per square foot

*Average costs: project costs are dependent on city fees, project location, project size, existing garage condition of framing and foundation, proximity of utility connections and owner selection of finish materials such as; flooring, doors, windows, cabinetry, tile, stone, etc.…

Convert Your Garage To an ADU Today

If you are planning to convert your garage into an accessory dwelling unit (ADU) check out our guidebook on ADU development. And schedule a complimentary consultation with Levi Design Build.

Our team is dedicated to guiding you through every crucial phase of your garage conversion into an ADU. We are committed to addressing all your ADU-related questions and helping you understand the regulations relevant to your specific location. Together, we can assess the pros and cons of converting your garage into an ADU, and assist you in creating a customized ADU that meets your requirements and needs.

FAQs

  • Why do garage conversions in Los Angeles cost more per square foot than typical single-family homes?
    Garage conversions cost more per square foot due to fixed permitting and design fees, the inclusion of bathrooms and kitchens, smaller living spaces, the need for new utilities connections, and the requirement for new foundations, plumbing, electric, heating, cooling, and a separate roof.
  • What is the cost range for developing an ADU from a 2-car garage conversion?
    The cost range for developing an ADU from a 2-car garage conversion can vary but typically falls between $70,000 to $107,000. This cost includes design, planning, permits, city fees, and construction labor and materials.
  • What is the return on investment for a garage conversion ADU in Los Angeles?
    The return on investment is significant, with an average cost of around $225.00 per square foot for an ADU developed from a 2-car garage conversion. This value increases over time and doesn’t consider the passive rental income, which can be substantial in Los Angeles.
  • What are the options for developing a 499 Sqf ADU?
    You can develop a 499 Sqf ADU by either converting an existing garage with an addition or constructing a new ground-up unit, either detached or attached. Both options can provide a 1 bedroom, 1 bathroom unit, with varying cost implications.

BONUS: ADU Guidelines for Every City in Los Angeles