Estimate Teardown

    ADU Construction Bid Teardown: Line by Line, With the Red Flags

    A detached, ground-up 600 sq ft one-bedroom ADU in Los Angeles. The quote was $295,000 — about $492 per sq ft. Here's the breakdown.

    Quoted
    $295,000
    Fair range
    ~$240,000
    You'd overpay
    ~$55,000

    Representative, anonymized example built from common 2026 Southern California bid patterns — not a specific client's project. Ranges reflect current market pricing.

    The verdict

    At ~$492/sq ft this runs about 20% over the ~$400/sq ft norm for a standard SoCal ADU. Worse, the two lines most likely to blow up later — utility connections and contingency — are 'included' or missing entirely.

    The bid, line by line

    Line itemQuotedFairFlag
    Plans, structural engineering & permits
    Design + structural + city fees for a standard ADU. High end — ask what's design fee vs. city pass-through.
    $28,000$15,000–$22,000 Check it
    Site work & foundation
    Reasonable for a slab on a typical lot. Confirm no major grading or soils issues are excluded.
    $42,000$30,000–$40,000 Check it
    Framing & exterior shell
    In range for framing, roof, windows, and siding on a 600 sq ft unit.
    $68,000$55,000–$70,000 Fair
    Plumbing (rough + finish)
    Slightly high. Ask how much is the connection to the main vs. in-unit plumbing.
    $26,000$18,000–$24,000 Check it
    Electrical + panel
    A panel or service upgrade is often needed — confirm whether it's included here or will be a change order.
    $24,000$16,000–$22,000 Check it
    HVAC (mini-split)
    A single mini-split for 600 sq ft is typically $8,000–$12,000 installed.
    $14,000$8,000–$12,000 Check it
    Kitchen + bath finishes
    Should be allowance-based so you control finish levels. Ask for the allowance amounts.
    $33,000$22,000–$30,000 Check it
    Utility connections (sewer/water tie-in)
    Utility connections are the #1 ADU cost surprise and vary wildly by lot. 'Included' with no scope is a major risk — get the assumed trench distance and method in writing.
    "included"$8,000–$20,000+ Red flag
    General conditions / overhead & profit
    Ground-up construction with no stated O&P means it's hidden in the line items — impossible to compare against other bids.
    not listed15–20% Red flag
    Contingency
    Building from the ground up without a contingency line is unrealistic and guarantees change orders.
    none~10% on ground-up Red flag

    The red flags, summarized

    • $492/sq ft — about 20% over the ~$400/sq ft norm for a standard ADU.
    • Utility connections 'included' with no scope — the single biggest hidden ADU cost.
    • No general-conditions or overhead-and-profit line.
    • No contingency on a ground-up build.
    • Finishes quoted as fixed lines rather than allowances.

    What to do before you sign

    1. Get the utility-connection assumptions (distance, method) in writing as a line item.
    2. Require explicit overhead & profit and contingency lines.
    3. Compare the $/sq ft against the county ADU cost page before you sign.
    4. Make all finishes allowance-based so you control the level.

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