NY State Plus One ADU Grant Program: How to Qualify for up to $125,000 in Funding
Adding living space to your home can be a great investment—whether you need a place for aging parents, a rental unit for extra income, or a private home office. For Long Island homeowners, New York State’s Plus One ADU Grant Program offers a rare opportunity: up to $125,000 in funding to help you build or convert an Accessory Dwelling Unit (ADU).
In this post, we’ll break down everything you need to know about the program: eligibility, covered costs, town availability, income limits, and how to get started.
What Is the Plus One ADU Grant Program?
The Plus One ADU Program is administered by the New York State Homes and Community Renewal (HCR). It’s designed to increase the housing supply by supporting the construction or conversion of Accessory Dwelling Units (ADUs) on owner-occupied properties.
ADUs are small, independent residential units that can be:
- Basement apartments
- Garage conversions
- Attached additions
- Detached backyard cottages or structures
The grant covers costs associated with constructing new ADUs or converting existing space.
How Much Funding Can You Get?
- Up to $125,000 in financial assistance
- The grant is not a loan, and does not require repayment if program terms are met
- Covers construction, permitting, architectural design, and other eligible expenses
Who Is Eligible?
1. Owner-Occupied Property
You must own and live in the home where the ADU will be built.
2. Location
Your home must be located in one of the participating municipalities. On Long Island, these include:
- Town of Brookhaven
- Town of Huntington
- Town of Islip
- Town of East Hampton
Check with your town’s local building department for current participation and zoning regulations.
3. Income Limits
Your household income must fall within the Area Median Income (AMI) limits based on family size. For example, a family of 4 in Suffolk County may need to earn less than $126,000/year to qualify (2025 limits). Income documentation is required during application.
What Expenses Are Covered?
- Architectural and design services
- Permits and inspection fees
- Construction and materials
- Site preparation or utility upgrades
- Accessibility features (e.g., ramps, grab bars)
- HVAC, plumbing, and electrical work
Note: Luxury upgrades like pools or outdoor kitchens are not covered.
What Are the Restrictions?
- You must not sell the property within a certain number of years (usually 5–10).
- The ADU must be rented at affordable rates or used for eligible family purposes.
- You must work with a contractor approved by the administering nonprofit agency.
Timeline for the Plus One ADU Grant
| Phase | Estimated Timeframe |
|---|---|
| Application Review | 1–3 months |
| Site Visit & Approval | 1–2 months |
| Construction Begins | Upon approval & contractor match |
| Completion Deadline | Typically within 12 months |
Why This Matters for Long Island Homeowners
- Home values are rising—ADUs increase equity
- Gain a flexible space for tenants, in-laws, or work
- Extra income can offset high costs or fund other improvements
- The state is offering free money—take advantage!
How Cascella & Sons Can Help
As a trusted home extension contractor on Long Island, Cascella & Sons can guide you from planning to permitting to building.
- Design ADUs that match your home
- Help with town permitting and grant paperwork
- Deliver quality, code-compliant construction
- Maximize your ROI and long-term value
Click here to schedule a free consultation »
Conclusion: Start Expanding Your Home Today
With up to $125,000 in funding available, the NY State Plus One ADU Grant Program is a smart move for homeowners looking to expand. Whether you're planning a rental unit, in-law suite, or home office, there's never been a better time to add value and space.