Gilbert previously required owner-occupancy as a condition of casita approval, but Arizona HB 2720 (ARS 9-461.18) preempts owner-occupancy requirements in cities over 75,000 population. Gilbert may no longer condition ADU permits on the owner residing on-site. HOA CC&Rs may still impose restrictions, subject to limits under ARS 33-1817.
Before January 1, 2025, Gilbert's Land Development Code required the property owner to live in either the main house or the casita as a condition of permit issuance. ARS 9-461.18 (HB 2720) preempts that requirement for cities with populations above 75,000. Gilbert has updated its procedures accordingly. Owners may now build ADUs on rental property, sell the property with ADU intact, and lease both units to separate tenants. HOAs in master-planned Gilbert communities (Power Ranch, Seville, Val Vista Lakes, Morrison Ranch) may attempt to impose owner-occupancy through CC&Rs, but ARS 33-1817 prohibits unreasonable HOA restrictions on lawfully created ADUs. The Attorney General's office may provide opinions where HOAs and state law conflict.
No municipal enforcement of owner-occupancy after January 1, 2025. HOA enforcement of CC&R owner-occupancy clauses may continue but is subject to challenge under ARS 33-1817. HOA fines for CC&R violations vary by community, typically $25-$250 per violation with continuing daily escalation.
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