Greenwood, IN Accessory Structures: ADU Owner Occupancy (2026)

Section 10-03-13(A)(1) sets the standards that apply to every accessory dwelling unit built in Greenwood, and subsection (c) is the owner-occupancy clause: "The property owner must permanently reside in either the principal unit or the accessory unit." That single sentence means an owner can rent out the ADU while living in the main house, or move into the ADU and rent the main house, but cannot lease both units to non-owner tenants and live elsewhere; the ADU is meant to add housing tied to an owner-occupied lot, not to create a stand-alone rental property.

This sits alongside the other ADU standards in the same subsection, including the one-ADU-per-lot cap, the 30%-of-floor-area or 800-square-foot size limit for a detached unit, and the requirement that all utilities serving the ADU run underground. The Unified Development Ordinance places the permit review and compliance check with Community Development Services, Planning Division for the City of Greenwood, Indiana, and an ADU's continued legality depends on the owner-occupancy condition being maintained, not just met at the time of permitting.