FAQ

1. Increased Property Value: Creating another legal parcel means you are creating a brand new real estate asset that didn’t exist before. The Lot Split generally increases your net property value by 25%. It is a reliable way to generate additional value, making it a highly attractive investment opportunity.
2. Increased development potential: Two homes are allowed on each property after the split (4 in total). You are not limited to a small ADU. You are allowed to build 4 full-sized homes (depending on your FAR, vacant space, etc.) Also, setbacks (side and rear) are reduced to 4 feet.
3. Flexibility: You will own two independent, legal properties. You can develop or sell them at different times, depending on your financial needs or you can hold the properties as a long-term investment (e.g. nest egg for retirement).
4. Financial Opportunities: With the additional development potential, you can benefit from passive rental income or generate cash by selling the newly created lot.
5. Access more cash: By creating another legal parcel, you can get a separate mortgage loan and construction loan. If you were to build without splitting, you would not be able to get these.

1. Increased Property Value: Creating another legal parcel means you are creating a brand new real estate asset that didn’t exist before. The Lot Split generally increases your net property value by 25%. It is a reliable way to generate additional value, making it a highly attractive investment opportunity.
2. Increased development potential: Two homes are allowed on each property after the split (4 in total). You are not limited to a small ADU. You are allowed to build 4 full-sized homes (depending on your FAR, vacant space, etc.) Also, setbacks (side and rear) are reduced to 4 feet.
3. Flexibility: You will own two independent, legal properties. You can develop or sell them at different times, depending on your financial needs or you can hold the properties as a long-term investment (e.g. nest egg for retirement).
4. Financial Opportunities: With the additional development potential, you can benefit from passive rental income or generate cash by selling the newly created lot.
5. Access more cash: By creating another legal parcel, you can get a separate mortgage loan and construction loan. If you were to build without splitting, you would not be able to get these.

Our firm takes care of the entire lot split process, from start to finish. We do all the leg work and all we will ask of you is a few signatures for the application docs.

PHASE 1: Tentative Parcel Map (TPM) Approval Process

• Complete eligibility assessment
• Prepare affidavit and city/county application documents
• Order and pay for title guarantee
• Prepare documentation to demonstrate eligibility (Proof of qualifications: wetlands, fire, zoning, fault zone, etc.)
• Determine jurisdiction TPM/FPM submittal requirements and fees
• Consult with client to get lot layout approved
• Prepare TPM; Submit application, documentation and TPM to planning department
• Pay city/county fees
• Complete project management, oversight and expediting (3-8 months, or until approved)
• Coordinate and pay for Biological assessment and report*
• Coordinate Wetland assessment and report*
• Review incompleteness items & re-submit as necessary
• Provide Clients with monthly status updates from beginning to end of project.

PHASE 2: Final Parcel Map (FPM) Approval Process

• Complete Topographic survey
• Complete Boundary survey
• Outline certificate sheet & order reference documents
• Prepare FPM and application
• Submit FPM to planning department
• Pay fees to the city/county
• Complete project management, oversight and expediting (3-6 months, or until approved)
• Obtain will serve letters from utility companies
• Prepare drainage plan and erosion control plan*
• Prepare improvement plan*
• Obtain tax clearance figures
• Pay tax collector fee
• Prepare easement agreements and legal descriptions*
• Order Parcel Map Guarantee
• Order mylar, get notarized client signatures, submit FPM for city/county signatures
• Prompt client to pay property taxes (based on tax assessor figures)
• Coordinate with title company to record parcel map
• Pay Title Guarantee Fee
• Pay Recording Fee
• Record final map with County

*When required

YES! Here are just a few testimonials from our happy clients: 

Nancy DeMarino:

We are very happy with our lot split.  It is a project that we wanted to do for a long time but didn’t know how to proceed.   Fortunately, we received a letter from Riechers Engineering offering this service.   So much work and so many details involved in a lot split, and your father and you handled everything perfectly, always professional and always available to answer our questions.   Really, I don’t have any suggestions on how anything could have been better — the entire experience was painless for us.

Jerry & Patty Kinder:

We enjoyed working with your firm. It was through a friend who also worked with Peter that we were introduced. When he came to our property to introduce us to the potential lot split, he took time to answer the questions we had. 

Throughout the time working with Peter, he was knowledgeable, professional, polite, and ready to answer our questions. Whenever we reached out with questions he made himself available quickly and efficiently. 

He knew how to work with the city and the experts needed to complete our lot split. When there were options of who he worked with, he chose quality individuals who knew how to get the job done with excellence. He guided the entire process including the city, the surveyor and others whom he hired on our behalf for the particular requirements, and he guided us as to our part. He is the one who made it all happen.

C.L.

We had the privilege of working with Peter Riechers of Richers Engineering on a lot split this past year. He was professional and polite from the first visit during which he expertly assessed the possibility of a lot split that would serve our goals. Then and in all subsequent dealings with him, he was efficient in his work and in answering our questions. He was friendly and he completed the lot split with speed, dealing quickly and appropriately with all city requirements. His knowledge was exceptionally apropos for the job at hand. We were grateful that this project was in excellent hands. 

Cynthia Mansur: 

It’s been great working with you and your team throughout this process, and we greatly appreciate your sending us a letter about the possibility of a lot, which we were unaware of, and your company’s expertise in handling all the complexities of a lot split.

Don Schreuder, Engineer and Homeowner: 

I enthusiastically recommend Riechers Engineering for any projects that involve knowledge of property law, interaction with multiple government agencies and several supporting consultants. They recently completed a lot split for our property under California’s new SB-9 legislation. This is a complicated process, and one I wouldn’t have wanted to try doing myself. They navigated the myriad regulatory and technical obstacles, completing the job on time and on budget.

Oscar de la Roche and Leslie Rygh:

Riechers Engineering handled our Urban Lot Split in Napa.  Peter Riechers and his associates communicated with the City of Napa to assure that each of the many technical and legal requirements were precisely met. We were kept abreast of the project’s progress and given clear explanations of the steps.  Our convenience was considered when documents were notarized and when the property was surveyed.  We very much appreciated Peter’s personally delivering the new parcel map.  Without hesitation, we recommend Riechers Engineering.

Ali Pourheidari:

My name is AL, I have lived in Lafayette CA and I wanted to Subdivide my property. I find out that Riechers Engineering company

Accept my project, pay for all the fees, expenses and grantees to Subdivide my property or I pay nothing  to them.

MY project is now approved, Finalized, recorded at contra costa county on August 14, 24. Now I have a new Parcel which I could  either sell or Build. I strongly recommend their offer to Subdivide your Property or you pay nothing.

Anand Bagga:

Thanks a bunch for completing Hacienda SB9 for us. I bet this adds another feature in Peter’s cap.

Appreciate all the guidance and advice during the journey.

It was great meeting Peter in -person at the Santa Clara County office.

Peter, we loved the passion, drive & easy to discuss anything attitude.

Feel free to use us for any client reference.

Merry Christmas & Happy Holidays !!

Cheers: Anand & Deepali

From start to finish (you will own two legal properties at the end), it takes us approximately 9-15 months. Our fee is due at the end of the process. 

Why does a lot split cost so much? It seems like a simple process I could do myself.

• • Complex Process: Lot splits require 1–1.5 years of specialized engineering, legal, and surveying expertise.
  • Proven Expertise: With 45 years in civil engineering and public works, we navigate challenges efficiently, avoiding common roadblocks that will stump those who are unfamiliar with SB9.
  • California’s Leading Experts: We’ve completed over 140 SB9 Lot Splits—more than any other firm—resulting in faster approvals and higher success rates.
  • Zero-Risk Guarantee: If we can’t get your project approved, you pay no final fee—even if we’ve already invested tens of thousands.
  • All-Inclusive Pricing: We cover city fees (which can be unlimited), surveys, title reports, and other costs, bundling these into our final fee. If we don’t succeed, you owe nothing.

• • Complex Process: Lot splits require 1–1.5 years of specialized engineering, legal, and surveying expertise.
  • Proven Expertise: With 45 years in civil engineering and public works, we navigate challenges efficiently, avoiding common roadblocks that will stump those who are unfamiliar with SB9.
  • California’s Leading Experts: We’ve completed over 140 SB9 Lot Splits—more than any other firm—resulting in faster approvals and higher success rates.
  • Zero-Risk Guarantee: If we can’t get your project approved, you pay no final fee—even if we’ve already invested tens of thousands.
  • All-Inclusive Pricing: For most projects, we will pay for your project hard costs including city fees, surveys, title reports, and other costs, bundling these into our final fee. If we don’t succeed, you do not have to pay the final fee.

We know that you’re busy, so we’ve created a comprehensive service where the Client involvement is very minimal. You do not need to prepare any documents for this project. If you already have a survey (Record of Survey) or recent Title Report, we can use these and offer you a discount. 

As a client, all you’ll need to do is: sign application documents, notarize the affidavit and approve the lot layout we draw for you. At the end of the project, you will sign the final parcel map, pay your upcoming property taxes, and pay the final fee to our firm. From start to finish, this process will only take 3 hours or less of your time in total.

Unlike most engineering firms, Riechers Engineering offers a guarantee on your project, as outlined below. We are committed to making your SB 9 lot split project seamless, predictable, and successful. Our Three Guarantees ensure you can move forward with confidence:

1. We Invest Capital In Your Project: We guarantee an investment of our firm’s capital into your project (typically 3X the amount of your initial deposit), in order to get your SB 9 project completed and approved. We’re in this together, and we are willing to invest our own capital in order to demonstrate our commitment. 
2. Fixed Cost, No Surprises: We guarantee a fixed total cost for your SB 9 project. If we go over budget, that’s on us—no hidden fees, no unexpected charges. You get a clear, upfront price for engineering, SB9 submissions, and compliance, so you can plan with certainty.
3. Results or No further payments: We guarantee results. If your SB 9 Lot Split isn’t approved, you pay nothing more. Our team navigates local regulations, SB9 compliance and a myriad of hurdles to secure approval. If we don’t deliver, you don’t owe us a dime beyond the initial deposit.

The lot split price varies project to project as well as by jurisdiction. Every jurisdiction has different requirements, application fees and planning department fees. Each project has a differing level of complexity and risk. Our lot split projects vary from $45,000-75,000, depending on city/county fees, requirements, risk and project complexity. 

We understand that this is a significant investment, and if you’re unable to pay outright, there are several options:

• Payment plan/ loan options (ask us about this option)
• Pre-sell your newly created parcel. A developer may be interested in paying for the lot split for you and giving you cash for your new property. (ask us about this option)
• Receive financial support for the lot split + development and do a profit share (ask us about this option)
• Get a line of credit or home equity loan in order to fund the Lot Split investment

To provide some perspective, SB-9 is a relatively new law and most engineering firms have completed very few if any successful SB-9 lot split projects. Riechers Engineering has been studying and specializing in SB-9 before the legislature was signed into law. We are California’s experts in SB9 lot splits. SB9 lot splits is our niche- we do not accept any other engineering work. We have more SB9 applications and approvals in the state than any other engineering firm. 

We have found that many local jurisdictions are quick to oppose SB-9 applications, interpreting the legislature to their advantage. Because of our detailed understanding of the SB-9 legislation, we are able to overturn denials which are based on incorrect interpretations of the law. Other engineering/architecture firms are mostly unaware of the common pitfalls that occur when working with this new law.  

Furthermore, we have not encountered another engineering firm that is willing to guarantee the SB9 lot split. If you hire another engineer to perform the lot split, you will most likely be paying all costs listed above out of pocket and will be taking the risk of getting approval for the lot split.  Remember that we do not charge you the final fee if we fail to get a parcel map approved. Because of our guarantees, we are incentivized to ensure your project is approved and completed as quickly as possible. 

The mortgage is not impacted by the lot split, nor is the lender notified (except for in two jurisdictions: City of Santa Clara and Santa Barbara County). 

Your lender will continue to hold a deed of trust over your entire property, in other words over both parcels. But since we are not diminishing the value of this underlying asset,  the lender will not be affected by the creation of the second parcel. They do not have to approve the lot split. It is only when you sell one of the parcels that you will have to renegotiate the loan and modify the deed of trust.  The lender will then evaluate if they still have an adequate ‘loan to value’ ratio on the parcel which they will hold the new deed of trust on.

The bare minimum is two 800 square foot units on the new lot (4 homes in total, on both lots), however in most cases you’ll be able to build significantly more than this. To figure out exactly how much you can build, I recommend reaching out to Felicia at City Structure. (felicia@citystructure.com – Please mention you were referred by Riechers Engineering) They perform extensive research to figure out exactly how much you can build after the SB9 lot split. Their SB-9 Development Analysis includes:

1. The maximum building area, the budget to develop and the new market value of the new lot if fully developed. This helps you understand the value of the land to figure out an advantageous asking price when negotiating with a buyer.
2. Estimated budget and income if the owner develops themselves so you can decide if it is worth for you to develop yourself.

If your ADU (accessory dwelling unit) is situated on the second, newly created parcel, as the only residence, it will become considered a primary dwelling (no longer an “accessory dwelling”). There is no issue in this and will not pose any added challenges. There is no additional permitting necessary.

However, if you have only a garage, barn or pool on the new parcel, without any primary residence, this will in most instances not be allowed by the city/county. There needs to be a primary dwelling for there to be accessory structures. This can be mitigated by a) demolishing the structure, b) adding very basic “dwelling” amenities, such as a toilet, hot plate and sink into an existing garage or c) constructing a primary residence on the new parcel. 

No, creating your two legal parcels does not require an architect.  If you choose to build on the new lot, that is when you would hire an architect. We will contact your utility companies and request “will serve letters” for your new parcel (ensuring that your new parcel will get utilities), however our company does not pay for the installation of new utility services. Our firm does not get directly involved with development of the new parcel (if you are interested in this, we have someone we can put you in touch with).

That is absolutely possible. It is an easy and simple process to re-merge the parcels. If you ever wanted to re-merge the parcels for some reason, our firm could help you with that.

Your lender will continue to hold a deed of trust over your entire property, in other words over both parcels. But since we are not diminishing value of this underlying asset, the lender will not be affected by the creation of the second parcel.  They do not have to approve the lot split.  They will not even be notified.  It is only when you sell one of the parcels that you will have to renegotiate the loan and modify the deed of trust.  The lender will then evaluate if they still have adequate ‘loan to value’ ratio on the parcel which they will hold the new deed of trust on.

No, creating your two legal parcels does not require an architect.  If you choose to build on the new lot, that is when you would hire an architect. We will contact your utility companies and request “can and will serve letters” for your new parcel, however our company does not pay for the installation of new utility services.

When you create a new parcel, the planning department will want you to have separate utilities for each parcel. However if one of your parcels is vacant, you will most likely not need to install the additional utilities until the future, when you apply for a building permit. 

When you’re ready to develop, your designer / architect will prepare a site plan showing the utility connections. Then during the time that you process your building permit application you would approach PG&E and request a new service connection. You would request the city water department for a new water connection and if you are on city sewer you would request a new sewer connection. The same goes for cable.

Ask your utility providers directly. 

The SB9 state law requires that you sign an affidavit stating that you intend for one of the two properties to be your primary residence for the next three years (after the lot split is complete). The affidavit simply states your current intention. Note: You can change your mind. You are not required to stay on the property. You also have the option to sell the second parcel the day we record the parcel map.

1. Being a rental property does not disqualify you from doing an SB9 Lot Split. But you will still need to get the affidavit signed (see #2)
2. In certain jurisdictions, tenants can sign as the applicant. But sometimes, they require the owner to be the applicant and renters are not allowed to sign the affidavit. In this case, there are several other options that we have encountered:
   • You can name the current renter or potential future owner as the potential occupant in your affidavit by including them as a member in your LLC.
   • You can work with the current renter and form a new LLC to be a co-member for SB9 split and affidavit ownership.
   • You can sell 1% interest of your property to someone who you’d want to live there (it could be your existing tenants), then they could sign the affidavit and you could proceed with the lot split. You could create an agreement so that after the lot split, you would regain full ownership of the property.
3. If there has been a tenant on the property in the last 3 years, you cannot demolish the home, according to SB9. (You could potentially demo the home before the lot split, depending on your local regulations)

There is none. With California’s new state law, SB-9, zoning requirements and minimum lot size no longer apply. There is no property too small to take advantage of SB-9. The only size requirement is when you do the lot split, the split of the property must be between 50/50 and 40/60. In other words, the smaller of the two lots must be at least 40% of the original property area.

No. There is no requirement for open space. Some of our projects are properties with two houses on the property – they want to split it so that each house is on its own parcel. Or you can split your parcel so that there’s a house on one parcel and vacant land on the other. 

That is not possible. The county/city won’t approve a lot split that creates an unbuildable parcel. 

One benefit of doing a Lot Split is that you get to significantly increase your property value without having to pay additional taxes based on increased property value. The reason for this is because the Lot Split alone does not trigger a re-assessment of property value. 

Property taxes consist of 3 components: land value (sq ft), improvements (essentially, the house), and the “per parcel tax” (mosquito district, drainage district, etc.)

When you do the lot split, your property (land) value tax will stay the same, but be split into two separate tax bills. Your improvement tax stays the same and will continue to be taxed on the parcel which has the house on it. The only property tax component that will change with the lot split is the “per parcel tax”. You will pay one extra “per parcel tax fee” (~$300 – $2,000 per year), which is minimal compared to the value you are creating. 

Your property value (affecting your property taxes) does not get re-evaluated until you decide to sell one of your parcels. Once you sell one of your parcels, your property taxes will actually decrease since you are reducing the amount of square footage that you own. 

Anytime that we apply for approval to the jurisdiction there is some risk of denial. We only take on projects that we believe will be successful. Since SB9 is a ministerial state law, the city will have a very hard time not approving the SB9 urban lot split application. That being said, even though this process is supposed to be ministerial and not involving discretionary decisions by the city, sometimes we get an official who wants to demonstrate their power and create unlawful rules. While we are guaranteeing that you will not pay anything for the process if we fail to get approval, we cannot guarantee the action of the city. The chance of approval is between 60-95%, depending on the property.

In our experience (doing SB9 Lot Splits for about 3 years and with 140 projects), we’ve found out that it takes a lot longer and is a costlier process than we initially anticipated. Most surveyors and civil engineers do not have many projects under their belt, to understand what the process requires. 

We recommend asking these questions of the provider who is offering you a low price: 

• How many projects have they successfully completed? 
• Do you still pay city fees, surveys, surveying costs, project management costs, even if they’re not successful? Who’s taking on the financial risk?
• What does that price include? Will they raise the price if it takes longer or costs more than they anticipate? (compare this with our Phase 1 & 2 scope of work listed above)

Typically, you can expect about a 25% net increase in the value of your property after the lot split (this is taking into account the cost of the lot split). If we do not get approval, you do not pay the final fee or reimburse us for project costs. If you want to get a more specific idea of what your new parcel will be worth, we recommend asking a local realtor to evaluate your property. 

SB 9 should not affect a property’s Prop 13 status, but it will reset when a lot is sold.

No, we have no fine print or hidden costs with our services.

The only other costs besides our guaranteed fee is an advancement of your property tax payment. The tax collector will require that you post any property taxes which have been assessed to your property but have not been collected yet. Depending on the time of year that we record the parcel map this could result in an entire tax year worth of prepayment of taxes. Note that this is not an additional tax but simply a prepayment and will get credited to you when those payments are typically due. 

Note that our lot split service does not include septic testing, soils testing (very rarely required) or development fees.

Two new APNs are issued, but it might take a couple of months to get them.

It depends:
If it’s a rental, you cannot demolish or alter the rental home during the lot split process. As soon as the map is recorded and Lot Split is complete, you will most likely be able to demolish, but you would want to double check with your planning department and there’s specific rules around rental properties.

If it is not a rental, and the city allows vacant parcels to be subdivided with SB9, you will be able to demolish as part of the SB-9 lot split, so long as you submit a building permit concurrently with the lot split. If you need help determining whether the jurisdiction allows for SB-9 on vacant parcels, we are happy to help you with this research.

You can submit building permits at the same time we are processing the lot split. Or you can wait until the lot split is finalized, then hire an architect to draw plans/submit permits. The order is up to you and whether or not you are in a rush.

No. Even if you sell the second property, only the property that is sold is reappraised. The current structure home will maintain the same tax basis, as long as the title remains in the same owner’s name.

If you have homes/units on both lots, you will need to construct separate utility lines (water, sewer) for each parcel. Occasionally, a development fee is required. You will be required to prepay property taxes (not additional, just paid ahead of time).

Coastal Commission permit- approval do you obtain this for us? This is part of the lot split approval process that we will oversee. Any fees regarding coastal permitting are Client’s responsibility.

Floor area ratio (FAR), height restrictions and zoning setbacks for your zoning designation. No matter what, you will be allowed to build at least two 800 SF units (Can be combined to create 1600 SF). However, most properties are able to accommodate larger development than this minimum.

You will be required to have one off street parking space. In terms of what specifically will be required, we will not know until the project is underway. Most likely a simple carport will suffice. However, if your property is within a half mile of a “high quality transit corridor” (public bus stop), you will not be required to have off street parking for the new parcel.

That is false. While it can be an indication of separate legal parcels, assessor’s parcel numbers are actually solely for tax purposes and do not indicate separate legal parcels. Further research is required to see if you actually have two properties. The two fastest ways to find out are to review the deed or to see if there’s a parcel map showing them as separate properties.