Key Requirements
Permit Type
By Right
Permit Authority
Building Inspector
Local Terminology
FALA
Max Size (sq ft)
900
Max Size (% of principal)
50%
Size Rule
Whichever is smaller
Attached Allowed
Yes
Detached Allowed
Yes
Internal Allowed
Yes
Parking Spaces Required
1
Transit Exemption
Yes
Short-Term Rental
Not addressed
Owner Occupancy Required
No
Design Review Required
Yes
Historic District Review
—
Energy Code
Stretch Code
HERS Rating Required
Yes
Max HERS Index (ADU)
52
Quick Summary
- Peabody uses the term "Family Accessory Living Area" (FALA) in its local zoning ordinance (Section 6.7), but state law now governs ADU rights.
- Under state law (effective February 2, 2025), ADUs up to 900 sq ft or 50% of the principal dwelling are allowed by right -- no special permit required, despite the local ordinance still referencing special permits.
- The local FALA ordinance imposed heavy restrictions (family-only occupancy, owner-occupancy, no detached units, 25% size cap, personal permits) -- most are now preempted by state law.
- Attached, detached, and internal ADUs are all permitted under state law, overriding Peabody's local prohibition on detached units.
- The local 1-bedroom limit may still apply but could be challenged as unreasonable.
Requirements at a Glance
| Requirement | Rule |
|---|---|
| Permit type | By right (building permit) under state law |
| Max size | 900 sq ft or 50% of principal dwelling, whichever is smaller (state law) |
| Local FALA size limit | 25% of principal dwelling (likely preempted as unreasonably restrictive) |
| Max bedrooms | 1 (local rule; may be challenged) |
| Attached allowed | Yes |
| Detached allowed | Yes (state law preempts local prohibition) |
| Internal allowed | Yes |
| Parking | Adequate off-street parking required (state max: 1 space; 0 near transit) |
| Owner occupancy | Not required (preempted by state law) |
| Family member restriction | Not enforceable (preempted by state law) |
| Short-term rental | Not addressed in source |
| No new curb cuts | Yes (local rule, likely enforceable) |
| Single-family appearance | Must not substantially change exterior character |
| Signage | Prohibited |
ADU Questions in Peabody
Can I build an ADU in Peabody, MA?
Yes. Accessory dwelling units are allowed by right in Peabody, MA, meaning you do not need a special permit or a zoning variance as long as the unit meets the town's dimensional rules. You still need a building permit from the Building Inspector. Peabody calls these "FALA."
How big can an ADU be in Peabody, MA?
Peabody limits an accessory dwelling unit to 900 square feet or 50% of the principal dwelling, whichever is smaller. State law protects ADUs up to 900 square feet on single-family lots, so a town cannot enforce a smaller cap on a protected-use ADU. The bylaw also caps the unit at 1 bedroom(s).
What types of ADU are allowed in Peabody, MA?
Peabody permits 3 forms of accessory dwelling unit: detached (a separate structure in the yard); attached (an addition to the house); internal (a conversion of existing space). Which one makes sense usually comes down to your lot, your septic or sewer situation, and whether you want the unit connected to the main house.
Does Peabody, MA require extra parking for an ADU?
Peabody's bylaw calls for 1 additional off-street parking space(s) for an ADU. Under state law, towns cannot require more than one space for a protected-use ADU, and no parking at all can be required within a half mile of transit.
Do I have to live on the property to rent out an ADU in Peabody, MA?
No. Peabody does not impose an owner-occupancy requirement, and state law bars towns from requiring it for protected-use ADUs. You can rent the unit without living on site.
What energy code applies to an ADU in Peabody, MA?
Peabody has adopted the Stretch Energy Code. That means a new ADU must hit a HERS rating of 52 or lower, which drives real decisions about insulation, air sealing, windows, and heating — typically an all-electric heat pump system. Budget for a HERS rater on the project from day one.
Based on Peabody’s bylaw as last verified 2026-02-25. Bylaws change at annual town meetings — confirm with the City of Peabody Building Department before you build.
