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Best Practices At-a-Glance

The examples below highlight specific elements of various ADU programs and development codes. Inclusion of a jurisdiction does not imply DOLA’s endorsement or approval of its entire ADU program or code, nor should it be interpreted as a comprehensive review of the jurisdiction’s compliance with the requirements of HB24-1152 (C.R.S. § 29-35-402 through 405). For more comprehensive program models and ideas, please refer to the ADU Case Studies.

State of Colorado

Jurisdiction: Boulder

ADU Goal Supported: Making ADUs Affordable

  • Relevant Strategy: Incentivizing Affordable ADU Rentals
  • Policy/Program: Affordable ADU Program
    Allows homeowners to build a larger ADU if they commit to rents that do not exceed 75 percent of the area median income.
  • Resource Links: 

ADU Goal Supported: Supporting Homeowners to Build ADUs

  • Relevant Strategy: ADU Technical Assistance for Homeowners
  • Policy/Program: ADU Webpage
    Includes helpful information for property owners interested in ADUs. Their ADU Guide webpage provides a helpful step-by-step overview of learning the rules for your property and for the application and review process.
  • Resource Links: 

Jurisdiction: Centennial

ADU Goal Supported: Supporting Homeowners to Build ADUs

  • Relevant Strategy: ADU Technical Assistance for Homeowners
  • Policy/Program: ADU Checklist and Guide
    Provides a detailed checklist and guide for the application process.
  • Resource Links: 

Jurisdiction: Crested Butte

ADU Goal Supported: Making ADUs Affordable

  • Relevant Strategy: Waiving or Reducing ADU-related Fees for Low- and Moderate-Income Households
  • Policy/Program: ADU Fee Reduction for Deed-Restricted Units
    Funds 2/3 of the cost of water and sewer tap fees for any deed-restricted ADUs. 
  • Resource Links: 

Jurisdiction: Denver

ADU Goal Supported: Additional Opportunities to Amend ADU Codes and Increase Development

  • Relevant Strategy: Allowing Multiple ADUs on the Same Lot
  • Policy/Program: Multiple ADUs on the Same Lot
    Allows more than one ADU per lot.
  • Resource Links: 

Jurisdiction: Durango

ADU Goal Supported: Additional Opportunities to Amend ADU Codes and Increase Development

  • Relevant Strategy: Updating Design and Dimensional Standards
  • Policy/Program: Side and Rear Setbacks 
  • Allows smaller setbacks for some ADUs, especially rear setbacks.
  • Resource Links: 

ADU Goal Supported: Making ADUs Affordable

  • Relevant Strategy: Incentivizing Affordable ADU Rentals
  • Policy/Program: ADUs for Locals Program
    Financial incentives for property owners who construct an ADU and commit to renting it to a member of the local workforce.
  • Resource Links: 

Jurisdiction: Eagle County

ADU Goal Supported: Making ADUs Affordable

  • Relevant Strategy: Incentivizing Affordable ADU Rentals
  • Policy/Program: Aid for ADU
    Provides existing property owners with a low cost loan for the construction or conversion of existing space to an ADU on the owner’s property, where permitted.
  • Resource Links: 

Jurisdiction: Englewood

ADU Goal Supported: Additional Opportunities to Amend ADU Codes and Increase Development

Jurisdiction: Erie

ADU Goal Supported: Making ADUs Affordable

  • Relevant Strategy: Special Opportunity: Waiving or Reducing ADU-Related Fees for All Applicants
  • Policy/Program: ADU Impact Fee Waiver
    New ADUs not subject to impact fees.
  • Resource Links: 

Jurisdiction: Fort Collins

ADU Goal Supported: Additional Opportunities to Amend ADU Codes and Increase Development

  • Relevant Strategy: Further Waiving Parking Requirements
  • Policy/Program: Further Waiving Parking Requirements
    Waives additional parking with some exceptions.
  • Resource Links: 

ADU Goal Supported: Supporting Homeowners to Build ADUs

  • Relevant Strategy: ADU Technical Assistance for Homeowners
  • Policy/Program: Development Review Webpage
    Provides a detailed overview of what various departments and agencies might review in an ADU project application.
  • Resource Links: 

Jurisdiction: Fraser

ADU Goal Supported: Making ADUs Affordable

  • Relevant Strategy: Special Opportunity: Waiving or Reducing ADU-Related Fees for All Applicants
  • Policy/Program: ADU Fee Reductions
    Reduces Plant Investment Fee (PIF) and service fees during construction.
  • Resource Links: 

Jurisdiction: Glenwood Springs

ADU Goal Supported: Additional Opportunities to Amend ADU Codes and Increase Development

  • Relevant Strategy: Updating Design and Dimensional Standards
  • Policy/Program: Height
    Allows ADUs to be the same height as the primary home, including two-story ADUs.
  • Resource Links: 

Jurisdiction: Golden

ADU Goal Supported: Amending ADU Codes to Increase Development

  • Relevant Strategy: Encouraging Factory-Built ADUs
  • Policy/Program: Factory-Built ADUs
    Allowed as ADUs if they meet the definition of a manufactured home.
  • Resource Links: 

Jurisdiction: Grand Junction

ADU Goal Supported: Making ADUs Affordable

  • Relevant Strategy: Waiving or Reducing ADU-related Fees for Low- and Moderate-Income Households
  • Policy/Program: ADU Fee Waivers for Low- and Mod-Income Households
    Offers fee waivers and incentives up to $15,000 if the owner agrees to not use the ADU for short term rentals for seven years. Extra incentive if they are <140% AMI.
  • Resource Links: 

ADU Goal Supported: Supporting Homeowners to Build ADUs

  • Relevant Strategy: ADU Technical Assistance for Homeowners
  • Policy/Program: ADU Production Program
    Offers many helpful and bilingual English/Spanish resources, including an ADU Toolkit and cost estimator. As part of their program, the property owner agrees to not use the ADU for short term rentals for seven years.
  • Resource Links: 

ADU Goal Supported: Supporting Homeowners to Build ADUs

ADU Goal Supported: Connecting ADUs to Local Housing Goals

  • Relevant Strategy: Regulating the Use of ADUs for Short-Term Rentals
  • Policy/Program: ADU Production Program
    Property owners agree to not use the ADU for short term rentals for seven years to participate in the Program.
  • Resource Links: 

ADU Goal Supported: Additional Opportunities to Amend ADU Codes and Increase Development

  • Relevant Strategy: Allowing Multiple ADUs on the Same Lot
  • Policy/Program: Multiple ADUs on the Same Lot
    Allows more than one ADU per lot.
  • Resource Links: 

Jurisdiction: Gunnison County

ADU Goal Supported: Making ADUs Affordable

  • Relevant Strategy: Incentivizing Affordable ADU Rentals
  • Policy/Program: Housing Matters Program
    Encourages STR owners to convert their property into long term rentals (LTRs) for local employees.
  • Resource Links: 

Jurisdiction: Jefferson County

ADU Goal Supported: Supporting Homeowners to Build ADUs

  • Relevant Strategy: ADU Technical Assistance for Homeowners
  • Policy/Program: ADU FAQs
    Provides extensive FAQs online and as a one-page handout with key details about building an ADU.
  • Resource Links: 

Jurisdiction: Longmont

ADU Goal Supported: Connecting ADUs to Local Housing Goals

  • Relevant Strategy: Regulating the Use of ADUs for Short-Term Rentals
  • Policy/Program: Short-Term Rental Regulation
    ADUs are not permitted as STRs except in Planned Unit Developments like Prospect and Riverside at Mill Village, with site plan allowing for such use.
  • Resource Links: 

Jurisdiction: Montrose

ADU Goal Supported: Making ADUs Affordable

  • Relevant Strategy: Special Opportunity: Waiving or Reducing ADU-Related Fees for All Applicants
  • Policy/Program: Utility Connection Fee Discount
    Offers a discounted utility connection fee for ADUs at just $300, providing a savings of approximately $6,800 compared to the standard water and sewer tap and investment charges.
  • Resource Links: 

Multiple Jurisdictions: Colorado Springs, Grand Lake, Salida, Sheridan, Telluride

ADU Goal Supported: Additional Opportunities to Amend ADU Codes and Increase Development

Multiple Jurisdictions: Lakewood, Littleton

ADU Goal Supported: Additional Opportunities to Amend ADU Codes and Increase Development

Jurisdiction: Sheridan

ADU Goal Supported: Connecting ADUs to Local Housing Goals

  • Relevant Strategy: Regulating the Use of ADUs for Short-Term Rentals
  • Policy/Program: Short-Term Rental Regulation
    Allows properties to be granted one ADU STR license, in accordance with the City’s home-based business regulations.
  • Resource Links: 

Jurisdiction: State of Colorado

ADU Goal Supported: Connecting ADUs to Local Housing Goals

  • Relevant Strategy: Incentivizing Climate-Resilient ADUs
  • Policy/Program: Wildfire Resilient Homes Grant Program
    Provided owners with grants to retrofit their properties and enhance wildfire resilience, including ADUs.
  • Resource Links: 

Jurisdiction: Summit County

ADU Goal Supported: Streamlining ADU Review and Approval

  • Relevant Strategy: Providing Pre-Approved ADU Plans
  • Policy/Program: Free Stock ADU Plans
    Provides stock ADU plans, which are available to Summit County homeowners at no cost.
  • Resource Links: 

ADU Goal Supported: Making ADUs Affordable

  • Relevant Strategy: Incentivizing Affordable ADU Rentals
  • Policy/Program: ADU Assistance Program
    Reimburses owner up to 25% of construction costs to bring ADU into compliance, if agree to workforce housing covenant and rental cap.
  • Resource Links: 

ADU Goal Supported: Supporting Homeowners to Build ADUs

  • Relevant Strategy: Supporting Homeowners to Bring Pre-existing ADUs into Compliance
  • Policy/Program: ADU Assistance Program
    Reimburses owner up to 25% of construction costs to bring ADU into compliance, if agree to workforce housing covenant and rental cap.
  • Resource Links: 

Jurisdiction: Superior

ADU Goal Supported: Amending ADU Codes to Increase Development

  • Relevant Strategy: Encouraging Factory-Built ADUs
  • Policy/Program: Factory-Built ADUs
    Prohibits mobile homes for use as an ADU, but allows manufactured homes to be used.
  • Resource Links: 

Jurisdiction: West Denver Renaissance Collaborative (Denver Housing Authority)

ADU Goal Supported: Streamlining ADU Review and Approval

  • Relevant Strategy: Providing Pre-Approved ADU Plans
  • Policy/Program: WDSF+ ADU Pilot Program
    Provides pre-approved ADU plans, allowing a homeowner to use an existing structural design that has been pre-reviewed for code compliance. Additionally, they share stories of ADU owners on their website, highlighting the benefits ADUs provide.
  • Resource Links: 

ADU Goal Supported: Additional Opportunities to Support Homeowners

ADU Goal Supported: Connecting ADUs to Local Housing Goals

Jurisdiction: Wheat Ridge

ADU Goal Supported: Supporting Homeowners to Build ADUs

  • Relevant Strategy: Supporting Homeowners to Bring Pre-existing ADUs into Compliance
  • Policy/Program: Existing ADU Program
    Property owners can seek legal status for their existing, unpermitted ADUs through the Existing ADU Program.
  • Resource Links: 

ADU Goal Supported: Connecting ADUs to Local Housing Goals

  • Relevant Strategy: Regulating the Use of ADUs for Short-Term Rentals
  • Policy/Program: Short-Term Rental Regulation
    ADUs cannot be used as "whole home" STRs but may be operated as "partial home" STRs, as long as the property owner lives onsite.
  • Resource Links: 

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