The question: Can I build a guesthouse on my property, can usually be answered with a cautious yes.
This is especially true in the State of Colorado, known for its beautiful scenery, strong economy, and wonderful people. Who wouldn’t want to add a guest house to have friends, loved ones, and our elderly stay in a separate space to live and enjoy?
So in this article, we’ll start off with a quick summary, but then we’ll get into answering this question more thoroughly for you.
With relevant permits and an adequate budget, you can build a guest house on your property in Colorado. Permits and regulations differ in various areas, from Denver, Fort Collins, and Colorado Springs. Types of dwellings and zoning are some factors that need to be covered.
Unfortunately, this doesn’t mean we can head over to Home Depot and immediately make this our summer DIY project.
There are a number of considerations and regulations in place to protect neighborhoods and to ensure that there are no issues that arise that we need to take into account.
We’ll focus on three example areas in Colorado, specifically Denver, Fort Collins, and Colorado Springs.
Like most US states, a guesthouse is considered to be an Accessory Detached Suites or Units, or ADUs / ADSs.
Denver: building a guest house on your property
This is one of the easier areas to handle the development of an ADU.
The first thing that needs to be done is to check the zoning requirements Denver Zoning Page, 2021 (this will be the case for all locations), there’s a helpful map here for this purpose.
If your property does not fall under the correct zoning, you can apply at the Denver city council with a filing fee of up to $1,000 to have them consider rezoning your property to allow it to fit an ADU.
Costs
Besides the filing fee, the cost in Denver is above average due to the desirability of guesthouses in the area. You need to use a licensed general contractor for the work.
Costs that can be the equivalent of building a new home – depending on the size of the guesthouse you want. So they can fall anywhere between $000,000 to $000.000 (please insert).
TIP: You can get a better idea of how much this is likely to be based on your initial ideas and plans, contact us here so we can guide you through this process and get you a more accurate understanding of your project cost.
Taxes
Your taxes will likely increase as you’re expanding the value of your property so keep this in mind too.
And also, be aware of any additional zoning permits that would be needed if you were to build a regular standalone home. Be sure to get the right help to ensure you have all these aspects covered.
Other factors to consider
- The property will need to obtain its own address
- Any utilities will need to be connected and be shared with the main house
- As the property owner will (in most cases) need to live in the main property as your primary residence
- If you consider selling, it would need to be sold as one single property
- The maximum number of stories in Denver is 1.5 stories. Found in Article 13 of Denver’s zoning laws
The trend of issuing permits is generally on the rise as homeowners are encouraged to expand homes to accommodate more people. Here’s a snapshot showing the increase of ADU permits by year in Denver.
ADU permits issued by year in Denver
Fort Collins: building a guest house on your property
If you’re in the Larimer County area, especially near Fort Collins, the rules are likely to be slightly tighter. It also depends on how the dwelling is going to be used.
The main challenge here is getting permission to build such a dwelling – based on the type of dwelling that you’re considering. Here’s a full list of coding and other information to get started. But to avoid the jargon, it’s easier just to contact us for more help on this.
Article 3.4. of the County’s Land Use Code provides a number of options for accessory dwellings aimed at covering the most common needs for homes to employ additional living space, here are the three main options…
Accessory living area
This is probably what most people are looking for. A way to build upon their existing property in Denver – a second mini home!
It must hold the same character as the original home, and cannot occupy more than 40% of the land …or 800 square feet, whichever is less.
You’ll need a public site plan review approval, a building permit, and a transportation capital expansion fee to pay. We can help with that.
Extended family dwelling
Ideal if you want to have your elder family members or those with disabilities closer to you and living within your property boundaries.
This goes through a simplified review process and can only be used as temporary living quarters for your families.
Farmstead accessory dwelling
Maybe you don’t even want people living in the guesthouse once it’s built. Perhaps you want to get into farming.
This is also possible, but will require an additional set of licensing as an owner/operator …on top of administrative approvals and permits necessary for an accessory living area.
Colorado Springs: building a guest house on your property
Here the rules are slightly different as well. It all depends on the zoning and the purpose of the property, similar to the rules we have seen throughout this article. Again let’s go over the main types when building a guest house in Colorado Springs.
Accessory family suite
As with other areas, building a guesthouse in Colorado Springs comes with its own set of regulations. Such as zoning, occupancy, and lot size, plus other factors. A guesthouse, or ADU, is primarily only allowed as an extension to the existing household.
It must be connected to the primary home, and only one family unit is allowed to live on the overall property.
To gain the right to build this extension will need a notarized and recorded affidavit from the family that is living there.
The maximum height allowed is the same as the primary dwelling. There is no subdivision allowed.
Integrated accessory dwelling unit (ADU)
This has a prerequisite depending on whether the initial zoning is for single or two+ family homes.
If it is for single-family homes, it’s possible, but requires a pre-application meeting request with the city council. If it’s a multi-family home then it is simply considered a duplex, and up to two families can live there, meaning you can charge rent if you so desire.
The maximum height allowed is the same as the primary dwelling. The only subdivision allowed is within a scenario that involves 2+ family homes.
Detached ADU
This is only permitted for two+ family homes, as there are spacing requirements needed to build the detached unit. This can be a freestanding unit on your property and requires very little to no other documentation.
No need for a notarized affidavit or anything additional beyond a standard building permit. If the house is to be detached, the maximum height is 25 feet. Subdivision is allowed as long as all other codes are met. This also doesn’t require any owner occupancy. For more information – you can check out detailed requirements here.
Here are some configuration examples for Detached Housing (Colorado Springs Government Website, 2020)
More help on building a guesthouse in Colorado…
Building a guest house is a great way of increasing the dwelling space in your property, as well as increasing the value and attractiveness of your property to potential buyers too. It can even earn you money too!
Yes, there are regulations to follow, but if you decide this is your way forward then we can assist with much of the groundwork and advice on how to proceed through the planning and building phases.
We have over 100 years of building experience, and ADUs is one of our specialty areas, so arrange to speak to one of our designers and project managers now, and we can guide you through the whole process.
Want to learn more? Contact us today to learn more about our Denver-area construction services, and follow our blog to see the latest tips and insights from our team of pros!