How To Build an ADU in Denver
- John Matthews
- 44 minutes ago
- 3 min read
Learn how to build an ADU in Denver with key steps, permits, costs, and design tips to create a functional and valuable secondary living space.

Are you thinking about making your living space bigger? An ADU, or Accessory Dwelling Unit, is a small house on the same property as your main house. It can be either separate or attached, and it's great for guests, family, or rentals.
You can make more room, raise the value of your property, or earn money by renting out an ADU in Denver. You need to plan, design, and get the right permits to create one. It is best to hire a trustworthy local ADU builder to avoid any problems.
Understand the Rules and Permits in Denver
You should look into Denver's rules about zoning and building. The city has rules about where you can put an ADU, how big it can be, and how it should look. ADUs may exist in some areas. In some places, they might not even be allowed.
To get a permit, you have to send in design plans, pay the fees, and wait for city officials to approve them. Don't forget to hire experienced contractors to speed up the process and avoid mistakes that could cost an ocean of money.
Here are the basic rules for ADUs in Denver:
Minimum lot size required to obtain a permit.
Maximum area allowed per unit.
Height restrictions depending on the zoning district.
Required parking spaces (in some areas).
Setback rules from property lines.
Once you know your property qualifies for an ADU, the next step is planning the design and setting a budget.
ADU Design and Budget
There are several types of ADUs to consider. A garage conversion ADU is one of the most affordable options. You can turn an existing garage into a livable unit. A detached backyard unit gives you more privacy. An ADU above the garage utilizes vertical space wisely and conserves yard space.
Because costs vary depending on size, design, and construction, set your budget early to prevent surprises. Remember utility hookups and permits.
Main cost considerations include:
Design and architectural fees
Construction and materials
City permits and inspections
Utility hookups (water, sewer, electricity)
Landscaping or site prep
With good planning, you can match your design to your budget and build a great ADU.

Approximate ADU Costs in Denver, Colorado
Here are some typical ranges:
Garage conversion ADU: $100k - $180k (most affordable)
Detached backyard ADU: $250k - $400k+
ADU above garage: $300k - $450k+ (extra cost for structural work)
Design & plans: $5k - $20k
Permits & city fees: $5k - $15k
Site prep & utilities: $10k - $30k
Construction costs: $250 - $400 per sq. ft. in Denver
Save Money on Your ADU Build
It's not necessary to spend a fortune building an ADU. Examining prefab and modular options is a wise way to reduce expenses. These units typically take less time to build and cost less to install because they are manufactured in factories and delivered to your home.
Using durable, long-lasting materials can save money in the long run. Quality roofing, energy-efficient windows, and strong siding may cost more at first, but they reduce future repairs. Keeping your design simple and avoiding too many custom changes also helps cut costs.

Work With Professionals
Building an ADU is exciting and creative, but it also comes with many rules and details. As the owner, you are likely not very familiar with them. Unless you work in the construction industry. Employ skilled architects, contractors, and builders to create a sturdy, long-lasting ADU. They can manage your project from beginning to end and are familiar with Colorado's regulations.
You can choose a team that handles both design and construction. Another option is to work with a different contractor and architect. You have more design flexibility with separate specialists, but the full-service option is quicker and simpler.
Experts help you avoid costly errors, stress, and wasted time.
Conclusion
Consider the important details before beginning your ADU. The outcome will be influenced by your budget and design. Working with a professional is the best way to keep things easy and stress-free.
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