Can You Build an ADU in Denver?
Yes — Denver is governed by Colorado's statewide ADU law, which limits what the city can restrict. A 700 sq ft detached ADU here runs about $170,000–$278,000.
Construction in Denver runs about 5% above the Colorado average, so budget toward the higher end of these ranges.
Detached ADU (700 sq ft)
$170,000–$278,000
Garage conversion (400 sq ft)
$53,000–$97,000
Statewide protection
Yes
What applies in Denver
Colorado's statewide standard (Colorado HB24-1152 (2024)) is the starting point, but parcel-level rules, fees and design review are set locally. Confirm those details with Denver before design.
Estimate your Denver ADU cost
Your property
ADU typeEstimated cost in Colorado
$170,000 – $278,000
≈ $243–$397/sq ft turnkey · midpoint $224,000
- $152,300
- Construction
- $40,300
- Design & permits
- $31,400
- Site work
- iSize set locally. This state leaves ADU size limits to your city — typical caps run 600–1,200 sq ft. Check your local code.
- ✓No extra parking likely required. Set by local ordinance — commonly 1 space per ADU unless near transit.
- iOwner-occupancy varies. Owner-occupancy rules are set locally in this state.
- ✓Lot has room. A 700 sq ft ADU uses about 12% of your 6,000 sq ft lot — comfortably within typical coverage limits.
Rule basis: Colorado HB24-1152 (2024)
If you rent it out
$1,125–$1,825
est. rent/mo
7.9%
gross yield
13.6 yrs
payback
~$16,461/yr after a 7% vacancy allowance, before financing & maintenance.
Financed over 20 yrs at 7.5%, the build is about $1,805/mo — vs ~$1,475/mo in estimated rent.
Estimates are for planning only and are based on regional construction-cost indices and published statewide ADU statutes. Local ordinances, lot conditions and contractor pricing vary — always confirm with your city planning department and a licensed contractor.
Get matched with a vetted ADU builder in Denver
Tell us about your project and we'll introduce you to a builder who works in your area. Free, no obligation.
Other Colorado cities
Estimates are for planning only and are based on regional construction-cost indices and published statewide ADU statutes. Local ordinances, lot conditions and contractor pricing vary — always confirm with your city planning department and a licensed contractor.