DC Structures
Why ADUs Are Booming in Colorado
Colorado is quickly becoming one of the most desirable states for new home construction, fueled by a strong economy, expanding job markets, and a lifestyle that boasts city energy and outdoor adventure in equal parts. With rising housing costs, limited inventory, and growing demand for multiigenerational or rental-friendly housing, homeowners across the state are turning to Accessory Dwelling Units (ADUs) as a smart and flexible solution for compact living and added house value.
Prefab ADU kits simplify the process by shortening construction timelines, reducing on-site disruption, and ensuring compliance with Colorado’s evolving zoning and building codes. By partnering with DC Structures, you gain a trusted system engineered for Colorado’s climate and permitting standards, helping you create lasting value and additional living space with flexible options, clear project details, and end-to-end services that prioritize efficiency and practicality—including guidance on the best model, models, and layout for your property.
Our ADU Kits
Our prefab ADU kits offer a faster and more efficient way to build a backyard home in Colorado. Each kit is thoughtfully engineered to meet your unique local climate conditions, zoning regulations, and lifestyle preferences, ensuring a smooth building experience from start to finish with clear build details, flexible options, and supportive services.
With fully customizable models, you can personalize everything from the floor plan and exterior style to the interior finishes, creating a space that perfectly complements your property and the Colorado way of living, with every model offering a configurable layout designed for compact practicality.
Sitka
SitkaCrafted for backyard use, whether as a guest suite, artist studio, or creative workspace, our Sitka ADU Kit offers limitless flexibility within a compact framework.
Average Cost to Build an ADU in Colorado
Accessory dwelling unit costs in Colorado can vary significantly based on site conditions, lot size, materials, permitting fees, and local labor rates.
On average, detached backyard ADUs across the state range from $200,000 to $400,000 or more, depending on factors like location, design complexity, and finishes. In metro areas such as Denver and Boulder, costs often trend higher due to increased permitting and labor expenses, while smaller cities and mountain towns may see lower price points.
While total expenses vary, most homeowners can expect their overall accessory dwelling unit project cost to be about three to five times the price of their design and materials package. This flexible model lets Colorado homeowners tailor their ADU investment to fit their budget, property size, and long-term goals, with scalable options, transparent pricing details, and services that support your chosen model, preferred layout, overall efficiency, and everyday practicality for a modern backyard house.
Colorado ADUs
Permitting, Zoning & ADU Regulations in Colorado
Permitting and zoning regulations vary by state, and often by county or city. There are a few key Colorado-specific accessory dwelling unit rules that homeowners should know:
- Max Number of ADUs Per Lot: Most municipalities currently allow one ADU per residential property, and some, like Denver and Boulder, have updated zoning to simplify approvals.
Size Limits: Detached ADUs typically range up to 1,000 square feet, depending on zoning district and lot size.
Owner-Occupancy Requirements: Many cities, including Denver, have eliminated owner-occupancy rules to encourage more ADU development.
Permitting Process: ADU permits generally take 6–12 weeks, depending on jurisdiction and site complexity, though some municipalities offer fast-track review for prefab or pre-approved designs.
While these varying regulations can feel daunting, rest assured our kits are fully adaptable to the size and height restrictions of your unique situation, with flexible layout options, plan details, and services designed to help you select the right model for compliant, efficient, compact living.
ADU Incentives, Grants & Financing in Colorado
Several Colorado cities, including Denver and Boulder, offer fee waivers and simplified permitting to make accessory dwelling unit construction more accessible. Even where incentives are limited, our prefab ADU kits help cut costs and construction time, giving Colorado homeowners a faster, budget-friendly path to adding living space, improving house efficiency, and choosing practical options supported by clear details and hands-on services.
Best Cities & Counties to Build an ADU in Colorado
Certain Colorado cities and counties stand out for ADU construction thanks to supportive zoning, growing rental demand, and easier permitting:
Denver
High housing demand and updated zoning make ADUs easier to build citywide.
Boulder
Long-standing ADU-friendly policies and simplified approval processes encourage backyard housing growth.
Fort Collins
Active ADU pilot programs and a steady rental market make this area a smart investment for homeowners seeking compact living options and long-term practicality.
DC Structures
ADU Project Gallery
Our ADU projects showcase the versatility of prefab backyard homes. Whether in urban or rural settings, each design can be tailored to meet your property’s needs with flexible layout options, build details, and multiple models that support modern living and year-round efficiency.
How ADUs Can Boost Property Value in Colorado
In addition to expanding your living space and creating passive-income potential, an ADU can significantly boost your property’s resale value—especially in a competitive market like Colorado. As of 2025, the statewide median home value sits around $550,000, while homes in Denver and Boulder average closer to $700,000–$800,000. Real-estate analyses suggest that properties with ADUs can sell for 20–30% more than comparable homes without them.
With steady growth across the Front Range and mountain towns alike, adding a well-designed ADU is a functional and financial upgrade that can elevate both your house value and long-term earning potential—especially when you choose the right model, compare models, and lock in the best layout, finish details, options, and build services for maximum efficiency and compact practicality.
Start Your Colorado ADU Journey
Ready to bring your ADU vision to life in Colorado? Our team handles permitting, engineering, and delivery statewide, making it easy to build your prefab backyard home with confidence, with end-to-end services, clear project details, flexible options, and expert guidance on the best model and layout for your property’s practicality, efficiency, and compact living goals.