As of today, the City of Colorado Springs has officially approved a major update to the Accessory Dwelling Unit (ADU) code — and it’s a huge win for homeowners, investors, and anyone passionate about more flexible housing solutions.
This is a game-changing step toward increasing housing options, building wealth, and meeting the real needs of our community.
Below, we’ll break down exactly what was approved, when it goes into effect, and what it means for you.
✅ What’s Changing with the New ADU Code?
The updates simplify and expand the ability for homeowners to build ADUs — also known as backyard homes, in-law suites, casitas, or secondary units.
Here’s what’s included in the new code (Effective June 30, 2025):
- ADUs now allowed by-right in all single-family zones
No more special use permit process — if your lot qualifies, you can build. - One ADU per lot (attached or detached)
Detached ADUs are especially popular for rental income or separate living spaces. - Increased size limits
- Maximum: 1,250 square feet
- Up to 50% of the gross floor area of the primary home
- Minimum 750 square feet guaranteed for all eligible lots
- Height limits introduced
- 16 feet max for standard detached ADUs
- 25 feet max if built above a detached garage
- No owner-occupancy requirement
- This rule was already removed previously — and it stays that way.
- New parking requirement
- You must provide 1 additional off-street parking space per ADU
- Architectural compatibility review now required
- Detached ADUs will undergo a design review by city planning to ensure they complement the main structure.
🏘️ Why This Matters for Homeowners
Whether you’re dreaming of a rental unit for extra income, a place for your parents to live nearby, or a flexible space for a growing family — these changes make it easier and more realistic than ever to build on your own property.
You can now:
- Generate passive income to offset your mortgage
- Create space for multi-generational living
- Add long-term property value
- Help address our community’s housing shortage in a meaningful way
📅 When Do the New Rules Take Effect?
The code updates are set to go into effect on June 30, 2025.
That gives you plenty of time to:
- Explore your property’s eligibility
- Decide which ADU design is right for your needs
- Get prepared for a smooth and timely permit process
🛠️ How We Can Help
At StreamHome Construction, we specialize in ADUs — from design and permitting to full build and finish. We’re also working on new tools to help you:
✅ Check if your lot qualifies
✅ Calculate your potential ROI
✅ Explore financing options
✅ Connect with the right real estate or lending partners
✅ Start the process with clarity and confidence
📞 Ready to Learn More?
We’re here to help you take advantage of this exciting opportunity.
➡️ Book a Free Consultation
➡️ Follow us on social media for upcoming workshops and updates
Let’s build something meaningful — for your family, your future, and our city.
Together, we can rethink what housing can be.
– The StreamHome Construction Team
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