As Accessory Dwelling Units (ADUs) gain traction across the country, Lakewood, Colorado, is poised to embrace this housing trend through proposed zoning changes. At Kennedy Custom Homes LLC, we’re excited about the opportunities these changes present for homeowners and investors looking to capitalize on the growing ADU market. With new zoning regulations in the works, Lakewood is making it easier to build ADUs, fostering affordable housing options while preserving the character of its neighborhoods. Let’s dive into what these changes mean and how Kennedy Custom Homes LLC can help you navigate this exciting opportunity.

The Rise of ADUs in Lakewood

ADUs, often referred to as granny flats, in-law suites, or backyard cottages, are secondary housing units on a single-family residential lot. These versatile structures can serve as rental units, guest houses, or homes for family members, offering flexibility and affordability in a tight housing market. With Lakewood’s proposed zoning updates, driven by state law HB24-1007, the city is adapting to allow more housing options, including ADUs, to meet growing demand.

The new zoning framework consolidates Lakewood’s eight residential zone districts into five, streamlining regulations and enabling the construction of duplexes, townhomes, and ADUs within specific size limits. For example, in Low-Form Residential zones (R-L-A, R-L-B, and R-L-C), homes are capped at 4,000 square feet for one or two units, with up to 5,000 square feet for three or more units. This shift removes restrictions on the number of units per lot, making it easier to add ADUs while ensuring new constructions align with the scale of existing homes, typically around 1,200-1,500 square feet.

Why Lakewood’s Zoning Changes Matter

Lakewood’s zoning updates are a proactive response to Colorado’s HB24-1007, which eliminates restrictions on the number of unrelated people living in a home. Without these updates, the city’s outdated zoning could allow massive 10,000-18,000-square-foot homes, potentially disrupting neighborhood character with large, multi-tenant structures. The proposed changes strike a balance by:

  • Protecting Neighborhood Character: Limiting home sizes to 4,000-5,000 square feet ensures new constructions, including ADUs, blend seamlessly with existing homes.

  • Promoting Affordable Housing: Allowing more units per lot encourages the development of ADUs, duplexes, and townhomes, creating housing options for teachers, firefighters, young families, and seniors.

  • Adapting to Market Demand: With housing costs rising, ADUs offer homeowners a way to generate rental income or accommodate multi-generational living, making homeownership more sustainable.

These changes align with Lakewood’s commitment to fostering a vibrant, inclusive community while addressing the housing shortage in a thoughtful way.

Why ADUs Are a Smart Investment

The ADU market is flourishing, and for good reason. For homeowners, ADUs provide a range of benefits that enhance both financial stability and lifestyle flexibility:

  • Additional Income: Renting out an ADU can generate steady passive income to offset mortgage payments, fund retirement, or cover rising living costs. In Lakewood’s competitive rental market, an ADU can provide a reliable revenue stream, making homeownership more affordable.

  • Flexible Living Options: ADUs are ideal for accommodating aging parents, adult children, or guests, allowing families to stay close while maintaining privacy. They offer a practical solution for multi-generational households or hosting visitors without sacrificing personal space.

  • Increased Property Value: Adding an ADU can significantly boost your property’s market value, especially in a high-demand housing market like Lakewood’s. An ADU enhances your home’s appeal to future buyers, positioning it as a versatile and desirable asset.

For investors, ADUs represent a low-risk, high-reward opportunity to meet the growing demand for affordable rentals. With Lakewood’s zoning changes removing barriers to ADU construction, investors can develop these units to cater to renters seeking cost-effective housing options. The ability to build multiple units on a single lot, such as duplexes or townhomes alongside ADUs, further maximizes investment potential. As housing costs continue to rise, ADUs offer a sustainable way to address the shortage of affordable rentals while generating strong returns. With Lakewood’s zoning updates making it easier to build ADUs, now is the perfect time to enter this thriving market and capitalize on its growth.

How Kennedy Custom Homes LLC Can Help

At Kennedy Custom Homes LLC, we specialize in designing and building high-quality, custom ADUs tailored to your needs and Lakewood’s updated zoning regulations. Whether you’re a homeowner looking to add a backyard cottage or an investor aiming to develop multi-unit properties, our team is here to guide you every step of the way. Here’s what we offer:

  • Expert Design: We create ADUs that maximize space, functionality, and aesthetic appeal while complying with Lakewood’s size and height restrictions.

  • Seamless Permitting: Our team is well-versed in Lakewood’s zoning codes and will handle the permitting process to ensure compliance with the new regulations.

  • Quality Construction: With years of experience, we deliver durable, energy-efficient ADUs that enhance your property’s value and appeal.

  • Market Insights: We’ll help you capitalize on the growing ADU market, whether you’re aiming to rent, sell, or house family members.

Seize the Opportunity with Kennedy Custom Homes LLC

Lakewood’s zoning changes are a game-changer for the ADU market, opening doors for homeowners and investors to create affordable, functional, and valuable housing options. These updates pave the way for innovative solutions to Colorado’s housing challenges, allowing you to transform your property into a multi-functional asset. Whether you envision a cozy backyard ADU for family members, a stylish rental unit to generate extra income, or a multi-unit development to diversify your investment portfolio, Kennedy Custom Homes LLC is your trusted partner in this evolving landscape.

Our team at Kennedy Custom Homes LLC is committed to delivering exceptional craftsmanship and personalized service. We understand the unique needs of Lakewood’s residents and the potential of the ADU market to reshape the community for the better. From initial consultation to final construction, we’ll work closely with you to design an ADU that aligns with your vision, budget, and the city’s zoning requirements. Our goal is to make the process seamless, from navigating permits to selecting sustainable materials that enhance energy efficiency and long-term value.

The demand for ADUs is only growing, driven by rising housing costs and the need for flexible living arrangements. By acting now, you can position yourself at the forefront of this trend, whether you’re a homeowner seeking financial flexibility or an investor looking to capitalize on Lakewood’s housing market. With our deep knowledge of local regulations and dedication to quality, Kennedy Custom Homes LLC is ready to help you unlock the full potential of your property.

Don’t miss out on this opportunity to enhance your home or investment portfolio with a custom-built ADU. Contact Kennedy Custom Homes LLC today to schedule a consultation and learn how we can guide you through Lakewood’s new zoning landscape. Together, we can build a brighter, more affordable, and sustainable future for our community, one ADU at a time.