Investor · Albuquerque, NM · Member since 2014 · 160 posts · 35 votes
I have a friend looking to purchase a home in Denver and they heard they can add a garage to the property with a loft attached. According to the realtor, the laws recently changed to allow the expansion.
1.) Can anyone verify this change?
2.) Any guesses at a cost range would you be looking at to build a single garage with a loft above to rent out? Has anyone done this? What was your experience?
Professional · Denver, CO · Member since 2015 · 3 posts · 6 votes
10y
Hey Matt,
Thanks for the ping on this, yes our Design-Build company specializes in these type of Urban Infill projects. Given the need for additional housing and lack of land in Denver ADU's are a great solutions for additional rental income, multi-generation living or home office. We've received a number of request for these type of projects this year and are currently working through several custom designs. In 2016 we hope to release an ADU home series with a set price and turnkey solution. At this point though if you have a specific project in mind I would be glad to have a chat and can review your project zoning requirements, design process, construction cost, rental rates, etc.. just ping me.
In terms of cost numbers I think @Bill S. is pretty close and correct in that each project is a bit different. Zoning Codes allowing ADU's are U-SU-A1, U-SU-A2*,U-TU-B, U-SU-B2*,U-TU-B2, U-SU-B1,U-TU-C, U-SU-C2*, U-SU-C1, U-RH-2.5, U-SU-E, U-SU-H1, U-RH-3A, U-RH-3A. The bulk plane, allowable square footage, and massing is a bit tricky and very site specific, so we always do an initial Feasibility Study with each client to cover this and the questions above before getting into design on these.
Lender · Las Vegas, NV · Member since 2015 · 2k+ posts · 1k+ votes
10y
Make sure and check with the building department for the city that the property is in. There are no "across the board" zoning regulations. It's almost address specific in some cases.
Investor · Albuquerque, NM · Member since 2014 · 160 posts · 35 votes
10y
Assuming the zoning and ordinances allow, can anyone give me an idea of where to start asking to find how much that it might cost to build the garage/loft addition?
You'd have to run sewer, power, and water to the property. So $$$. I bet there are some contractors around Denver that have a package price for something like this.
Investor · Denver, CO · Member since 2015 · 138 posts · 73 votes
10y
Agree with Matt. I am an architect in Denver and ADUs are allowed in certain zoned properties. You can go on Denver's website and type in your address to find out what you're zoned for. You can then refer to the Denver zoning code for what defines ADUs. You'll need drawings in order to get a building permit. If you don't know any contractors, I would suggest asking around for recommendations. It's really hard to get an idea of cost without someone actually going out to bid the job (not knowing the size, location, grading for the lot, whether you need to add curb cuts to enter this new garage from the street or if it's from the alley, routing utilities, etc). I would recommend getting at least 2-3 bids.
Denver, CO · Member since 2012 · 268 posts · 164 votes
10y
Dorothy, what is your opinion of using modular construction for such a project? What about best way to get beautiful result without spending too much for investor? If duplex lot w/ a home on it, would you do accessory building with or without pop top on home, or raze the older home and do a new side by side duplex? Just your impressions or experience?
Rental Property Investor · Denver, CO · Member since 2013 · 4k+ posts · 2k+ votes
10y
Ok so it's a bit like asking, "How much does a new car cost?" Based on what I've seen, you can see if you have the money to start asking questions if you figure $150-$200 per square foot. Assuming you are building a 24 x 24 (~600 sq ft) garage with living space above would be between $90,000 and $120,000. If you can't afford that, probably need to give it a pass. For me, it's worth starting the discussion as you could probably rent it for $800-1000/month plus you get to use the garage below it. More assumptions than I care to enumerate in the above so I'll leave you to figure those out.
I don't know of any contractors specializing in this type of construction. Probably would have to result in locating the areas where these types of structures are allowed and then doing some driving to see what units you can spot. Then jump out of your car and knock on the door to find out who the builder was.
Investor · Denver, CO · Member since 2015 · 138 posts · 73 votes
10y
Kelly, modular construction can be ideal in some situations. However, in Denver I've found the cost of stick frame often is less or similar to modular construction, so the savings doesn't make sense. What is beneficial with modular is time-savings. You can potentially have your building built in a factory and shipped and assembled in a few days.
In terms of your duplex situation, I think it depends on the neighborhood and also if you're looking to rent both or owner-occupy one side or sell. It also depends on the year the home is built, the condition it is in, etc to assess whether doing a pop top makes sense.
Realtor · Denver, CO · Member since 2013 · 2k+ posts · 1k+ votes
10y
@Zeke Freeman mentioned to me a while back that his company was looking at a turnkey product for ADUs. You might reach out to him or maybe he'll chime in here.
Professional · Denver, CO · Member since 2015 · 3 posts · 6 votes
10y
Hey Matt,
Thanks for the ping on this, yes our Design-Build company specializes in these type of Urban Infill projects. Given the need for additional housing and lack of land in Denver ADU's are a great solutions for additional rental income, multi-generation living or home office. We've received a number of request for these type of projects this year and are currently working through several custom designs. In 2016 we hope to release an ADU home series with a set price and turnkey solution. At this point though if you have a specific project in mind I would be glad to have a chat and can review your project zoning requirements, design process, construction cost, rental rates, etc.. just ping me.
In terms of cost numbers I think @Bill S. is pretty close and correct in that each project is a bit different. Zoning Codes allowing ADU's are U-SU-A1, U-SU-A2*,U-TU-B, U-SU-B2*,U-TU-B2, U-SU-B1,U-TU-C, U-SU-C2*, U-SU-C1, U-RH-2.5, U-SU-E, U-SU-H1, U-RH-3A, U-RH-3A. The bulk plane, allowable square footage, and massing is a bit tricky and very site specific, so we always do an initial Feasibility Study with each client to cover this and the questions above before getting into design on these.
Denver, CO · Member since 2016 · 2 posts · 3 votes
10y
My boyfriend and I are in the middle of building a ~650sf 1br ADU over a large 3-car garage on the rear of our standard size double lot in the Berkeley neighborhood in Denver. Construction began about 3 weeks ago, so we are far from having the final product & numbers. That said, it is a LOT more work than just building a garage. We did most of the leg work ourselves all the way through getting building permits, including verifying zoning, designing the structure with an architect, land surveys, soil studies, sewer line replacement, running the water line, getting the demolition permit w asbestos inspection & demolition of the original 1-car garage.
Based on everything thus far, it will probably cost about $170k completely finished. The 24'x36' garage is divided so that the ADU tenant is optionally able to utilize the divided 1 car garage. I think we will be able to rent this out for $1400-1600/mo depending. We are financing with an interest-only personal loan until the project is complete & plan to refinance the entire home afterward. I believe current Denver zoning requires that the property be owner-occupied in order to build an ADU, so it may be tricky for an investor to do.
Message me with questions or if you want specific references.
My boyfriend and I are in the middle of building a ~650sf 1br ADU over a large 3-car garage on the rear of our standard size double lot in the Berkeley neighborhood in Denver.
We'd love to see a separate thread on this with pics and a little more detail. Pretty please;)
Aurora, CO · Member since 2012 · 2k+ posts · 1k+ votes
10y
Hey @Zeke Freeman that sounds really interesting- I'd like to hear more about your turnkey ADUs. I think I read that Arvada Is mostly OK w/ ADUs as well? Have you done any work there?
Realtor · Denver, CO · Member since 2016 · 499 posts · 129 votes
10y
@Olivia, sounds like you have been doing some great work. The rent you can get is probably correct for ADU's in that area. Do you have a company that builds ADU's? I have a buyer who is very interested in getting one built once we find the property. Do you think that the $170k you spent is the best price you could have used or do you think that it could be done cheaper?
General Contractor · Denver, CO · Member since 2016 · 63 posts · 24 votes
10y
I didn't make it through all of the posts above but I just built one of these ADU's for a client in the Highlands. 2 car garage with a roughly 600sf 1 bed 1 bath apartment above it. They rented it quickly for $1400 I believe. The costs came in just under $150K. But yes you need to punch in the address to the Denver zoning map to check your zoning designation then dig through thousand page zoning manual to find if the ADU is even allowed on your particular lot.
Whoa, $170k is a big number!? I echo the sentiments regarding details. I think ADU's make good sense in Denver for adding rental income but my head was in the $90-$120 range. $150-$170 has me questioning validity.
I've been searching around for companies that specialize, have knowledge in this space with little to show for it. Zeke and Jonathan I'd love to pick your brain about what's possible.
General Contractor · Denver, CO · Member since 2016 · 63 posts · 24 votes
10y
@Brad Saari I think if the ADU is in the right area it works well. My client was able to lease theirs out within a week of posting it. They also did some things that were a little more expensive so there are some costs that could be saved if you wanted to and designed it with value engineering in mind.
Denver, CO · Member since 2016 · 2 posts · 3 votes
10y
I'll try to get some pics to post.
@Kevin Grinstead We are just two people with no construction experience who wanted to try to save some money building this thing. We don't have a company that builds ADUs, but we certainly learned a lot about the process! We got a couple quotes from general contractors at the beginning of the process in the $250k range (fully finished) We plan to finish on the upper end, with stucco, recycled brick from the demolished garage, marble counters, hardwoods, and radiant heated floors. I think there are certainly some areas where you could cut costs. Also, this is the maximum size structure for our lot.
Realtor · Denver, CO · Member since 2013 · 2k+ posts · 1k+ votes
10y
Originally posted by :
I'll try to get some pics to post.
, marble counters, hardwoods, and radiant heated floors. I think there are certainly some areas where you could cut costs. Also, this is the maximum size structure for our lot.
SFR Investor · Denver, CO · Member since 2009 · 184 posts · 55 votes
9y
I'll chime in since I've built a few of these:
1. You can't hire someone and get it done for $170k, it will cost more than that. @Olivia Romano has done a lot of the work herself.
2. $250k is about right for something fancy, the maximum allowed square footage is usually 864sf.
3. Olivia's estimate of the rent ($1400-$1600 is about right for the dwelling unit. Some of us rent the garage separately for up to $400/month.
4. In neighborhoods zoned TU, you can use the Tandem house form which allows you to build much larger than 864sf, sell it separately, or rent both units (not possible with ADU form)
5. Most redevelopers are just opting to scrape the old house and build a new duplex instead.
6. I'm taking a longer view, so I build a tandem house in the rear, and keep the old primary dwelling unit in service for many more years. That was one of the stated goals of the 2010 ADU/tandem house zoning, to preserve existing the housing stock.
7. Two expert ADU architects: Niccolo Casewit and Becky Alexis http://www.houzz.com/pro/beckyalexis/hive-architecture-by-becky-alexis
Denver, CO · Member since 2016 · 2 posts · 0 votes
9y
Thanks Kevin! Great summary of options, and opportunities. If anyone in this forum would like to discuss having some plans drawn up, I can be reached via email or Google+. We are working on several ADU/ Tandem home prototypes ranging from 650 s.f. to 1800 s.f. "nico" Niccolo Casewit AIA
Rental Property Investor · Midland, TX · Member since 2016 · 7 posts · 2 votes
9y
Kevin Dickson
Thanks so much for the insight and recommendations for a good DOR.
I've read the code quite a bit and even talked to the zoning department (very surprised when they called back, albeit a day later). I live in Sunnyside with TU zoning. I recall from conversation with the zoning department that a tandem house must match the existing primary structure in building form. Can you elaborate on just what this requirement means if you've crossed it? Does this mean you must build a replica? Or does it simply mean the setbacks and heights must align?
Thank you! Olivia Romano I second the request for pictures, sounds like a great place!