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Updated over 3 years ago, 03/31/2021

Account Closed
  • Flipper/Rehabber
  • Denver, CO
21
Votes |
56
Posts

Re-Zoning/ Variance: Denver

Account Closed
  • Flipper/Rehabber
  • Denver, CO
Posted

I am trying to rifle through the messy process of requesting a variance to or re-zoning a current Residential duplex to a triplex in the city of denver. Lawyer Fees seem outrageous to even get someone on a phone to talk to about the feasibility of this and i'm not trying to spend the money to get nowhere. The process seems annoying enough that it warrants professional help. Has any investor had success in rezoning/ requesting a variance to add an additional unit in Denver? Anything helps. 

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2,518
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1,276
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Matt M.
  • Realtor
  • Denver, CO
1,276
Votes |
2,518
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Matt M.
  • Realtor
  • Denver, CO
Replied

Haven't heard about people having much luck unless it's in an exclusion zone(I think that's the term). What's the lot width/size? 

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2,212
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1,242
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Alex Bekeza
Lender
  • Lender
  • Los Angeles, CA
1,242
Votes |
2,212
Posts
Alex Bekeza
Lender
  • Lender
  • Los Angeles, CA
Replied

@Account Closed I recently had a tough experience in Denver with a client.  Nobody is in the actual office thanks to Covid and we received several conflicting answers regarding having a third unit permitted in an area of Denver zoned E-MX-2.  

To help you do a little of your own digging regarding legal use for your parcel, here's a link to the city's full code:



https://www.denvergov.org/content/denvergov/en/community-planning-and-development/zoning/denver-zoning-code.html.html

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User Stats

4
Posts
5
Votes
Cody Bell
  • Rental Property Investor
  • Denver, CO
5
Votes |
4
Posts
Cody Bell
  • Rental Property Investor
  • Denver, CO
Replied

@Account Closed Covid has had a significant impact on municipality's ability to push things through. I was under contract for a 6 unit building with my business partner and it took us nearly 3 weeks to get a simple answer regarding zoning from them. This was Adams County back in June, but would imagine Denver County proper is in the same boat. If you add in the increased development backlog that arose with all the shutdowns, your timing could be severely effected. 

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4,820
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Steve K.#2 Real Estate Agent Contributor
  • Realtor
  • Boulder, CO
4,820
Votes |
2,665
Posts
Steve K.#2 Real Estate Agent Contributor
  • Realtor
  • Boulder, CO
Replied
Originally posted by @Account Closed:

I am trying to rifle through the messy process of requesting a variance to or re-zoning a current Residential duplex to a triplex in the city of denver. Lawyer Fees seem outrageous to even get someone on a phone to talk to about the feasibility of this and i'm not trying to spend the money to get nowhere. The process seems annoying enough that it warrants professional help. Has any investor had success in rezoning/ requesting a variance to add an additional unit in Denver? Anything helps. 

@Dorothy Ma (local architect/investor/developer) may be able to help you out. 

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4,039
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2,376
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Steve Morris
  • Real Estate Broker
  • Portland, OR
2,376
Votes |
4,039
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Steve Morris
  • Real Estate Broker
  • Portland, OR
Replied

A variance/rezone is the LAST thing you want to do.  You'll never win.

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138
Posts
73
Votes
Dorothy Ma
  • Investor
  • Denver, CO
73
Votes |
138
Posts
Dorothy Ma
  • Investor
  • Denver, CO
Replied

Variance and rezoning in Denver require you to go through the board of appeals. You have to be able to prove actual hardship for them even consider, the process to get in front of the board is usually 6-8 weeks. 
Is this property currently zoned for duplex but has been used as triplex? Sometimes when this is the case you may be able to make the argument, if you provide more details about your situation I can see if I can help provide a better answer. I can also send you a contact for the technical director of Board if appeals and adjustments at city of Denver.

Account Closed
  • Flipper/Rehabber
  • Denver, CO
21
Votes |
56
Posts
Account Closed
  • Flipper/Rehabber
  • Denver, CO
Replied

@Dorothy Ma it’s a residentially zoned duplex E-TU-C,

It has in the past functioned as and been rented out as a triplex I assume illegally as my experience with this property tells me that the previous owners did a few things that were a little sketch.

I submitted my pre application request today to try and get the ball rolling.

I think the big think here is that I took the marketing and MLS listing at face value as it was listed as a triplex. This obviously played into the valuation of the property as well since they used an income valuation approach and used all three units.

-the property itself is profitable as a triplex but not as a duplex so I am trying to see if the city will work with me here.

-hopefully the city takes these things into consideration when granting a variance.

-if the city won't work with me I have thought about legal options here as well as the listing and MLS sheet may constitute a material fact which factored into the valuation and my decision to purchase. Hopefully it doesn't come down to that.

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138
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73
Votes
Dorothy Ma
  • Investor
  • Denver, CO
73
Votes |
138
Posts
Dorothy Ma
  • Investor
  • Denver, CO
Replied

You may be able to get the city to allow it as a non complying triplex depending on how long it’s functioned that way, what the current configuration is, and whether or not from a building code perspective the units are have the correct fire separation. Getting the city to change the zoning designation is probably unlikely. How does it function as a triplex? Are the units currently side by side or is there an up/down component? Are these 3 units separated by rated walls?

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1,391
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511
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Dan Mackin
Agent
  • Real Estate Agent
  • Erie, CO
511
Votes |
1,391
Posts
Dan Mackin
Agent
  • Real Estate Agent
  • Erie, CO
Replied

@Account Closed I do have clients who own properties that have been in similar instances and are allowed to function as their non-conforming use, but there needed to be long term proof that it was somehow approved to be built out that way. Are there any specific indicators such as separate electrical meters for each unit or at least something to start with? How did this come to be an issue in the first place that you're having to seek to remedy the issue? Are you pulling permits for work on the property?

  • Dan Mackin
  • 720-466-3378

User Stats

75
Posts
81
Votes
Michael C.
  • New to Real Estate
  • Denver
81
Votes |
75
Posts
Michael C.
  • New to Real Estate
  • Denver
Replied

In a similar situation. Would like to hear if you made any progress.

I’m under contract on a legal duplex, currently set up as a triplex also. 
Was planning on trying to rezone it legally to make the numbers work. Very similar situation.  I’m zoned U-RH-3A

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75
Posts
81
Votes
Michael C.
  • New to Real Estate
  • Denver
81
Votes |
75
Posts
Michael C.
  • New to Real Estate
  • Denver
Replied

@Dorothy Ma

Would love to chat about a similar situation and get your opinion.  Let me know if we can connect. 

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3,757
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3,106
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Kenneth Garrett
Pro Member
  • Investor
  • Florida Panhandle/Illinois
3,106
Votes |
3,757
Posts
Kenneth Garrett
Pro Member
  • Investor
  • Florida Panhandle/Illinois
Replied

Zoning Variances are tricky in some areas and fairly easy in others.  Changing the zoning of a property is difficult.  An area that is zoned for single family and two unit buildings is not going to allow a 3 unit building that would create spot zoning.  If there are other properties who have 3 unit buildings they are likely non-conforming buildings.  They were legal at one time and the rules changed to create them to be non legal.  You can’t stop one from using there property that was legal at the time it was established.  Because there are other operators does not mean it is ok for your property unless you were established prior to the rules changing.

Meet with the staff at the city.  If they are going to recommend against it you will probably have a difficult time getting it passed, although not impossible, but the odds are against you.  Check the cities comprehensive plan to see what the area is designed for in the future if development were to occur in the area.

Finally, if you currently do not have an established 3 unit building then you’ll application to create spot zoning will be very difficult.  Look for the history of previous approvals or denials of similar requests.  Adding units adds to parking issues for cities.  Most have challenging parking as it is.   

  • Kenneth Garrett
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    User Stats

    2
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    1
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    Replied

    In a similar vein (posting in reply to this as it's the only Denver zoning variance post I can find), I own a home that's zoned for an ADU but my lot doesn't meet the minimum size. I'm curious about what the process would be like applying for a variance to simply allow an ADU on a smaller lot. Again, I'm zoned for an ADU but my lot's too small. We are hoping to build the ADU as a home when my elderly mom needs it. I know there are certain "hardships" the homeowner must prove for the variance. Any thoughts on the likelihood of one like this being approved? We have neighbors with ADU's on the street but they are on a slightly larger lot.

    User Stats

    145
    Posts
    99
    Votes
    Chris Freeburg
    • Real Estate Agent
    • Denver, CO
    99
    Votes |
    145
    Posts
    Chris Freeburg
    • Real Estate Agent
    • Denver, CO
    Replied

    @Marley Withrow What neighborhood do you live in and what's the size of your lot? The city of Denver recently rezoned Chaffee Park to allow ADUs on all lots greater than 4500 sq ft. Prior to this change, ADUs were only allowed on select lots over 6000 sq ft. Other select neighborhoods are likely to follow.

    A quick phone call to the city’s Community Planning & Development department may address how likely this is.

    User Stats

    2
    Posts
    1
    Votes
    Replied

    @Chris Freeburg thanks for the reply! I'm in Berkeley, my lot is 4390sf. Zoning says ADU for lots 5300 and larger. I'll give them a call!

    User Stats

    25
    Posts
    13
    Votes
    Pablo Hernandez
    • Rental Property Investor
    • Lakewood, CO
    13
    Votes |
    25
    Posts
    Pablo Hernandez
    • Rental Property Investor
    • Lakewood, CO
    Replied

    @Matthew Dunaway

    Hey Matthew - what ever came of this? I’m currently in a similar situation trying to turn a detached garage into a duplex (property is already zoned R2, the lot just isn’t “big” enough)

    City of Lakewood requires 10,000 sqft lot for a duplex and we are at 9,500.

    I already got a response saying there is no way to get a variance for the square footage, however, I may be able to obtain a variance based on my proposal and what hardships I can prove for an ADU.

    Can you or anyone here provide examples of hardships?

    Thanks!