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Englewood’s compact lots, light rail connections, and strong rental demand make it one of the most interesting ADU markets in the south metro. Here’s what the rules look like for your property.
Englewood is a smaller city with a dense housing stock and excellent light rail access on the C and D lines. The city has updated its zoning code to comply with HB 24-1152, enabling ADU construction on single-family lots. Strong rental demand from Swedish Medical Center employees and downtown Denver commuters supports reliable rental income.
ADUs in Englewood are processed through administrative approval — no public hearings required. Setbacks follow the same standards as other accessory structures (typically 5 feet sides and rear). Lot coverage limits apply, which is an important consideration on Englewood’s smaller lots. Maximum size is 800 sq ft.
Basement ADUs ($35K–$100K): The most practical option on smaller Englewood lots. Many older homes have basements with good ceiling heights that convert efficiently.
Garage Conversions ($40K–$115K): Detached garages on Englewood alley lots are excellent conversion candidates. These work especially well where lot coverage limits prevent new detached construction.
Detached Backyard Cottages ($160K–$300K): Feasible on larger Englewood lots. Given proximity to light rail, these can command premium rents.
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