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Lakewood is Jefferson County’s largest city and one of Denver’s most transit-connected suburbs. Here’s how Colorado’s ADU law applies to Lakewood properties and what types make the most sense.
Lakewood has updated its zoning code to comply with Colorado’s HB 24-1152, allowing ADUs on single-family lots through administrative approval. The city’s W Line light rail corridor has created strong rental demand in neighborhoods near stations, making ADU rental income particularly reliable here.
ADUs in Lakewood must meet the city’s dimensional standards — setbacks are generally 5 feet on sides and rear, and lot coverage limits apply. Lakewood eliminated the public hearing requirement for ADU permits; applications that meet objective standards are approved administratively. Maximum ADU size is 800 sq ft (or up to 50% of the primary home’s floor area, whichever is greater, in some zones).
Basement ADUs ($35K–$105K): Mid-century homes common throughout Lakewood have deep basements that are practical conversion candidates, especially those with egress windows already in place.
Detached Backyard Cottages ($165K–$320K): Larger lots in east and west Lakewood accommodate new construction. Strong rental demand near W Line stations supports the investment.
Garage Conversions ($40K–$120K): Detached single-car garages are common in older Lakewood neighborhoods and convert well into studio or one-bedroom ADUs.
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