Guide

THE COMPLETE GUIDE TO ADU GARAGE CONVERSIONS

Converting your garage into an Accessory Dwelling Unit (ADU) is one of the smartest ways to repurpose underutilized space. Whether you’re creating a rental unit, housing for a family member, or a personal retreat, ADU garage conversions are versatile, cost-effective, and increasingly popular in Colorado. This guide breaks down everything you need to know about garage conversions, from types of designs to timelines and costs.

1. What Is an ADU Garage Conversion?

An ADU garage conversion transforms an existing garage into a fully functional living space. These units typically feature a kitchen, bathroom, bedroom, and living area, making them suitable for long-term housing or short-term rentals. Garage conversions can serve as tiny homes, granny flats, or even private workspaces.

Unlike detached ADUs, garage conversions utilize existing structures, saving time and reducing costs. They are especially appealing in Colorado, where housing demand is high, and urban space is limited.

2. Why Garage Conversions Have Become Popular in Colorado

Rising Housing Demand

With Colorado cities like Denver, Boulder, and Colorado Springs experiencing population growth, housing affordability is a significant concern. Garage conversions offer an efficient solution, adding livable square footage without requiring additional land.

Increased Flexibility

Garage conversions provide homeowners with flexible options. Whether you’re looking to generate rental income, accommodate aging parents, or provide housing for adult children, an ADU can adapt to your family’s needs.

Legislative Support

Recent legislation, such as Colorado’s HB 24-1152, has streamlined ADU permitting and zoning regulations. These changes make it easier than ever for homeowners to build garage conversions and address the state’s housing shortage.

Cost-Effectiveness

Compared to building a detached ADU, garage conversions are typically less expensive. By leveraging the existing foundation and walls, homeowners can save thousands of dollars on construction costs.

3. Types of ADU Garage Conversions

The layout and design of your garage conversion depend on your property, budget, and goals. Here are the three most common types:

a) Garage on Bottom Floor + Living Space on Second Floor

For properties with a detached garage and adequate height, adding a second floor is an excellent way to maximize space. The garage remains functional for parking or storage while the second floor becomes a fully livable unit.

Ideal For: Properties with limited land but high ceilings or structural potential.
Advantages: Dual functionality with separate spaces for living and parking.
Challenges: Requires significant structural reinforcement and higher costs.

b) Single-Floor Living Space

This is the most common type of garage conversion, where the entire garage is converted into a single-floor living space. This option is cost-effective and efficient.

Ideal For: Homeowners seeking a straightforward, affordable ADU solution.
Advantages: Easier permitting and faster construction.
Challenges: Limited square footage compared to multi-story options.

c) Two-Floor Living Spaces

In some cases, homeowners convert both the garage and an additional floor above it into a single, multi-level ADU. This layout provides more square footage and flexibility.

Ideal For: Larger families or rental units with multiple tenants.
Advantages: Maximizes livable space.
Challenges: Requires more extensive design and construction.

4. Should You Demolish or Keep the Existing Structure?

Choosing whether to demolish your existing garage or keep the current structure depends on several factors:

When to Keep the Structure

  • Structural Integrity: If the foundation and framing are solid, retaining the garage can save time and money.
  • Zoning Regulations: Some municipalities may require permits for demolition, adding complexity.

When to Demolish

  • Poor Condition: If the garage has significant damage or structural issues, rebuilding may be more cost-effective in the long run.
  • Design Flexibility: Starting from scratch allows for more design freedom and customization.

Pro Tip: Conduct a feasibility assessment with a professional builder to determine the best course of action.

5. The Process to Complete a Garage Conversion

Here’s a step-by-step breakdown of the garage conversion process:

  1. Feasibility Assessment: Evaluate the garage's condition, zoning compliance, and utility connections.
  2. Design and Planning: Work with an architect or builder to create a layout that meets your needs and local regulations.
  3. Permitting: Secure the necessary permits for construction, electrical, plumbing, and HVAC work.
  4. Construction: This includes reinforcing the foundation, adding insulation, and installing utilities.
  5. Finishing Touches: Complete the project with flooring, cabinetry, and fixtures.

At Kindred Tiny Homes, we guide you through each stage, ensuring a seamless and stress-free experience.

6. How Much Does It Cost?

The cost of a garage conversion in Colorado typically ranges from $100,000 to $200,000, depending on factors like:

  • Size: Larger garages or those with additional floors cost more to convert.
  • Utilities: Connecting plumbing and electricity can add to the budget.
  • Finishes: High-end materials or custom designs increase costs.

While the initial investment may seem significant, the long-term benefits—such as increased property value and rental income—often make it worthwhile.

7. How Long Does It Take?

The timeline for a garage conversion varies but generally takes 6 to 12 months. Key factors include:

  • Permitting: Can take 1-3 months depending on local regulations.
  • Construction: Most garage conversions require 3-6 months for completion.
  • Customization: Complex designs or premium finishes may extend the timeline.

By partnering with an experienced ADU builder, you can streamline the process and avoid delays.

8. Conclusion

Converting your garage into an ADU is a smart way to maximize your property’s potential. Whether you’re creating a rental unit, housing for family, or additional living space, garage conversions offer a cost-effective and flexible solution to Colorado’s housing challenges.

With recent legislative changes simplifying zoning and permitting, there’s never been a better time to invest in an ADU garage conversion. At Kindred Tiny Homes, we specialize in turning your vision into reality, providing expert guidance every step of the way.

➡️ Ready to transform your garage?
Contact Kindred Tiny Homes today for a free consultation and take the first step toward your ADU project!

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March 31, 2025

THE COMPLETE GUIDE TO ADU GARAGE CONVERSIONS

1. What Is an ADU Garage Conversion?

An ADU garage conversion transforms an existing garage into a fully functional living space. These units typically feature a kitchen, bathroom, bedroom, and living area, making them suitable for long-term housing or short-term rentals. Garage conversions can serve as tiny homes, granny flats, or even private workspaces.

Unlike detached ADUs, garage conversions utilize existing structures, saving time and reducing costs. They are especially appealing in Colorado, where housing demand is high, and urban space is limited.

2. Why Garage Conversions Have Become Popular in Colorado

Rising Housing Demand

With Colorado cities like Denver, Boulder, and Colorado Springs experiencing population growth, housing affordability is a significant concern. Garage conversions offer an efficient solution, adding livable square footage without requiring additional land.

Increased Flexibility

Garage conversions provide homeowners with flexible options. Whether you’re looking to generate rental income, accommodate aging parents, or provide housing for adult children, an ADU can adapt to your family’s needs.

Legislative Support

Recent legislation, such as Colorado’s HB 24-1152, has streamlined ADU permitting and zoning regulations. These changes make it easier than ever for homeowners to build garage conversions and address the state’s housing shortage.

Cost-Effectiveness

Compared to building a detached ADU, garage conversions are typically less expensive. By leveraging the existing foundation and walls, homeowners can save thousands of dollars on construction costs.

3. Types of ADU Garage Conversions

The layout and design of your garage conversion depend on your property, budget, and goals. Here are the three most common types:

a) Garage on Bottom Floor + Living Space on Second Floor

For properties with a detached garage and adequate height, adding a second floor is an excellent way to maximize space. The garage remains functional for parking or storage while the second floor becomes a fully livable unit.

Ideal For: Properties with limited land but high ceilings or structural potential.
Advantages: Dual functionality with separate spaces for living and parking.
Challenges: Requires significant structural reinforcement and higher costs.

b) Single-Floor Living Space

This is the most common type of garage conversion, where the entire garage is converted into a single-floor living space. This option is cost-effective and efficient.

Ideal For: Homeowners seeking a straightforward, affordable ADU solution.
Advantages: Easier permitting and faster construction.
Challenges: Limited square footage compared to multi-story options.

c) Two-Floor Living Spaces

In some cases, homeowners convert both the garage and an additional floor above it into a single, multi-level ADU. This layout provides more square footage and flexibility.

Ideal For: Larger families or rental units with multiple tenants.
Advantages: Maximizes livable space.
Challenges: Requires more extensive design and construction.

4. Should You Demolish or Keep the Existing Structure?

Choosing whether to demolish your existing garage or keep the current structure depends on several factors:

When to Keep the Structure

  • Structural Integrity: If the foundation and framing are solid, retaining the garage can save time and money.
  • Zoning Regulations: Some municipalities may require permits for demolition, adding complexity.

When to Demolish

  • Poor Condition: If the garage has significant damage or structural issues, rebuilding may be more cost-effective in the long run.
  • Design Flexibility: Starting from scratch allows for more design freedom and customization.

Pro Tip: Conduct a feasibility assessment with a professional builder to determine the best course of action.

5. The Process to Complete a Garage Conversion

Here’s a step-by-step breakdown of the garage conversion process:

  1. Feasibility Assessment: Evaluate the garage's condition, zoning compliance, and utility connections.
  2. Design and Planning: Work with an architect or builder to create a layout that meets your needs and local regulations.
  3. Permitting: Secure the necessary permits for construction, electrical, plumbing, and HVAC work.
  4. Construction: This includes reinforcing the foundation, adding insulation, and installing utilities.
  5. Finishing Touches: Complete the project with flooring, cabinetry, and fixtures.

At Kindred Tiny Homes, we guide you through each stage, ensuring a seamless and stress-free experience.

6. How Much Does It Cost?

The cost of a garage conversion in Colorado typically ranges from $100,000 to $200,000, depending on factors like:

  • Size: Larger garages or those with additional floors cost more to convert.
  • Utilities: Connecting plumbing and electricity can add to the budget.
  • Finishes: High-end materials or custom designs increase costs.

While the initial investment may seem significant, the long-term benefits—such as increased property value and rental income—often make it worthwhile.

7. How Long Does It Take?

The timeline for a garage conversion varies but generally takes 6 to 12 months. Key factors include:

  • Permitting: Can take 1-3 months depending on local regulations.
  • Construction: Most garage conversions require 3-6 months for completion.
  • Customization: Complex designs or premium finishes may extend the timeline.

By partnering with an experienced ADU builder, you can streamline the process and avoid delays.

8. Conclusion

Converting your garage into an ADU is a smart way to maximize your property’s potential. Whether you’re creating a rental unit, housing for family, or additional living space, garage conversions offer a cost-effective and flexible solution to Colorado’s housing challenges.

With recent legislative changes simplifying zoning and permitting, there’s never been a better time to invest in an ADU garage conversion. At Kindred Tiny Homes, we specialize in turning your vision into reality, providing expert guidance every step of the way.

➡️ Ready to transform your garage?
Contact Kindred Tiny Homes today for a free consultation and take the first step toward your ADU project!

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