Boulder no longer requires owner occupancy for ADUs. The February 2025 amendment to BRC 9-6-3(n), effective for any ADU proposed on or after March 8, 2025, removed the prior owner-occupancy condition, conforming Boulder's code to Colorado HB24-1152. Both the principal dwelling and the ADU may now be rented to non-owner tenants without any city restriction tied to the owner's residence. This is a significant change in a city historically known for tight rental controls.
Before March 2025, Boulder's land use code conditioned ADU permits on the property owner living in either the principal dwelling or the ADU itself β a long-standing requirement intended to limit absentee speculation. The February 2025 reform package adopted by City Council and codified in BRC 9-6-3(n) struck the owner-occupancy clause, aligning Boulder with Colorado HB24-1152 (codified at C.R.S. 29-32-101 et seq.). Under the state statute, applicable to subject jurisdictions including Boulder, local governments may not impose owner-occupancy requirements as a condition of constructing or operating an ADU. The Boulder rule applies prospectively to any ADU proposed on or after March 8, 2025 but the state statute's preemption reaches existing ADUs as well, so the city does not enforce legacy owner-occupancy conditions on previously permitted ADUs. Deed restrictions tying ADUs to owner occupancy are no longer recorded at permit issuance. A separate, optional deed restriction allows a larger ADU (up to 1,000 sf detached or 1,200 sf attached) in exchange for restricting rents to households at or below 75% AMI β this is a voluntary affordability bonus, not an owner-occupancy mandate. Boulder's separate Rental Housing License (BRC Title 10 Chapter 3) still applies to any unit rented for 30+ days, regardless of owner residency.
There are no current owner-occupancy violations to enforce. Renting either unit without an active Rental Housing License under BRC 10-3 remains a violation, prosecuted in Boulder Municipal Court with fines up to $1,000 per day under BRC 5-2-4. Failure to maintain the 75% AMI deed restriction on a bonus-size ADU would be enforced as a deed restriction breach with potential removal of the bonus square footage at the city's option.
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