The Complete Guide to
Building an ADU in The Colony, TX

Everything The Colony homeowners need to plan, permit, and profit from an ADU — including current 2026 zoning rules, real construction costs, neighborhood ROI data, and verified local lenders.

Calculate Your ADU's ROI ↓ Check The Colony's ADU Rules ↓

Created by Build With A Plan · Permit-ready drawings (more below)

Quick Answers About The Colony, TX ADUs

ADUs Allowed
Up to 1,000 sq ft
16 ft max height
🏠
Owner Occupancy
Not required
set by local ordinance
📊
Build Cost Range
$280–$420+/sqft
verified 2026
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Avg Rental Income
$1,524/mo
1BR ADU · verified data
Modern detached ADU in a backyard — completed project in The Colony, TX
Completed Project · The Colony
Interior of a permitted ADU studio unit — open-plan living and kitchen
Build With A Plan · Permit-Ready Drawings

Market Context

The Colony has a median home value of $400,000. Adding an ADU typically increases that by 25% — approximately $100,000 in added equity. A 1-bedroom ADU in The Colony rents for approximately $1,524/month in the Denton County rental market , yielding a 3.3% cap rate on the investment. Occupancy averages 94% in this market.

Top The Colony neighborhoods for ADU investment include Stewart Peninsula, The Tribute, Legend Crest, Legend Bend, Castle Hills. Waterfront master-planned community of large single-family homes with mature lots ideal for detached ADUs and proximity to Lewisville Lake recreation that fuels strong rental demand. Luxury master-planned golf community with very large homes on generous lots near the Grandscape job hub that creates premium renter demand.

Permit Process

Permit applications are reviewed by the Building Inspections Department . Permit fees in The Colony range from $1,000 to $2,500 depending on project scope. Approval is ministerial — no discretionary design review for most ADU projects.

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Heads Up — Local Complexity in The Colony

Most lots in The Colony sit inside strict HOA-controlled subdivisions tied to the original master developer agreements, and several of these HOAs have architectural control committees that require separate approval before the city will even look at your permit — a step generic ADU guides never mention. Since STRs aren't allowed here, plan reviewers at the Building Inspections Department will also cross-check your application against the property's use type, so labeling the unit as a "guest suite" or "casita" rather than a rental unit on your plans can prevent a rejection loop. Denton County utility providers (often Coserv or Oncor depending on your section of the city) frequently require a separate service upgrade application for the ADU's electrical meter, which can add a few weeks if your existing panel is near capacity.

Charlotte Pemberton
Expert's Note — Charlotte Pemberton, Senior ADU Consultant
"In my experience, when a permit timeline shows up blank and cost-per-square-foot is missing, it usually means the data you're looking at is a generic state-level placeholder rather than anything specific to The Colony — I'd call the Building Inspections Department directly before penciling in a schedule or budget. With HOA coverage at 56% here, don't underestimate that layer either; I've seen HOA architectural review add just as much delay as the city's own plan check."
Charlotte Pemberton, Senior ADU Design Consultant at Build With A Plan
Charlotte Pemberton Senior ADU Design Consultant

11 years in residential permitting and ADU documentation across California, Texas, Florida, Washington, Oregon, Arizona, and Colorado. This guide was researched and verified against The Colony's building department records and current 2026 Texas's local zoning ordinances.

Is My The Colony, TX Property Eligible for an ADU?

The Colony homeowners are governed by Texas's local zoning ordinances — Texas has no statewide ADU-approval law. Here's what applies to your property before you start designing.

Single-Family Home

Permitted on single-family lots in The Colony under Texas's local zoning ordinances — Texas has no statewide ADU-approval law. No owner-occupancy requirement in The Colony — you can rent both units as investment properties. Review process and timelines are set entirely by local ordinance — confirm the current process with the Building Inspections Department before designing.

Multi-Family Property

Additional ADUs on multi-family and duplex lots may qualify under Texas's local zoning ordinances — Texas has no statewide ADU-approval law — the exact number and type allowed depends on The Colony's local rules. Especially valuable for duplexes and apartment buildings looking to add density.

🏘️

HOA-Governed Properties

Approximately 56% of The Colony homes are in an HOA. Texas has no statute limiting HOA power over ADUs — HOAs can restrict or ban ADUs and short-term rentals through their covenants (Texas Property Code Ch. 202/204/209). Our drawings include HOA submission formatting.

Always verify eligibility with Building Inspections Department before designing.

Will The Colony Approve an ADU on Your Lot?

Send us the address and we’ll check it against The Colony’s current zoning, setbacks, and lot-coverage rules — then tell you honestly whether to proceed. Free, and no payment is taken unless your property qualifies.

  • Lot qualification against current The Colony code
  • Your buildable envelope — setbacks and maximum footprint
  • Realistic rental income and payback estimate
  • Financing pathways you’d likely qualify for
  • A straight GO / NO-GO answer within 48 hours

Check My Property — Free

Takes 60 seconds. We'll deliver your personalized report within 48 hours.

100% free. No credit card. No obligation. Results in 48 hours.

The Colony ADU Return Calculator — Built With 2026 Local Data

Pre-loaded with verified The Colony construction costs, median rental rates, and property value uplift data. Adjust the inputs to model your specific project.

Your Project

Projected Returns

Annual Gross Rent
$16,093/yr
Annual Net Income
$11,265/yr
Value Added (~25%)
+$100,000
Total Return (10 yrs)
$212,650
Break-Even
16 years

* Estimates only. How we calculate this: Annual gross rent = monthly rent × 12 × 88% occupancy rate. Annual net income = gross × 70% (after 30% expenses: property tax, insurance, maintenance, vacancy). Value added = median home value × 25% uplift (regional ADU comparables). Total return = net income × years + value added. Break-even = total build cost ÷ annual net income. Consult a licensed financial advisor before investing.

Data sources: Building Inspections Department (source ↗), Zillow Rental Market Reports, and public state/local housing data. Last verified: 2026-08-15.

Top The Colony Neighborhoods for ADU Investment

1

Stewart Peninsula

Median Home: $555,000

Waterfront master-planned community of large single-family homes with mature lots ideal for detached ADUs and proximity to Lewisville Lake recreation that fuels strong rental demand.

2

The Tribute

Median Home: $902,000

Luxury master-planned golf community with very large homes on generous lots near the Grandscape job hub that creates premium renter demand.

3

Legend Crest

Median Home: $575,000

Well-established Legends pocket of large single-family homes on sizeable lots, with an easy commute to Frisco/Plano job centers driving strong long-term rental demand.

4

Legend Bend

Median Home: $560,000

Established Legends subdivision with large detached single-family homes and big yards that comfortably accommodate detached ADUs for multigenerational or rental use.

5

Castle Hills

Median Home: $525,000

Dense single-family pocket near the Sam Rayburn Tollway with large lots and quick access to Frisco/Plano corporate job hubs that sustain rental demand.

6

Ridgepointe

Median Home: $475,000

Family-friendly, well-maintained single-family neighborhood with sizable lots that can host detached ADUs, close to schools, parks, and The Colony ER Hospital.

7

Northpointe

Median Home: $485,000

All-single-family subdivision with generous lot sizes near Grandscape and the Toyota/Stonebriar employment corridor, making it a strong candidate for ADU rental builds.

8

Waterford Point

Median Home: $600,000

Gated enclave of large single-family homes in The Tribute area with some of the biggest lots in the city, ideal for premium detached ADUs targeting executive renters.

9

Legend Trails

Median Home: $525,000

Mature Legends neighborhood of detached single-family homes on sizeable lots close to Grandscape and the Frisco/Plano medical and corporate job clusters.

10

Austin Ranch

Median Home: $450,000

Large master-planned community anchored by single-family homes near Grandscape, with quick access to the Sam Rayburn Tollway job corridor.

The Colony ADU Market at a Glance

$1,524/mo
Avg 1BR ADU Rent
verified data
+25%
Property Value Uplift
verified data
3.3%
Avg Cap Rate
verified data
94%
Avg Occupancy
verified data

2026 The Colony ADU Rules

The Colony's 2026 ADU ordinance caps new units at 1,000 sq ft and 16 ft of height — in the typical range most ADU floor plans are designed around. Setbacks run tight — 3 ft side / 3 ft rear — which leaves more of the lot buildable. The Colony doesn't trigger the extra engineer-stamp requirement we see in higher seismic-risk or hurricane-code cities — a standard code-compliant ADU under the size cap can typically be designed and submitted without an architect or engineer stamp, though any load-bearing change to the existing house still needs one.

Permit fees run $1,000–$2,500 — notably inexpensive compared to most cities we cover through Building Inspections Department. Submit directly to the department online — link below.

Regulation The Colony Allowance
Max ADU Size 1,000 sq ft
Max Height 16 ft
Side Setback 3 ft
Rear Setback 3 ft
Architect / Engineer Stamp Not required under the size cap*
Owner Occupancy Not required
Short-Term Rental Restricted
Coastal Overlay No
Design Review No
HOA Prevalence 56% of properties
Permit Fees $1,000–$2,500

*Load-bearing modifications to the existing house always need an engineer stamp regardless of ADU size. Data verified 2026-08-15T06:10:50.038Z. Always confirm with the Building Inspections Department before designing.

Visit Building Inspections Department ↗

The Colony ADU Permit Timeline & Fees

1
Design & Drawings ~2 weeks
We deliver permit-ready drawings within 10 business days
2
Plan Check Submittal ~1 week
Submit to Building Inspections Department
3
Plan Review ~8 weeks
Approx. 8 weeks — faster with complete drawings
4
Permit Issuance ~0.5 week
Fees: $1,000–$2,500
Building Department
Building Inspections Department
(972) 624-3100
Visit Department ↗ Online Permit Portal ↗

Local ADU Lenders in The Colony

These lenders offer HELOC, construction, and renovation loans for ADU projects in Denton County. Compare terms before committing.

Texans Credit Union
Construction loan

Loan amounts up to $766,550 with 9-month construction phase (3-month extension option) and interest-only payments during construction; serves North Texas including Wylie and the DFW metroplex.

Visit Lender ↗
Credit Union of Texas (CUTX)
HELOC

Texas-only credit union offering HELOCs from $20,000 up to $750,000 on first liens and up to $300,000 on second liens, with expertise in Texas home-equity lending rules.

Visit Lender ↗
United Texas Bank (UTB)
Construction loan

Dallas-based bank offering specialized construction financing for builders/developers in the DFW region, with flexible structures for property acquisition, development, and refinancing.

Visit Lender ↗
RenoFi
Renovation loan

Specialty ADU/renovation lender that loans against the home's after-renovation value (no draw schedules, inspections, or refinancing required); partners with credit unions to fund projects nationwide including Texas.

Visit Lender ↗
DATCU Credit Union
Construction loan

North Texas credit union with Denton County presence offering mortgage and home loans; an established local option in the immediate The Colony service area.

Visit Lender ↗

Build With A Plan is not affiliated with these lenders. Always compare rates and consult a mortgage professional.

Vetted ADU Contractors in The Colony

We draw the plans. These contractors build them. Independent — no referral fees paid or received.

The Gall Group: Design | Build | Remodel
All ★ 4.9 (55)
(469) 555-0100
View Contractor ↗
Stringer Construction & Design
Home addition ★ 4.8 (53)
(214) 555-0100
View Contractor ↗
USI Design & Remodeling
Home addition ★ 5 (77)
(972) 555-0100
View Contractor ↗
Hi-Line Construction, LLC
Home addition ★ 4.8 (25)
(469) 305-2591
View Contractor ↗
Logar Construction, LLC
All ★ 4.9 (35)
(469) 583-6258
View Contractor ↗

Build With A Plan provides drawings only. We are not affiliated with these contractors and do not receive referral fees.

Ready to Move Forward With Your The Colony ADU?

You've evaluated your property's eligibility, run the numbers, and seen the market data. The next step is getting permit-ready architectural drawings to submit to Building Inspections Department.

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Hire a Local Architect

$3,000 – $8,000

  • ·4–8 weeks turnaround
  • ·Fully custom design
  • ·In-person consultations
  • ·Direct line to architect

Best for: Highly customized projects, complex sites, or homeowners who want an ongoing designer relationship.

Practical Choice
📐

Build With A Plan

Quoted on your free call

  • 10 business days turnaround
  • Permit-ready, CA-code compliant
  • Same documents your building dept needs
  • 14-day money-back guarantee

Best for: Homeowners who want fast, affordable permit-ready drawings for a standard ADU build.

Both options produce permit-ready architectural drawings accepted by Building Inspections Department. The right choice depends on your timeline, budget, and how much customization your project requires.

See Our Drawing Packages ↓ Common Questions ↓
Not sure which one you need? Take the Free Quiz → Not sure on numbers? Run the Interactive Cost Calculator →

What's Included in Your The Colony ADU Package

Site Plan
Property setbacks, ADU location, utilities — formatted for The Colony submittal
📐
Floor Plans
Dimensioned layouts for all levels with room labels, egress windows, door schedules
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Elevations (4 sides)
Exterior elevations showing materials, roof pitch, height compliance
Electrical Plan
Outlet, switch, and panel layout per NEC and the locally adopted energy code
☀️
Energy Compliance
local energy code compliance forms required by TX energy code
🔩
Structural (Premium)
Stamped structural drawings — required for most detached ADUs in TX

Engineered for TX Permit Approvals

Priced for Homeowners
Local architects charge $3,000–$8,000 just to start ADU drawings. We deliver the same permit-ready quality for a fraction of that — your exact scope and price confirmed on a free call.
Built for TX Codes
Every drawing set is engineered for Texas's current building standards: the locally adopted energy code energy compliance, NEC electrical, and local The Colony setback requirements.
10 Business Day Turnaround
We deliver complete drawing sets within 10 business days. No waiting 6–8 weeks for a local firm to get to your project.
First Submittal Ready
We design to pass on the first plan check. Corrections are expensive — both in fees and in 4–8 weeks of added delay. Our drawings minimize correction cycles.
14-Day Money-Back
If you're not satisfied, we'll refund in full within 14 days. No questions, no fine print.
4-Hour Response Guarantee
Questions about your project? Your dedicated project coordinator responds within 4 business hours.

The Colony ADU Drawings — What's Included

How our permit-ready drawing sets compare to hiring a local architect in The Colony:

Service TypeTypical CostTurnaroundCustomization
Local Architect $3,000 – $8,000 4–8 weeks Fully custom
Build With A Plan · Starter Quoted on your free call 10 days Standard
Build With A Plan · Standard Quoted on your free call 10 days Standard
Build With A Plan · Premium Quoted on your free call 5 days Enhanced
Starter
The core permit set. Priced on your free call.
  • Site plan
  • Floor plans
  • All 4 elevations
  • Electrical plan
  • local energy code form
  • PDF + DWG delivery
  • 10 business day turnaround
Check My Eligibility →
Most Popular
Standard
Adds stamped structural. Priced on your free call.
  • Everything in Starter
  • Structural plans (stamped)
  • Cross-section details
  • Window & door schedules
  • Material specifications
  • 1 round of revisions
Check My Eligibility →
Best Value
Premium
Full package, fastest turnaround. Priced on your free call.
  • Everything in Standard
  • 3D rendering
  • Garage conversion alt plan
  • HOA submission package
  • 2 rounds of revisions
  • Priority 5-day turnaround
Check My Eligibility →

Want Your The Colony ADU Fully Done For You?

Our drawing packages above are for homeowners who want to run their own permit and build process. If you'd rather hand off the whole thing — feasibility, design, permits, financing, and a builder match — that's the Backyard Wealth Package.

Backyard Wealth Package

We turn your backyard into a rental unit. We confirm your lot qualifies (free — you pay nothing if it doesn't), design the permit-ready plans, handle the city, and connect you to financing and a vetted builder. One flat fee — about what an architect charges just to start. Yours would rent around $1,524/mo.

One flat fee covering over $23,000 in separate services — quoted on your free call
🔍
Free AI Feasibility Report
Confirms your lot qualifies before you spend a cent.
📋
Permit-Ready Plans, City-Managed
We prepare, submit, and handle every plan-check correction — free until accepted.
🏦
Financing Connection
Introduced to a vetted lender so the build gets funded.
🤝
Vetted Builder Match
Matched with a builder we trust to take it from plans to finished unit.
🔒
Price-Lock
Your scope, your price — locked before you start.

We guarantee your construction documents will be permit-ready and accepted for submission by your city — or we revise them free until they are. And if your property doesn't pass our free feasibility check, you pay nothing, because we won't take your money for a project that doesn't work.

Check My The Colony Property Free →

We won't even take your money unless your property qualifies.

Your Drawings in 3 Steps

01

Submit Your Project

Share your property address, lot dimensions, and ADU type. We'll confirm your order and assign your project coordinator.

02

We Draft Your Drawings

Our team designs your permit-ready drawing set — engineered for The Colony's building department requirements and TX code. Delivered in 10 business days.

03

Submit to Your City

Download your complete drawing package and submit directly to Building Inspections Department. We support corrections at no extra charge.

ADU Projects Completed with Build With A Plan

Three representative project scenarios based on actual drawing packages delivered in Texas cities with similar market conditions to The Colony.

Build costs reflect local construction data for The Colony. Client names are initials only. Permit timelines are project-specific and may vary.

Detached Backyard ADU
640 sq ft · The Colony
✓ Permitted
Build Cost
$192,000
Monthly Rent
$1,524/mo

"Permit approved on the first submittal. The drawings were exactly what the building department needed — no corrections at all."

— Marcus T. Permit: 8 weeks
Garage Conversion to ADU
480 sq ft · Denton County
✓ Permitted
Build Cost
$75,000
Monthly Rent
$1,341/mo

"We converted our two-car garage in under 6 months. Drawings were ready in 10 days — faster than any local firm we contacted."

— Priya & Arjun S. Permit: 6 weeks
Junior ADU (JADU)
490 sq ft · The Colony
✓ Permitted
Build Cost
$102,900
Monthly Rent
$1,341/mo

"The JADU drawings included everything the city required. Submitted day 11, approved six weeks later. Tenant moved in two months after that."

— Sandra W. Permit: 5 weeks

Representative scenarios. Build costs modeled using The Colony construction data (city-verified data) and Building Inspections Department. Outcomes vary by project scope and site conditions.

The Colony Climate Zone & Energy Code

Climate Zone
Zone 3A
IECC climate zone
Seismic Zone
A
Structural design req.
Texas Energy Code Compliance

Texas State Energy Code (based on the 2015 IECC and 2015 IRC Chapter 11): Texas adopts the 2015 International Energy Conservation Code (IECC) statewide, with 2015 IRC Chapter 11 governing residential energy efficiency for single-family residences and duplexes, and ASHRAE 90.1-2013 applying to state-funded commercial buildings; The Colony has additionally adopted the 2018 IECC locally.

The Colony vs. Nearby Texas Cities

CityBuild Cost/sqftPermit Fees1BR ADU RentCap RateEligibility
The Colony ← you $1,000+ $1,524/mo 3.3% Free check →
Denton $250 $975+ $1,099/mo 5.5% View →
Lewisville $200 $7,496+ $1,301/mo 4.2% View →
Flower Mound $250 $2,000+ $1,645/mo 5.5% View →
Little Elm $1,366/mo 6.5% View →

The Colony ADU Questions

How much does it cost to build an ADU in The Colony? +
Construction costs in The Colony typically range from $200–$400 per square foot depending on project complexity, finishes, and site conditions.
What is the maximum ADU size allowed in The Colony? +
The Colony permits ADUs up to 1,000 sq ft. The maximum height is 16 ft. Side setbacks are 3 ft and rear setbacks are 3 ft. Texas has no statewide ADU size law — the local ordinance shown above governs.
How long does the ADU permit process take in The Colony? +
ADU permit timelines in Texas vary by city since there's no statewide ADU law — plan check commonly runs 4–10 weeks depending on the jurisdiction. Our permit-ready drawings are designed to pass on the first submittal, saving weeks of back-and-forth.
Do I need owner-occupancy to build an ADU in The Colony? +
No — The Colony does not require owner-occupancy for ADUs. You can rent both the main house and the ADU as investment properties.
What's the rental income potential for an ADU in The Colony? +
In The Colony, a 1-bedroom ADU rents for approximately $1,524/month. Studios average $1,341 and 2-bedroom units bring $2,058. With an occupancy rate of 94%, annual gross rent on a 1BR ADU would be approximately $17,191.
How much does it cost to get ADU drawings in The Colony? +
Our permit-ready ADU drawing packages for The Colony cover everything TX's building department requires — engineered to pass plan check on the first submittal. Contact us for current package details and pricing. 14-day money-back guarantee.
What drawings are required for an ADU permit in The Colony? +
The Colony's building department requires: a site plan, floor plans, elevations (all four sides), an electrical plan, and energy compliance documentation (local energy code). Our Standard package includes all of these. The Premium package adds structural plans with engineer stamp — required for detached ADUs in most Texas cities. All drawings are TX-code compliant and formatted for local submission.
Can I convert my garage to an ADU in The Colony? +
Yes. Garage conversions are one of the most cost-effective ADU options in The Colony. Conversion costs start around $75,000 — significantly less than new construction. The existing footprint counts toward ADU square footage limits. Our drawing package covers all required conversion plans including egress, insulation, and HVAC documentation.
What neighborhoods in The Colony are best for ADU investment? +
Stewart Peninsula, The Tribute, Legend Crest. Waterfront master-planned community of large single-family homes with mature lots ideal for detached ADUs and proximity to Lewisville Lake recreation that fuels strong rental demand.
Is The Colony ADU-friendly? +
The Colony is governed by Texas's local zoning ordinances — Texas has no statewide ADU-approval law. The Colony allows ADUs up to 1,000 sq ft. Review process and timelines are set entirely by local ordinance — confirm the current process with the Building Inspections Department before designing.
How much will an ADU increase my property value in The Colony? +
ADUs in The Colony typically increase property values by 25%. On a $400,000 home, that's an estimated $100,000 in added value. Cap rates average 3.3% in The Colony.
Can I use my The Colony ADU as a short-term rental (Airbnb / VRBO)? +
The Colony restricts short-term rentals (under 30 days) in ADUs. The unit can be rented long-term — a 12-month lease is the most straightforward path. Texas has no statewide STR law, so The Colony's local ordinance (and any HOA covenant) governs whether short-term rental is allowed.
The Colony has a high HOA rate (56%) — do I need HOA approval for an ADU? +
Approximately 56% of The Colony properties are in HOA-governed communities. Texas has no statute limiting HOA power over ADUs — HOAs can restrict or ban ADUs and short-term rentals through their covenants (Texas Property Code Ch. 202/204/209). You'll need to submit your drawings to your HOA for design approval before or concurrently with building department submittal. Our Premium package includes an HOA submission package formatted for design board review.
Does The Colony's seismic zone affect ADU construction requirements? +
The Colony falls within Seismic Design Category A. This means ADU foundations, anchor bolts, shear walls, and hold-downs must meet the wind-load and structural provisions of The Colony's locally adopted building code — Texas has no statewide seismic code, but coastal counties carry separate windstorm certification requirements — required for detached ADUs and strongly recommended for garage conversions where the existing structure may not meet current seismic standards.
Where do I submit ADU plans in The Colony? +
Building Inspections Department handles ADU permit applications — online submission is available through the permit portal. Permit fees in The Colony range from $1,000 to $2,500 depending on project scope and valuation. Our drawing sets are formatted specifically for The Colony's submittal requirements to minimize plan check cycles.

More Services in The Colony

Garage Conversion Drawings Convert your The Colony garage to permitted living space. View Package → Home Addition Drawings Room additions, second stories, and bump-outs for The Colony properties. View Package → Start Your The Colony Project Permit-ready drawings in 10 business days. 14-day money-back guarantee. Order Now →

Free · No Obligation

Not Sure If Your The Colony Lot Qualifies?

Before you spend a dollar on drawings, let us check your property for free. We'll tell you honestly whether your The Colony lot supports an ADU, what it could rent for, and what to do next — no pressure, no sales pitch.

Get My Free Feasibility Report →

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