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Second Regular Session
Seventy-fifth General Assembly
STATE OF COLORADO
REENGROSSED
This Version Includes All Amendments
Adopted in the House of Introduction
LLS NO. 26-0047.01 Caroline Martin x5902 HOUSE BILL 26-1308
House Committees Senate Committees
Transportation, Housing & Local Government
A BILL FOR AN ACT
CONCERNING LOT SPLITTING APPROVAL BY SUBJECT JURISDICTIONS.101
Bill Summary
(Note: This summary applies to this bill as introduced and does
not reflect any amendments that may be subsequently adopted. If this bill
passes third reading in the house of introduction, a bill summary that
applies to the reengrossed version of this bill will be available at
http://leg.colorado.gov.)
The bill provides that, on or after December 31, 2027, subject to
an administrative approval process, a subject jurisdiction shall approve
the split of an original lot into 2 new lots if the following conditions are
met:
! The area of the original lot is 2,000 square feet or greater
before the split;
! If the 2 new lots are not equal in area, the area of the
smaller of the 2 new lots is equal to or greater than 40% of
HOUSE
3rd Reading Unamended
March 24, 2026
HOUSE
Amended 2nd Reading
March 23, 2026
HOUSE SPONSORSHIP
Boesenecker and Woodrow, Camacho, Froelich, Lindsay, McCormick, Nguyen, Phillips,
Rutinel, Smith, Stewart R.
SENATE SPONSORSHIP
Amabile and Ball,
Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
Capital letters or bold & italic numbers indicate new material to be added to existing law.
Dashes through the words or numbers indicate deletions from existing law.
the area of the original lot;
! The original lot is not subject to any previously recorded lot
split;
! Residential use is allowed on the original lot;
! The original lot is not an exempt lot; and
! The original lot is not located within a common interest
community that was created on or before December 31,
2027.
If an original lot or any structure built on the original lot is subject
to an evidence of debt constituting a residential mortgage loan, then prior
to approving the split of an original lot, a subject jurisdiction shall verify
that the holder of the evidence of debt constituting a residential mortgage
loan (holder) has received notice of the proposed lot split and has
consented to the lot split in writing. The holder may condition consent to
the lot split on the satisfaction of specified conditions.
The written consent of the holder must include:
!The signature of the holder or the agent of the holder;
! The name of the record owner or ground lessee of the
original lot;
! The legal description of the original lot; and
! The identities of all parties with an interest in the original
lot, as reflected in the real property records.
The written consent of the holder must be recorded in the office of
the county recorder of the county in which the original lot is located. If
the holder does not provide written consent to the lot split, the subject
jurisdiction shall not approve the lot split.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. In Colorado Revised Statutes, add part 5 to article2
35 of title 29 as follows:3
PART 54
LOT SPLITTING5
29-35-501. Legislative declaration.6
(1) THE GENERAL ASSEMBLY FINDS AND DECLARES THAT:7
(a) THE DIVISION OF AN EXISTING RESIDENTIAL LOT RESULTING IN8
THE CREATION OF ONE ADDITIONAL RESIDENTIAL LOT PROVIDES9
MEANINGFUL BENEFITS TO BOTH CURRENT PROPERTY OWNERS AND10
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PROSPECTIVE HOMEBUYERS . ADMINISTRATIVE LOT SPLITTING CAN1
PROVIDE EXISTING HOMEOWNERS WITH THE FLEXIBILITY NEEDED TO2
ADAPT TO CHANGING LIFE CIRCUMSTANCES SUCH AS AGING IN PLACE ,3
MULTIGENERATIONAL LIVING, AND OTHER CHANGES IN FINANCIAL NEEDS4
WHILE MAINTAINING HOMEOWNERSHIP. LOT SPLITTING, PARTNERED WITH5
A LOW MINIMUM LOT SIZE , CAN EXPAND ATTAINABLE HOMEOWNERSHIP6
OPPORTUNITIES FOR FIRST -TIME HOMEBUYERS AND HOMEBUYERS WITH7
MODERATE-INCOMES;8
(b) THE NEED FOR ADDITIONAL HOUSING UNITS ACROSS THE STATE9
REMAINS URGENT. ACCORDING TO THE COLORADO STATE DEMOGRAPHY10
OFFICE IN ITS SEPTEMBER 2025 RESEARCH BRIEF TITLED "COLORADO'S11
HOUSING SHORTFALL: AN ESTIMATE AND REVIEW OF EXISTING STUDIES,"12
THE STATE'S HOUSING SHORTFALL IS ESTIMATED AT APPROXIMATELY ONE13
HUNDRED SIX THOUSAND UNITS. BASED ON THE MOST RECENT POPULATION14
PROJECTIONS BY THE COLORADO STATE DEMOGRAPHY OFFICE, THE STATE15
MUST ADD APPROXIMATELY THIRTY-FOUR THOUSAND ONE HUNDRED NEW16
HOUSING UNITS ANNUALLY OVER THE NEXT DECADE TO PREVENT AN17
INCREASE IN THE EXISTING HOUSING SHORTFALL;18
(c) ACCORDING TO DATA FROM THE FEDERAL HOUSING FINANCE19
AGENCY AND THE U.S. BUREAU OF ECONOMIC ANALYSIS, HOUSING COSTS20
IN COLORADO HAVE RISEN AT A RATE THAT OUTPACES INCOME GROWTH,21
SUCH THAT IN 2023, HOME PRICES WERE APPROXIMATELY TWO HUNDRED22
TWENTY-THREE PERCENT ABOVE THEIR 2000 VALUES , WHILE MEDIAN23
INCOMES INCREASED BY ONLY ONE HUNDRED FORTY -FOUR PERCENT24
DURING THE SAME PERIOD;25
(d) A BSENT FROM SUSTAINED STRATEGIC ACTION TO INCREASE26
HOUSING PRODUCTION AND ADDRESS SUPPLY BARRIERS, THE GAP BETWEEN27
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HOUSING SUPPLY AND DEMAND WILL CONTINUE TO WIDEN , ADVERSELY1
AFFECTING AFFORDABILITY , ECONOMIC STABILITY , WORKFORCE2
RETENTION, AND COMMUNITY WELL-BEING THROUGHOUT THE STATE;3
(e) ENTRY-LEVEL STARTER HOMES SERVE AN ESSENTIAL FUNCTION4
IN THE HOUSING MARKET. STARTER HOMES, TYPICALLY UNDERSTOOD AS5
HOMES WITH LESS THAN ONE THOUSAND FOUR HUNDRED SQUARE FEET ,6
ENABLE HOMEOWNERS TO BUILD EQUITY , ESTABLISH LONG -TERM7
STABILITY, AND SHELTER HOMEOWNERS FROM SOME INFLATIONARY8
PRESSURES, THEREBY CONTRIBUTING TO COMMUNITY RESILIENCE;9
(f) THERE IS A CRITICAL NEED TO INCREASE THE PRODUCTION AND10
AVAILABILITY OF STARTER HOMES. AS REPORTED BY THE PEW RESEARCH11
CENTER, NATIONAL TRENDS INDICATE THAT THE REDUCTION IN NEW12
HOUSING DEVELOPMENT HAS BEEN MOST PRONOUNCED AMONG STARTER13
HOMES. ACCORDING TO THE FEDERAL HOME LOAN MORTGAGE14
CORPORATION IN A RESEARCH BRIEF TITLED "HOUSING SUPPLY: A15
GROWING DEFICIT," THE SHARE OF ENTRY -LEVEL HOMES IN OVERALL16
RESIDENTIAL CONSTRUCTION HAS DECLINED FROM APPROXIMATELY FORTY17
PERCENT IN THE EARLY 1980S TO APPROXIMATELY SEVEN PERCENT IN18
2019;19
(g) ACCESS TO AFFORDABLE HOMEOWNERSHIP GENERALLY YIELDS20
BENEFITS BEYOND PROVIDING SHELTER . ACCORDING TO HABITAT FOR21
HUMANITY, CHILDREN IN FAMILIES THAT OWN THEIR HOMES ARE MORE22
LIKELY TO COMPLETE HIGH SCHOOL AND PURSUE POST -SECONDARY23
EDUCATION COMPARED TO THEIR PEERS IN FAMILIES THAT RENT HOMES .24
ADDITIONALLY, HOMEOWNERSHIP CORRELATES WITH GREATER CIVIC AND25
SOCIAL ENGAGEMENT, INCLUDING INCREASED LIKELIHOOD OF VOTING IN26
LOCAL ELECTIONS AND PARTICIPATING IN NEIGHBORHOOD AND27
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COMMUNITY ASSOCIATIONS; AND1
(h) LAND COSTS ARE AN IMPORTANT CONTRIBUTOR TO OVERALL2
HOUSING COSTS, AND ENABLING LARGER LOTS TO BE SUBDIVIDED AND3
SHARED BETWEEN MULTIPLE HOMES SUPPORTS THE CREATION OF STARTER4
HOMES AND LOWER-COST HOUSING.5
(2) THEREFORE, THE GENERAL ASSEMBLY FINDS, DETERMINES, AND6
DECLARES THAT:7
(a) THE AVAILABILITY OF AFFORDABLE HOUSING IS A MATTER OF8
MIXED STATEWIDE AND LOCAL CONCERN;9
(b) COLORADO HAS A LEGITIMATE STATE INTEREST IN MANAGING10
POPULATION AND DEVELOPMENT GROWTH AND ENSURING A STABLE11
QUALITY AND QUANTITY OF HOUSING FOR ALL COLORADANS, AS THIS IS12
AMONG THE MOST PRESSING PROBLEMS CURRENTLY FACING COMMUNITIES13
THROUGHOUT THE STATE; AND14
(c) LOCAL GOVERNMENT POLICIES THAT LIMIT THE CONSTRUCTION15
OF A DIVERSE RANGE OF HOUSING IN AREAS SERVED BY INFRASTRUCTURE16
EFFECTIVELY CREATE HOUSING SUPPLY SHORTFALLS AND UNSUSTAINABLE17
DEVELOPMENT PATTERNS , AND THEREFORE REQUIRE A STATEWIDE18
SOLUTION.19
29-35-502. Definitions.20
AS USED IN THIS PART 5, UNLESS THE CONTEXT OTHERWISE21
REQUIRES:22
(1) "EVIDENCE OF DEBT" HAS THE MEANING SET FORTH IN SECTION23
38-38-100.3 (8).24
(2) "EXEMPT LOT" MEANS A LOT THAT IS:25
(a) NOT SERVED BY A DOMESTIC WATER AND SEWAGE TREATMENT26
SYSTEM, AS DEFINED IN SECTION 24-65.1-104 (5);27
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(b) S ERVED BY A WELL THAT IS NOT CONNECTED TO A WATER1
DISTRIBUTION SYSTEM, AS DEFINED IN SECTION 25-9-102 (6);2
(c) SERVED BY A SEPTIC TANK, AS DEFINED IN SECTION 25-10-1033
(18);4
(d) LOCATED WITHIN AN AIRPORT INFLUENCE AREA, AS DEFINED IN5
SECTION 29-35-103; OR6
(e) A HISTORIC PROPERTY THAT IS LOCATED OUTSIDE OF A7
HISTORIC DISTRICT.8
(3) "LIENHOLDER" MEANS THE HOLDER OF AN EVIDENCE OF DEBT.9
(4) "LOT SPLIT" MEANS THE PROCESS OF SUBDIVIDING AN ORIGINAL10
LOT INTO TWO NEW LOTS.11
(5) "SUBJECT JURISDICTION" MEANS A MUNICIPALITY THAT:12
(a) HAS A POPULATION OF ONE THOUSAND OR MORE, AS REPORTED13
BY THE STATE DEMOGRAPHY OFFICE; AND14
(b) IS WITHIN A METROPOLITAN PLANNING ORGANIZATION.15
29-35-503. Lot splitting approval by subject jurisdictions.16
(1) E XCEPT AS PROVIDED IN SECTION 29-35-504, ON OR AFTER17
DECEMBER 31, 2027, SUBJECT TO AN ADMINISTRATIVE APPROVAL PROCESS18
AND IN ACCORDANCE WITH THIS PART 5, A SUBJECT JURISDICTION SHALL19
APPROVE A LOT SPLIT OF AN ORIGINAL LOT INTO TWO NEW LOTS IF THE20
FOLLOWING CONDITIONS ARE MET:21
(a) THE LOT SPLIT DOES NOT CREATE A NEW LOT THAT IS SMALLER22
THAN ONE THOUSAND TWO HUNDRED SQUARE FEET IN AREA;23
(b) IF THE TWO NEW LOTS ARE NOT EQUAL IN AREA, THE AREA OF24
THE SMALLER OF THE TWO NEW LOTS IS EQUAL TO OR GREATER THAN25
THIRTY PERCENT OF THE AREA OF THE ORIGINAL LOT;26
(c) THE ORIGINAL LOT WAS NEVER SUBJECT TO ANOTHER LOT SPLIT27
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APPROVED THROUGH AN ADMINISTRATIVE APPROVAL PROCESS IN1
ACCORDANCE WITH THIS SECTION;2
(d) RESIDENTIAL USE IS ALLOWED ON THE ORIGINAL LOT;3
(e) IT IS FEASIBLE FOR:4
(I) BOTH OF THE NEW LOTS TO BE ACCESSED DUE TO ABUTMENT TO5
A PUBLIC OR PRIVATE STREET OR BY USE OF AN ACCESS EASEMENT, WHICH6
MAY INCLUDE SHARED COMMON ACCESS;7
(II) UTILITY EASEMENTS TO SERVE BOTH NEW LOTS; AND8
(III) BOTH NEW LOTS TO MEET THE REQUIREMENTS OF ARTICLES9
50, 51, 52, AND 53 OF TITLE 38;10
(f) THE ORIGINAL LOT IS NOT AN EXEMPT LOT; AND11
(g) T HE ORIGINAL LOT IS NOT LOCATED WITHIN A COMMON12
INTEREST COMMUNITY, AS DEFINED IN SECTION 38-33.3-103 (8), THAT WAS13
CREATED ON OR BEFORE DECEMBER 31, 2027.14
(2) I N ACCORDANCE WITH SUBSECTION (1) OF THIS SECTION, A15
SUBJECT JURISDICTION MAY ESTABLISH PROCEDURES TO REVIEW AND16
ACCEPT INFORMATION RELATED TO A PROPOSED LOT SPLIT, INCLUDING LOT17
INFORMATION RELATED TO:18
(a) PROPERTY OWNERSHIP;19
(b) PHYSICAL CHARACTERISTICS OF THE LOT, INCLUDING GEOLOGY20
AND SOILS;21
(c) PROPOSED NEW LOT LINES AND NEW LOT AREAS;22
(d) ADEQUACY OF WATER SUPPLY, SEWER SERVICE, AND DRAINAGE23
SYSTEMS TO SERVE THE NEW LOTS;24
(e) ADEQUACY OF ELECTRIC POWER AND NATURAL GAS SERVICE25
TO SERVE THE NEW LOTS;26
(f) D EDICATION FOR SCHOOLS , PARKS, STREETS, AND OTHER27
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PUBLIC AREAS, OR PAYMENT OF MONEY IN LIEU OF SUCH DEDICATION; AND1
(g) GUARANTEES OF NECESSARY PUBLIC IMPROVEMENTS.2
(3) NOTHING IN THIS SECTION PREVENTS A SUBJECT JURISDICTION3
FROM:4
(a) A PPLYING AND ENFORCING A LOCAL INFRASTRUCTURE5
STANDARD , INCLUDING A STANDARD RELATED TO UTILITIES ,6
TRANSPORTATION, OR PUBLIC WORKS CODES;7
(b) A PPLYING AND ENFORCING A LOCAL LIFE SAFETY CODE ,8
INCLUDING A BUILDING, FIRE, UTILITY, OR STORMWATER CODE;9
(c) APPLYING AND ENFORCING A REGULATION RELATED TO HUMAN10
AND ENVIRONMENTAL HEALTH AND SAFETY , INCLUDING OIL AND GAS11
SETBACKS, FLOODPLAIN REGULATIONS, AND AIRPORT INFLUENCE AREAS;12
(d) APPLYING AND ENFORCING A LOCAL REGULATION RELATED TO13
DEVELOPMENT, INCLUDING STORMWATER , IMPERVIOUS SURFACE AREA ,14
AND BUILDING COVERAGE STANDARDS;15
(e) ADOPTING GENERALLY APPLICABLE REQUIREMENTS FOR THE16
PAYMENT OF IMPACT FEES OR OTHER SIMILAR DEVELOPMENT CHARGES, IN17
ACCORDANCE WITH SECTION 29-20-104.5, OR FOR THE MITIGATION OF18
IMPACTS IN ACCORDANCE WITH PART 2 OF ARTICLE 20 OF THIS TITLE 29;19
(f) R EQUIRING A STATEMENT BY A WATER OR WASTEWATER20
SERVICE PROVIDER REGARDING THE PROVIDER'S CAPACITY TO SERVICE A21
PARCEL;22
(g) E NACTING OR APPLYING A LOCAL LAW CONCERNING A23
SHORT-TERM RENTAL, AS DEFINED IN SECTION 29-35-402 (19); OR24
(h) A PPLYING THE DESIGN STANDARDS AND PROCEDURES OF A25
HISTORIC DISTRICT TO A PARCEL LOCATED WITHIN A HISTORIC DISTRICT.26
(4) A SUBJECT JURISDICTION:27
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(a) S HALL NOT APPLY A SETBACK STANDARD THAT REQUIRES A1
SETBACK FROM THE LOT LINE ADJOINING TWO NEW LOTS CREATED2
THROUGH A LOT SPLIT IN ACCORDANCE WITH THIS SECTION IF NO3
STRUCTURE EXISTED ON THE ORIGINAL LOT IMMEDIATELY PRECEDING THE4
LOT SPLIT; AND5
(b) MAY APPLY A SETBACK STANDARD THAT REQUIRES A SETBACK6
FROM THE LOT LINE ADJOINING TWO NEW LOTS CREATED THROUGH A LOT7
SPLIT IN ACCORDANCE WITH THIS SECTION IF A STRUCTURE EXISTED ON8
THE ORIGINAL LOT IMMEDIATELY PRECEDING THE LOT SPLIT AND IF THE9
SETBACK IS EQUAL TO OR LESS THAN FIVE FEET.10
(5) NOTHING IN THIS PART 5 SHALL BE CONSTRUED TO SUPERSEDE,11
INVALIDATE, OR LIMIT THE ENFORCEABILITY OF PRIVATE COVENANTS ,12
CONDITIONS, OR RESTRICTIONS RECORDED AGAINST THE ORIGINAL LOT ,13
EXCEPT AS EXPRESSLY PROVIDED BY LAW.14
29-35-504. Consent of lienholder required prior to lot split.15
(1) I F AN ORIGINAL LOT OR ANY STRUCTURE BUILT ON THE16
ORIGINAL LOT IS SUBJECT TO AN EVIDENCE OF DEBT, THEN PRIOR TO17
APPROVING A LOT SPLIT IN ACCORDANCE WITH SECTION 29-35-503 (1), A18
SUBJECT JURISDICTION SHALL VERIFY THAT THE LIENHOLDER HAS19
RECEIVED NOTICE OF THE PROPOSED LOT SPLIT AND HAS CONSENTED TO20
THE LOT SPLIT IN WRITING. THE LIENHOLDER MAY CONDITION CONSENT TO21
THE LOT SPLIT ON THE SATISFACTION OF CONDITIONS SPECIFIED BY THE22
LIENHOLDER.23
(2) T HE WRITTEN CONSENT OF THE LIENHOLDER MUST BE24
EXECUTED IN A FORM THAT IS ELIGIBLE FOR RECORDING IN THE REAL25
PROPERTY RECORDS OF THE COUNTY IN WHICH THE ORIGINAL LOT IS26
LOCATED AND MUST INCLUDE THE FOLLOWING:27
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(a) THE NOTARIZED SIGNATURE OF THE LIENHOLDER OR THE AGENT1
OF THE LIENHOLDER;2
(b) THE NAME OF THE RECORD OWNER OR GROUND LESSEE OF THE3
ORIGINAL LOT;4
(c) THE LEGAL DESCRIPTION OF THE ORIGINAL LOT; 5
(d) T HE IDENTITIES OF ALL PARTIES WITH AN INTEREST IN THE6
ORIGINAL LOT AS REFLECTED IN THE REAL PROPERTY RECORDS, INCLUDING7
ANY EASEMENTS AND ENCUMBRANCES.8
(3) T HE WRITTEN CONSENT OF THE LIENHOLDER MUST BE9
RECORDED IN THE OFFICE OF THE COUNTY RECORDER OF THE C OUNTY IN10
WHICH THE ORIGINAL LOT IS LOCATED.11
(4) IF THE LIENHOLDER DOES NOT PROVIDE WRITTEN CONSENT TO12
THE LOT SPLIT IN ACCORDANCE WITH THIS SECTION , THE SUBJECT13
JURISDICTION SHALL NOT APPROVE THE LOT SPLIT . A LOT SPLIT THAT IS14
APPROVED BEFORE THE WRITTEN CONSENT OF THE LIENHOLDER HAS BEEN15
OBTAINED AND RECORDED IS VOID.16
SECTION 2. Safety clause. The general assembly finds,17
determines, and declares that this act is necessary for the immediate18
preservation of the public peace, health, or safety or for appropriations for19
the support and maintenance of the departments of the state and state20
institutions.21
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