Peoria allows accessory dwelling units by right under Peoria City Code §21-316 (Ord. 2024-20, adopted December 17, 2024): one attached and one detached ADU on any lot where a single-family dwelling is allowed, with no public hearing, no extra parking and no owner-occupancy rule. The cap is the lesser of 1,000 sq ft or 75% of the house's interior habitable area; rear and side setbacks are 5 ft and height follows the district's 30-ft single-family limit (§21-420.A). Expect a valuation-based building permit (about $2,190 on a $150,000 casita under Fee Table 27-6) plus development impact fees, which Peoria charges on every new dwelling unit.
In Peoria you will also hear an ADU called a casita — Arizona's ADU statute (A.R.S. §9-461.18) and most local codes use it. The rules on this page apply either way.
Zoning & Size Requirements [1][2][3][4][5][6]
Yes — Peoria allows ADUs. A detached ADU can typically be up to 1,000 sq ft under current Arizona and Peoria zoning rules.
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| Allowed Zones | Any lot or parcel where the zoning allows a single-family dwelling (Peoria City Code §21-316.A and §21-316.D.1.a) — the R1-43, R1-35, R1-18, R1-12, R1-10, R1-8, R1-7 and R1-6 districts (§21-418.A, §21-422.B), plus Suburban Ranch (§21-411.A) and General Agriculture (§21-683.A) under Ord. 2024-20. Not permitted on a lot or parcel with a duplex or other multiple-family development (§21-316.D.1.b) |
| Max Size (Detached) | The lesser of 75% of the gross floor area of the existing single-family dwelling or 1,000 sq ft (Peoria City Code §21-316.C.2); 'gross floor area' means interior habitable area (§21-316.B). The ADU must be smaller than the house (§21-316.B definition) and counts toward the district's lot-coverage cap (§21-316.D.3) |
| Max Size (Attached) | Same cap — the lesser of 75% of the primary dwelling's gross floor area or 1,000 sq ft (Peoria City Code §21-316.C.2). The code sets no separate attached-ADU standard; setbacks, height and coverage follow §21-316.D, and an internal conversion of existing space counts against the same cap |
| Max Size (JADU) | Not a category in Arizona — Peoria City Code §21-316 has no junior ADU designation; a converted bedroom or garage is simply an attached ADU under the 75%/1,000 sq ft cap |
| Max Height | Same height limit that applies to a single-family dwelling in the district (§21-316.D.4) — 30 ft in every R1 district, R1-43 through R1-6 (§21-420.A table). The 20-ft cap (25 ft in R1-18/R1-35) in §21-315.C.1 is for garages, sheds and other accessory buildings; ADUs are governed by §21-316 (§21-315.A.2). State law bars any ADU height limit stricter than the house's (A.R.S. §9-461.18(B)(5)) |
| Max Units | 2 per lot — one attached plus one detached ADU (§21-316.C.1.a). On a single-family lot of 1 acre or more: one attached plus two detached, but only if at least one detached unit is a 'restricted-affordable dwelling unit' rented to households earning up to 80% of area median income, documented by deed restriction or development agreement before the permit issues (§21-316.C.1.b, §21-316.E.2). A mobile home or RV cannot serve as an ADU (§21-316.E.4) |
Setback Requirements [1][2][3][4][5][6]
Peoria requires a rear setback of about 5 ft for a detached ADU, and no additional parking is required. Owner-occupancy is not required — you can rent it out without living on the property.
| Rear Setback | 5 ft from the property line (Peoria City Code §21-316.D.2.a) — versus the 15-ft rear setback a house must keep in R1-18 through R1-6, 20 ft in R1-35 and 30 ft in R1-43 (§21-420.A). State law caps the ADU rear setback a city may require at 5 ft (A.R.S. §9-461.18(B)(6)) |
| Side Setback | 5 ft from the property line (Peoria City Code §21-316.D.2.a). A house needs 5 ft minimum/15 ft combined in R1-18 through R1-7 (5/8/13 in R1-6) and 10 ft in R1-35 and R1-43 (§21-420.A); the ADU rule drops the combined total and the 10-ft minimum. The 10-ft corner-lot street-side setback in §21-420.A is not expressly relaxed — confirm with Planning. State cap: 5 ft (A.R.S. §9-461.18(B)(6)) |
| Front Setback | The principal front building setback of the underlying district (Peoria City Code §21-316.D.2.b) — per §21-420.A, 20 ft in R1-18 through R1-6 with a front-facing garage (10 ft for a side-entry garage or the livable portion, with no more than 60% of the front elevation at 10 ft), 30 ft in R1-35 and 35 ft in R1-43. Nothing over 3 ft tall may stand in the required front setback (§21-419.A) |
| Parking Required | None — no additional parking space or in-lieu parking fee may be required for a new ADU (Peoria City Code §21-316.D.6; A.R.S. §9-461.18(B)(3)) |
| Owner Occupancy | Not required. Peoria's code has no owner-occupancy rule for ADUs, and state law bars the city from prohibiting separate long-term leasing (90 days or longer, or month-to-month) of the house or the ADU, or requiring any familial, marital, employment or other relationship between the occupants (A.R.S. §9-461.18(B)(1)-(2); §21-316.B 'Long-term Rental'). An ADU can never be sold separately from the house (§21-316.E.3) |
| Min Lot Size | No ADU-specific minimum lot size — an ADU is allowed wherever the zoning allows a single-family dwelling (§21-316.D.1.a), and state law bars a lot-size rule stricter than the house's (A.R.S. §9-461.18(B)(5)). The practical limit is maximum lot coverage, which the ADU counts toward (§21-316.D.3): 30% in R1-43, 35% in R1-35 and R1-18, 40% in R1-12, 45% in R1-10 through R1-6 (§21-420.A). A lot of 1 acre or more unlocks a third unit |
Permit Process & Fees [7][8][9][10][11]
An ADU permit in Peoria goes through a ministerial, by-right review. Review time: not published — no ADU review time frame could be verified from a city source (peoriaaz.gov sits behind a bot check). Fee Table 27-6 offers expedited plan check at 200% of the fee ($1,000 minimum); confirm current turnaround with Development & Engineering. Permit fees: Valuation-based (Fee Table 27-6, Ord. 2025-28, 11-4-25): $1,045.25 for the first $100,000 of construction value plus $5.60 per $1,000 above it, plus plan check at 65% of the permit fee — about $2,190 on a $150,000 casita, before impact fees.
| Approval Process | By-right permitted use — approved without a public hearing, variance, conditional use permit, special permit or special exception (Peoria City Code §21-316.B 'Permitted Use', §21-316.C.1), subject to adequate public utility services and Peoria's building, fire and public-health codes plus the Engineering Standards Manual (§21-316.A). Apply for a building permit through Development & Engineering (Building Safety); a denial can be appealed to the Board of Adjustment (§21-316.C.3, §21-162) |
| Review Timeline | Not published — no ADU review time frame could be verified from a city source (peoriaaz.gov sits behind a bot check). Fee Table 27-6 offers expedited plan check at 200% of the fee ($1,000 minimum); confirm current turnaround with Development & Engineering |
| Permit Fees | Valuation-based (Fee Table 27-6, Ord. 2025-28, 11-4-25): $1,045.25 for the first $100,000 of construction value plus $5.60 per $1,000 above it, plus plan check at 65% of the permit fee — about $2,190 on a $150,000 casita, before impact fees |
| Impact Fees | Yes — development impact fees apply to any construction that creates a new dwelling unit and are paid at building-permit issuance (Peoria Impact Fee FAQ; City Code §20-32, §20-39). Seven categories (streets, parks, fire, police, water, sewer, water resources) vary by service area; the residential schedule took effect December 15, 2024, plus a 1% administrative charge (Fee Table 27-6). No ADU exemption exists — request a written estimate from Development & Engineering for your address |
| Plan Check | Full construction plan review under Peoria's building and fire codes and the Engineering Standards Manual (§21-316.A); plan check is billed at 65% of the building permit fee, and re-reviews after revisions at $220 for the first two hours (Fee Table 27-6). State law bars the city from applying a commercial building code to an ADU or requiring a fire sprinkler (A.R.S. §9-461.18(D)). An ADU may not sit on a public utility easement without written consent from every easement holder and affected utility (§21-316.D.7) |
| Pre-Approved Plans | No city pre-approved ADU plan library could be verified as of September 2026 (Peoria's website was unreachable behind a bot check, and the code has no standard-plan section). A.R.S. §9-461.20 requires Peoria to make at least three pre-approved ADU plans available from July 1, 2026 — ask Development & Engineering whether the library is live |
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Construction Costs [12][13][14]
Building an ADU in Peoria typically costs $150,000-$280,000 ($175-$350 per sq ft); a garage conversion runs $80,000-$150,000.
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| Average Build Cost | $150,000-$280,000 |
| Cost per Sq Ft | $175-$350 |
| Garage Conversion | $80,000-$150,000 |
| Prefab ADU (Installed) | $150,000-$300,000 |
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Rental Income Potential [15][16][17][18]
A 2-bedroom ADU in Peoria rents for around $1,650-$2,300/mo, an estimated 6-11% gross rental yield.
| Avg Rent (1 Bedroom) | $1,400-$1,900/mo |
| Avg Rent (2 Bedroom) | $1,650-$2,300/mo |
| Short-Term Rental | Yes, with a City vacation rental permit (Peoria City Code §§11-148 to 11-161, Ord. |
| Est. Annual ROI | 6-11% gross rental yield |
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Recent Law Changes
What's Changed Recently
- Re-verified September 20, 2026 against the codified Peoria City Code (2026 S-9 supplement): §21-316 is unchanged since Ord. 2024-20 — no ADU amendment appears in the city's 2025 or 2026 ordinance lists
- Ordinance No. 2024-20, adopted December 17, 2024, created Peoria City Code §21-316 (Accessory Dwelling Unit) and amended §§21-200, 21-300, 21-400 and 21-600 to comply with A.R.S. §9-461.18 (HB 2720) before the January 1, 2025 deadline; the ordinance states that state law controls in any conflict (§21-316.A)
- Ordinance No. 2025-29 (November 18, 2025) added §21-423 Middle Housing — duplexes, triplexes, fourplexes and townhomes as a permitted use on Suburban Ranch and R1 lots within one mile of the Central Business District. An ADU is not allowed on a lot with a duplex or multi-family building (§21-316.D.1.b), so the two paths do not stack
- Ordinance No. 2025-28 (November 4, 2025) is the latest amendment to the Building Safety fee table (Fee Table 27-6) that sets the valuation-based permit fee and the 65% plan-check charge
- Peoria's development impact fee schedule was approved October 1, 2024 and took effect December 15, 2024 (Ord. 2024-14 revised the service areas in §20-32); impact fees are charged on every new dwelling unit, with no ADU exemption
- A.R.S. §9-461.20 (2025) requires Peoria to offer at least three pre-approved ADU plans from July 1, 2026; whether the city has published them could not be verified in September 2026
- ADUs built or in existence without a permit before September 15, 2024 may be legalized by applying for a building permit under current building standards (§21-316.E.1)
Tips for Building an ADU in Peoria
- Measure your house before you design: the cap is the lesser of 1,000 sq ft or 75% of your home's interior habitable area, so a 1,200 sq ft house limits the casita to 900 sq ft (§21-316.C.2)
- Lot coverage is where most Peoria casitas run out of room: on a 6,000 sq ft R1-6 lot at 45%, house, garage and casita together cannot cover more than 2,700 sq ft of ground (§21-316.D.3, §21-420.A)
- You can build two ADUs by right — one attached and one detached (§21-316.C.1.a) — which is unusually generous outside California
- The 5-ft rear and side setback is a state-law ceiling, not a floor: Peoria cannot require more, so don't accept a plan reviewer's larger number without asking about A.R.S. §9-461.18(B)(6)
- Your casita does not have to match the house — §21-316.D.5 only asks that the exterior 'complement to the greatest extent possible', and state law forbids a matching mandate (A.R.S. §9-461.18(B)(4))
- Budget for impact fees: they are charged on every new dwelling unit at permit issuance and depend on which transportation, parks, water and sewer service area your address falls in — get the written estimate from Development & Engineering before you sign a build contract
- The third unit on an acre-plus lot comes only with a deed restriction capping rent at 80% AMI (§21-316.E.2) — run that against market rent before committing
- Check your plat for public utility easements early: an ADU may not encroach on an existing or planned easement without written consent from every easement holder and affected utility (§21-316.D.7)
- Sequence matters — no ADU may be built before the single-family dwelling it is accessory to (§21-316.D.1.c), an ADU can never be sold separately (§21-316.E.3), and a lot with an ADU cannot be split unless the ADU gets its own utilities and a new certificate of occupancy (§21-316.E.5)
- Renting the casita on Airbnb needs Peoria's vacation rental permit first (§11-150) — and unlike Phoenix, Scottsdale and Tempe, Peoria has not added an owner-must-live-on-site rule for ADU short-term rentals
- Cost basis: 2026 Phoenix-metro builder guides (Fenn Rogers May 2026, Rise Above 2026, Dwelling Index May 2026) — mid-range detached casita $150K-$250K, custom $250K-$400K+, garage conversion $80K-$150K, permits and fees $5K-$12K; no Peoria-specific price list was used
- Cost basis (2026-09-20 re-verification): short term allowed: Yes, with a City vacation rental permit (Peoria City Code §§11-148 to 11-161, Ord. 2022-20): state TPT licence, Maricopa County Assessor registration, a 24-hour emergency contact, written neighbor notification and $500,000 liability cover; operating without a permit risks up to $1,000 per month (§11-150). Peoria's code has not adopted the A.R.S. §9-500.39(B)(9) option to require the owner to live on-site when an ADU finaled after September 14, 2024 is used as a short-term rental. Long-term leasing of house and ADU separately is protected (A.R.S. §9-461.18(B)(1))
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Sources & References
All data on this page is sourced from official government records and verified market data. View our full methodology.
- Peoria City Code §21-316 — Accessory Dwelling Unit, and §21-315 Accessory Buildings and Uses (Ord. No. 2024-20, 12-17-24; 2026 S-9 supplement) Municipal Code — Accessed 2026-09-20
- Peoria City Code §21-419 to §21-423 — R1 Property Development Standards table (§21-420.A) and Middle Housing (§21-423, Ord. 2025-29) Municipal Code — Accessed 2026-09-20
- Ordinance No. 2024-20 with Exhibit A — City of Peoria (Council agenda attachment) Municipal Code — Accessed 2026-09-20
- Code Amendment: Accessory Dwelling Units and Backyard Fowl (TA24-02) — Planning & Zoning Commission Staff Report, Nov 14, 2024 Planning Department — Accessed 2026-09-20
- Peoria City Code — Ordinance List, 2025 and 2026 ordinances (no §21-316 amendment) Municipal Code — Accessed 2026-09-20
- A.R.S. §9-461.18 — Accessory dwelling units; regulation; applicability; definitions state_statute — Accessed 2026-09-20
- Peoria City Code Fee Table 27-6 — Development and Engineering Department, Building Safety; Fees Required (Ord. 2025-28, 11-4-25) Municipal Code — Accessed 2026-09-20
- Peoria City Code §§20-30 to 20-43 — Development fees (definitions, applicability by service area, collection) Municipal Code — Accessed 2026-09-20
- City of Peoria — Impact Fees page (fees approved Oct 1, 2024, effective Dec 15, 2024; Wayback capture Jan 23, 2026) Planning Department — Accessed 2026-09-20
- City of Peoria — Development Impact Fees: Frequently Asked Questions (PDF; Wayback capture Mar 14, 2025) Planning Department — Accessed 2026-09-20
- A.R.S. §9-461.20 — Municipal housing; standard preapproved housing design plans (ADU plans from July 1, 2026) state_statute — Accessed 2026-09-20
- ADUs in Arizona: Rules, Costs, What to Know (2026) — Fenn Rogers Custom Homes, Mesa (updated May 12, 2026) industry — Accessed 2026-09-20
- How Much Does It Cost to Build a Casita in Arizona? (2026 Guide) — Rise Above Remodeling, Phoenix industry — Accessed 2026-09-20
- Prefab Modular ADU: 2026 Costs, Code Paths & Lot Fit — Dwelling Index (updated May 27, 2026) industry — Accessed 2026-09-20
- HUD FY2027 Small Area Fair Market Rent Schedule — Phoenix-Mesa-Chandler MSA ZIP table (Peoria ZIPs 85345, 85381, 85382, 85383) government — Accessed 2026-09-20
- Average Rent in Peoria, AZ — RentCafe (updated Sep 1, 2026) Market Data — Accessed 2026-09-20
- Peoria City Code §§11-148 to 11-161 — Short Term Rentals and Vacation Rentals (Ord. 2022-20) Municipal Code — Accessed 2026-09-20
- A.R.S. §9-500.39 — Vacation rentals; short-term rentals; regulation (B.9 ADU owner-residency option) state_statute — Accessed 2026-09-20
Frequently Asked Questions
Can I build an ADU in Peoria?
Yes. ADUs are allowed in Any lot or parcel where the zoning allows a single-family dwelling (Peoria City Code §21-316.A and §21-316.D.1.a) — the R1-43, R1-35, R1-18, R1-12, R1-10, R1-8, R1-7 and R1-6 districts (§21-418.A, §21-422.B), plus Suburban Ranch (§21-411.A) and General Agriculture (§21-683.A) under Ord. 2024-20. Not permitted on a lot or parcel with a duplex or other multiple-family development (§21-316.D.1.b) in Peoria. The maximum size for a detached ADU is The lesser of 75% of the gross floor area of the existing single-family dwelling or 1,000 sq ft (Peoria City Code §21-316.C.2); 'gross floor area' means interior habitable area (§21-316.B). The ADU must be smaller than the house (§21-316.B definition) and counts toward the district's lot-coverage cap (§21-316.D.3). Owner-occupancy is not required, so you can rent out the ADU.
How much does an ADU cost in Peoria?
ADU construction in Peoria typically costs $150,000-$280,000. Garage conversions run $80,000-$150,000, and prefab ADUs cost $150,000-$300,000.
How much can I rent an ADU for in Peoria?
Average ADU rents in Peoria are $1,400-$1,900/mo for a 1-bedroom and $1,650-$2,300/mo for a 2-bedroom unit.
Do I need parking for an ADU in Peoria?
None — no additional parking space or in-lieu parking fee may be required for a new ADU (Peoria City Code §21-316.D.6; A.R.S. §9-461.18(B)(3)). Check with Peoria planning department for the latest Arizona ADU parking rules, as many states have relaxed requirements in recent years.
How long does it take to get an ADU permit in Peoria?
Peoria does not publish a standard ADU review timeline. no ADU review time frame could be verified from a city source (peoriaaz.gov sits behind a bot check). Fee Table 27-6 offers expedited plan check at 200% of the fee ($1,000 minimum); confirm current turnaround with Development & Engineering. Permit fees: Valuation-based (Fee Table 27-6, Ord. 2025-28, 11-4-25): $1,045.25 for the first $100,000 of construction value plus $5.60 per $1,000 above it, plus plan check at 65% of the permit fee — about $2,190 on a $150,000 casita, before impact fees.
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