Community Housing Overview

In 2021, the Town of Mountain Village launched its Community Housing Initiative to address our regional housing challenges. This initiative was built upon the Town of Mountain Village’s longstanding commitment to community housing and its role as the leader in the region in establishing and supporting existing and new community housing. In light of the ongoing urgent need for housing solutions throughout our community, the Town has developed a sweeping plan to demonstrate its continued commitment to support, create and pave the way for community housing.

Currently, two-thirds of the full-time occupied housing units in Mountain Village are deed-restricted, the highest deed-restricted to free-market housing ratio in the region.Since launching the Community Housing Initiative, the Town has been able to expand its deed-restricted housing inventory by 154 bedrooms in 64 units of both rental and for-sale inventory. These units are administered by the Mountain Village Housing Authority.

However, the Town understands there is still more to be done to ensure anyone who wishes to make Mountain Village their home has the opportunity to do so.

Regional Housing Needs Assessment

The Town of Mountain Village has been proactive regarding the construction of both ‘for sale’ and ‘rental’ deed-restricted housing. As of the 2018 Regional Housing Needs Assessment, Ouray and San Miguel Counties, Mountain Village housing inventory contained 533 total deed-restricted housing units which included 220 rental units at Village Court Apartments owned by the Town of Mountain Village Housing Authority.

The Housing Needs Assessment is currently being revised to reflect current market analysis. Learn more about the process.

Community Housing Initiatives

Learn about the Town's various housing programs and incentives through the dropdowns below.

New Developments

Village Court Apartments Phase IV

In summer of 2024, the Town completed Village Court Apartments Phase Iv, adding 35 new rental units to the market (88 bedrooms total).

With a total cost of approximately $20.29 million, including a $2.225 million grant from the Department of Local Affairs,the project featured 8 one-bedroom, 13 two-bedroom, 1 three-bedroom and 14 four bedroom units. The East building units allocated through the Town's waitlist system. The West building units were renteded out to employees of Mountain Village businesses through a master lease program.

Meadowlark at Mountain Village

To learn more about Meadowlark at Mountain Village, please visit our Meadowlark https://townofmountainvillage.com/community/housing/meadowlark-at-mountain-village/https://townofmountainvillage.com/community/housing/meadowlark-at-mountain-village/

Alexander Property in Ilium Valley

To learn more about the Alexander Property in Ilium Valley, please visit our project webpage.

Town of Norwood

The Town of Mountain Village purchased 37.6 acres of land adjacent to the Town of Norwood on December 10, 2021 with the sole purpose of developing attainable housing for the region. Mountain Village will be working closely with the Town of Norwood to make sure this project properly meets the needs of the region and the Norwood community.

The property is located at 1545 S Spruce Street. There is currently one existing single-family home on the property, which the Town will continue to rent until development makes occupation of the unit impractical.

To date, the Town of Mountain Village has submitted two applications: 1) to annex the property into the Town of Norwood and 2) to rezone the property to R-1 Residential. Both approvals occurred on February 28, 2022.

Development Incentives

Community Housing Mitigation Methodology

In early 2022, Town Council approved the Community Housing Mitigation Methodology, a common strategy in other Colorado resort communities to better provide a direct correlation between new development and housing requirements. A housing mitigation methodology provides a more predictable path for the town and a developer to understand the necessary housing generated as a result of new development.

To review the new methodology, please download the spreadsheet below. For further questions, please email .

Mountain Village Community Housing Mitigation Worksheet Download PDF

Waived deed-restricted development fees

Since 2019, the Town has waived development fees (design, building) for deed-restricted housing: remodels, repairs, replacement and new construction.
Design Guidelines can be expressly waived or reduced by the Design Review Board for community housing projects
Tap fees are half that of free-market fees.
Real Estate Transfer Assessment (RETA) is waived.

Learn more

Zoning Incentives

Accessory Dwelling Units

The Town of Mountain Village plans to simplify the definition of an Accessory Dwelling Unit (ADU) to encourage homeowners to build and utilize these additional structures for community housing and secure a passive income stream to assist with mortgage payments by targeting long-term renters.

ADUs are permitted in single-family dwellings and we will amend to CDC to make it more clear they are also allowed within detached condominiums. The updated code increases flexibility related to a private separate entrance and the allowance of a kitchen. Currently, Mountain Villages has over 100 ADUs already constructed and many properties have an ability to add an accessory use to their existing built property.

You can build a detached ADU on a lot that is .75 acres or greater
You can build an attached ADU or mother-in-law suite on a lot under .75 acres
You can build a mother-in-law suite in a detached condominium OR single-family home.
You can retrofit your existing detached condominium to include a mother-in-law suite

The Town is also proposing that you can increase the size of your ADU and/or receive an increase in site coverage to construct an ADU if you are willing to deed restrict the ADU. Remember that with these incentives, your development fees would also be waived to construct a deed-restricted ADU.

Non-subdividable duplex and subdividable duplex

At the direction of the Council, the Town will be re-introducing non-subdividable and subdividable duplex development in the single-family zone district. The non-subdividable duplex and subdividable duplex will not apply to all of the single-family zone districts, rather proposed as an overlay that will target appropriate areas for duplex development.

The aim of allowing this development pattern is to encourage smaller duplex development. As homes are limited to the same site coverage as a single-family home of 40% (in most instances), this will achieve a lower price point due to the smaller square footage, and allow a builder/owner to generate a passive income stream by rental of the second dwelling unit. In the instance of a subdividable duplex, the units could be owned by separate owners when condominiumized. The town realizes that it is important to continue to provide a wide range of housing inventory. Under both duplex scenario’s YES funds can be utilized to deed restrict the second unit on the property.

Two dwellings can be constructed on a single-family lot as long there is a singular access point (singular driveway) from the road.
They can be attached or detached.
The non-subdividable provision means that the property cannot be further subdivided by platting or condominiumizing, but must remain in the same ownership.
The subdividable provision means that the units can be owned by separate owners so long as a condominium map and associated documents are reviewed and approved by the Town.

No zoning limitations

Town Council can create deed-restricted housing and it does not count against the Town's density limitation.
Community Housing is allowed in all current zone districts inclusive of Active Open Space and only prohibited within Passive Open Space.

Simplest deed-restriction in the region

The Town’s form of deed restriction limits the owner or renter (whoever is occupying the unit) to demonstrate that they live and work in the R-1 School District.

There are no income limitations, complicated formulas or tiers.
You can own and not be required to occupy a deed-restricted property, yet the renter must be qualified.
There is no limitation on other assets or properties.
Most, though not all, deed restrictions in the Mountain Village do not have price caps.
You can be retired, or anticipating retirement and have peace of mind that you can continue to live in, occupy, and own your deed-restricted unit with no threat of losing eligibility to own or occupy the unit.

Community Housing Overview

Regional Housing Needs Assessment

Community Housing Initiatives

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