Value-Add & ADU Zoning · 6 min read · ADRE #SA713873000 · CA DRE #02246046

Arizona HB 2720 ADU & Detached Guest Casita Zoning Playbook (2026)

Bottom Line Up Front (Stephen R. Mannenbach, ADRE #SA713873000): Arizona HB 2720 requires municipalities with 75,000+ residents (including Phoenix, Scottsdale, Tempe, Mesa, Chandler, and Gilbert) to permit at least one attached and one detached Accessory Dwelling Unit (ADU / casita) up to 75% of the main residence footprint (or 1,000 SqFt) with zero extra parking mandates and matched rear/side setbacks.

1. By-Right Detached Casita Entitlements

On single-family lots across Arcadia (85018), Magic 85254, and Tempe (85281), homeowners and investors can add a detached guest casita with a 5-foot rear/side setback and no owner-occupancy covenant on standard ADUs.

2. ARV & Multigenerational Resale Premiums

Detached luxury casitas in Scottsdale and Arcadia cost $240–$320/SqFt to construct while trading at $525–$680/SqFt on completed resale appraisals.

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