
Backyard ADUs are surging in popularity across the Southwest, with cities like Los Angeles, Phoenix, and Tucson seeing a sharp rise in permits and new builds. In California alone, over 20,000 ADUs were approved in 2023, a number that reflects the growing demand for flexible, small-scale housing solutions that work for families, renters, and aging homeowners alike.
Whether used as rental units, guest houses, or personal workspaces, these compact structures offer a smart way to add value and function to residential properties. What makes backyard ADU designs especially interesting in the Southwest is how they blend traditional architecture with climate-conscious features, from thick stucco walls that beat the heat to open floor plans that connect seamlessly with the outdoors.
In this article, we’ll break down the best ADU designs for Southwest homes, showing how style and practicality come together to create standout additional dwelling unit designs that suit this region’s unique character and climate.
A backyard ADU, or Accessory Dwelling Unit, is a small, self-contained home located on the same lot as a primary residence. These structures have their own kitchen, bathroom, and living space, making them fully functional homes in a compact footprint. Backyard ADUs are gaining popularity in the Southwest due to their flexibility, affordability, and ability to increase property value without requiring new land development.
Detached ADUs are the most common choice for backyard installations, offering privacy and design flexibility.
These benefits make ADUs a compelling solution for a wide range of homeowners.
These choices help ADUs remain comfortable and cost-effective year-round.
Matching the ADU’s design to the main home and surrounding neighborhood enhances visual cohesion and curb appeal.
Combining kitchen, living, and dining areas into one open space helps small ADUs feel larger and more functional.
LADU stands out as one of Los Angeles’ premier ADU builders, combining modern architectural vision with a deep understanding of California’s housing regulations. The company handles every stage of the ADU journey, from personalized design consultations and permit acquisition to full-scale construction, ensuring homeowners enjoy a seamless experience. Their projects emphasize sustainability, energy efficiency, and clean contemporary design, helping residents maximize their backyard space with style and compliance. LADU’s attention to detail and use of eco-friendly materials have made them a trusted partner for homeowners looking to expand their property value and livable space.
Phoenix ADU Solutions is a go-to provider for backyard ADUs across the Phoenix metro area. Specializing in turn-key solutions, the company simplifies the ADU process for homeowners by managing design, permits, and construction all under one roof. Their portfolio features flexible and space-efficient designs that are perfect for guest houses, home offices, or rental units. With a strong focus on energy-efficient building methods and local zoning expertise, Phoenix ADU Solutions has become a trusted name for homeowners looking to make smart, long-term investments in their property.
Based in Tucson, La Casita Development brings a local touch to ADU design, construction, and project management. The company is known for its warm, Southwest-inspired architecture that blends beautifully with Arizona’s desert landscape. La Casita Development offers a range of ADU options, from cozy casitas to multi-purpose studios, crafted to meet each homeowner’s aesthetic and practical needs. Their experienced team focuses on craftsmanship, affordability, and compliance with local codes, making them a top choice for Tucson residents seeking to enhance their backyard space with character and comfort.
LivLab Studios is redefining small-space living across New Mexico with its innovative approach to ADU design. Known for their sleek, modular-style studios, LivLab integrates sustainability, modern architecture, and functionality into every project. Their ADUs are designed to be efficient, adaptable, and aesthetically refined, perfect for homeowners seeking flexible living spaces, creative work studios, or guest accommodations. With a commitment to environmentally conscious building practices and cutting-edge design, LivLab Studios exemplifies the new wave of creative, sustainable backyard living solutions in the Southwest.
California has some very helpful laws when it comes to ADU building:
These laws aim to reduce barriers and encourage more backyard ADUs statewide.
In Arizona, both Phoenix and Tucson have recently revised their ordinances to permit ADUs more broadly, especially on lots zoned for single-family residences. For example, Tucson adopted changes in 2024 (driven in part by State House Bill 2720) that expand how many ADUs may be allowed per lot, ease setback and height requirements, and remove minimum parking mandates.
Meanwhile in Phoenix, recent ordinance updates reflect compliance with new state laws requiring more permissive ADU development, allowing smaller accessory dwellings with self-contained living spaces (kitchen, bathroom, entrance) in both attached and detached forms.
Additionally, at the state level, Arizona passed House Bill 2928 in 2025, a reform aimed at expanding property rights and facilitating ADU construction across qualifying residential lots.
In New Mexico, many municipalities, particularly Santa Fe, allow accessory dwelling units (often called “casitas”) by right in most residential zones, subject to local use standards and size or placement constraints. The state has also moved toward more uniform ADU regulation: for example, recent legislative proposals such as House Bill 554 (2025) aim to ease restrictions on ADUs in residential zoning elsewhere in the state.
Local codes typically regulate features like maximum square footage, setbacks, and compliance with building codes (e.g., Santa Fe’s adoption of state and international codes plus green building amendments).
Backyard ADU designs provide Southwest homeowners with a practical, stylish way to expand their living space or generate income. Whether you’re drawn to Spanish Revival charm, Modern Minimalist efficiency, or an accessible one-bedroom layout, there’s a design that fits your needs and your lot.
These eight ADU styles reflect the best of regional architecture while offering flexibility and comfort. From open floor plans to outdoor patios and energy-efficient materials, each design serves a purpose in Southwest living.