Colorado Gov. Jared Polis delivered his seventh State of the State speech Thursday, featuring the second-term governor’s usual wonky policy focus and nerdy science fiction and popular culture references. The near hour-long speech included a focus on housing affordability that offered two unique proposals to address the state’s housing shortage.
Polis, who has made the issue of Colorado’s skyrocketing home prices a priority since being reelected in 2022, urged lawmakers to consider changing regulations to allow for smart stair apartments and more condominium development.
Smart stair apartments and houses are buildings that rely on only a single stairwell for residents. These types of buildings are common in Europe but are outlawed in most of the United States due to fire codes. In Colorado a statewide fire code has banned them for decades.
In a press conference following the speech, Polis explained how he thinks that well-established regulation should change. Under current rules, he said, a building that houses two families of three might require two staircases while a building housing one family of six would only require a single staircase. The reform proposal would allow that two unit building to have a single staircase.
“We can provide additional flexibility to prevent kind of large block buildings and have town homes and other kinds of housing that can be inherently more affordable,” Polis said.
A bill introduced last year would have provided that reform but failed to advance in the state’s House of Representatives after opposition by fire chiefs and local governments. Estes Park’s new state representative Lesley Smith said after the speech that she will co-sponsor any similar bill that is introduced this session.
The other proposal Polis mentioned in his speech would encourage the development of more condominiums in the state. Condos are often available to home buyers at a lower price point than single family homes. Before 2008 condos made up nearly 20% of housing construction, Polis told legislators but has dropped to just 5% of new homes in the state currently. That decrease has largely been attributed to existing construction defect liability laws.
“Let’s turn the page and have a real dialogue about what is preventing condos from being built, and solve for it,” Polis said.
A bill that Polis supported last year and that failed would have restricted homeowners from bringing lawsuits against builders except under the specific circumstances where the defects risked harm to individuals safety or caused damage to a person or property.
Smith expressed interest in the idea of reforming condo liability but did not say whether she would support a bill addressing the issue.
“Proof is in the pudding, so I’d have to see what exactly the bill would be,” Smith said.
Another major issue Polis addressed, and one that has affected many in the Estes Valley, is homeowner insurance coverage. Because of the risk of fire, hail, and other events, the number of Colorado homeowners who have lost their property insurance has increased during recent years. Polis said that he’s heard from Coloradans from across the state who can’t find coverage or have been priced out.
“Just as Lord of the Rings fans know that one does not simply walk into Mordor, one does not simply fix homeowners insurance. Many factors contribute to the soaring cost. But we need to start somewhere, and we need to start now,” Polis said.
The governor did not specify exactly what that start should look like.
Polis’ comments did not include much emphasis on the state’s anti-pollution policies or assuring a reliable water supply from the Colorado River, which has been impacted by significant drought in recent years. The governor did say that rail service from Denver’s Union Station to Granby is expected by the end of 2026.
The 120-day legislative session will continue until May 7.