In December 2025, the City of Madison passed Ordinance 90557, formally introducing cottage courts as a permitted development form in residential zones. This is a meaningful expansion of what’s allowed on residential lots, and it’s particularly relevant to anyone thinking about small-home and ADU-scale development.
What Is a Cottage Court?
A cottage court is a cluster of small dwellings — typically three to six units — arranged around a shared outdoor space, often a courtyard or common garden. The typology sits in the gap between a single-family home and a multifamily apartment building: dense by single-family standards but human-scale and neighborhood-compatible.
What Ordinance 90557 Permits
Madison’s ordinance allows cottage courts as a permitted use in certain residential zoning districts — primarily TR-C2, TR-V2, and TR-V3. The ordinance establishes standards for minimum lot size (larger than a standard single-family lot), number of units (generally three to six per cottage court), shared open space (a minimum percentage of the lot as accessible courtyard), individual unit size limits (in the 500–1,200 square foot range), and design compatibility guidelines.
Which Lots Actually Qualify
The ordinance’s lot size minimums and zoning district requirements narrow the practical opportunity. A standard 50x150 foot lot in a TR-C1 zone doesn’t qualify — the zoning and lot size are both wrong. Where the opportunity exists: larger corner lots, assembled parcels (two adjacent lots under common ownership), or properties already in TR-V2/V3 districts. Infill opportunities in transitional neighborhoods near commercial corridors are where cottage courts make the most economic sense.
How This Relates to ADUs
For a typical Madison homeowner with a standard single-family lot, Ordinance 90557 doesn’t change what you can build. ADUs remain the relevant tool. Where it becomes relevant: if you own or are considering a larger lot with redevelopment potential, the cottage court path is now open. We specialize in ADUs and small-home construction — cottage courts are a natural extension of that work. If you have a site that might qualify, reach out and we’ll assess it.