Sleep outs are not granny flats

This BRANZ bulletin explains the Schedule 1 exemptions for sleepouts, including what’s allowed, the conditions that apply and when building or resource consent may still be required

Sleepouts are often treated as a simple, consent-free alternative to small dwellings – but the distinction is more restrictive than many builders and homeowners realise.

Under Schedule 1 of the Building Act, sleepouts can be built without consent only if they meet specific conditions, including a prohibition on kitchens and sanitary facilities .

That means they are not interchangeable with small stand-alone dwellings, commonly referred to as granny flats, which operate under a separate exemption framework.

Schedule 1 of the Building Act 2004 lists building work that can be undertaken without requiring building consent. There are four options for sleepouts that comply with these exemptions:

• Single-storey detached buildings not exceeding 10m² in area.
• Single-storey detached buildings with 10–30m² floor area and built with lightweight wall and roof materials.
• Kitset/prefab buildings with 10–30m² floor area designed or reviewed by a chartered professional engineer.
• Buildings with 10 to 30m² floor area where licensed building practitioners (LBPs) with the appropriate licences carry out or supervise design or construction.

The sleepouts under these exemptions are not the same thing as tiny houses or small stand-alone dwellings up to 70m² (granny flats) because exempt sleepouts cannot include cooking facilities or sanitary facilities such as a toilet or shower or handbasin with potable water. Homeowners wanting to include these facilities must get building consent for the whole sleepout or use the exemption for small dwellings, which has different conditions. Small dwellings are referred to as small stand-alone dwellings in the new Schedule 1A of exemptions. The small dwelling exemption is described in BRANZ Bulletin BU704 Small dwellings exempt from consents.

While the Schedule 1 exemptions for sleepouts come with common specific conditions that are explained in this bulletin, there are other restrictions and conditions at both central government and council levels that must be understood and complied with before design or construction work can begin.

There will be some circumstances where building consent may still be required. Managing stormwater off the roof is an example, whether this involves connecting to a public stormwater drain or constructing a soak pit on site. There may also be circumstances where resource consent is required such as when construction of a sleepout or the intended location of the sleepout does not fully comply with the district/unitary plan or other council regulations. Discuss your proposal with the council before beginning design work.

Even though a sleepout may not require building consent, its construction must comply with all the applicable clauses of the New Zealand Building Code to the extent required by the Building Act. A sleepout is not a glorified garden shed, building a sleepout is like building a small house but without the plumbing and cooking facilities.

Before design work starts, consider:

• Building Code requirements, including those around durability, weathertightness and protection from fire.
• District planning rules, including daylight recession plane requirements.
• Location of services.
• Council requirements around stormwater and wastewater retention or disposal or connection to council mains.
• Exactly where the property boundaries are, the proximity of other buildings (including on any neighbouring property) and how that may affect location of the sleepout. Be aware that ‘boundary’ fences may not run along the actual boundary.

While many property owners will be cost-conscious and keen to do as much work as they can themselves, there are some areas where outside help will be required. Making electrical connections and working on stormwater drainage are examples – this work can only be done by registered electrical workers and registered drainlayers. There are other areas outlined in this bulletin where obtaining outside assistance, while not a legal requirement, will save time and reduce stress.

BRANZ recommends checking carefully whether a sleepout meets all the conditions for the building consent exemption and other requirements such as those in the local district plan before beginning work on design and construction and before buying any materials.

Property ownership and property title

The type of ownership that applies to a property and any notices or restriction on the land title can both affect whether a sleepout can be built.

The main types of land ownership are freehold, leasehold and cross-lease:

• Freehold is the most common. The person with a freehold title owns the land.
• With a leasehold property, the occupier buys an exclusive right to use the land and the buildings on it for an agreed period of time, but the leaseholder/ occupier does not actually own the land.
• Cross-lease titles typically apply where there are several homes on a single block of land. The leaseholders each hold a share of the title and hold a leasehold interest in the land area and building that they occupy.

Owners with freehold title usually have the greatest flexibility. Owners who want to build a sleepout on leasehold or cross-lease land should seek advice from a lawyer. It is likely that construction will only be possible with the agreement of the other parties.

The land title may have notices or restrictions on it that limit what, where and whether construction can be carried out on a site. These can include the following:

• Covenants place restrictions on things like minimum building size or the building materials or colour schemes used on a building, but they can also apply to the land around the main house. It is possible that a covenant may rule out construction of a sleepout that is visible from the street or possibly any new construction on a site.
• Easements typically cover a local authority, utility company or neighbour who has an underground gas, water, stormwater or sewerage pipe running through a property. This limits the use of the area of land that the pipe runs through.
• A section 72 notice under the Building Act describes a natural hazard such as flooding or landslide that poses a risk to the site. While building a sleepout may still be possible, cover from Natural Hazards Commission Toka Tū Ake or an insurer may not be available, and the building consent authority may be exempted from liability for damage arising from the natural hazard.

Conditions that apply to all exemptions

Certain conditions are common to all four Schedule 1 sleepout exemptions. To qualify, a sleepout:

• Can only be constructed where there is also a dwelling on site that has sanitation facilities such as a toilet, shower, access to potable water and so on – a previous MBIE determination has indicated that this must be a home and that other types of structure with sleeping areas, a kitchen and sanitary facilities such as a tramping club hut do not comply.
• Cannot include cooking facilities or any sanitary facilities.
• Must be fitted with a smoke alarm.
• Cannot be more than one storey and cannot include a loft or mezzanine floor.
• Must have a floor level no more that 1mabove the ground, and the highest point of the structure can be no more than 3.5mabove the floor level (Figure 1).

The floor area in each of these exemptions is measured to the inside of the external walls. Specific setback requirements apply depending on floor area (Figure 2).