Garden room for Air B&B/annexe... advice?

[themiddlebit]

Hi. Looking for recommendations and advice on installing a building in the garden. Would prefer low-maintenance (ie not wood exterior). Cannot afford high-end – it does seem hard to find low budget options out there... I am look for it to be open plan – sleep 2 (possible up to 4). It will require shower/room toilet etc. I suppose I am seeing if anyone on Mumsnet has experience of this process – company used? And pitfalls? All advice very welcome! Thanks ;)

First thing is to check with local council for planning permission requirements. There'll also be building regulations to comply with if people are to sleep in it.

Thanks Kazzyhoward.
I will look into that. ;)

We had a garden room with ensure shower room built last year. It’s been brilliant (especially when the house lost heat and hot water last week).
Ours was built by a small specialist company who dealt with everything. It’s possible we could have got the total cost down a bit by trying to project manage it ourselves, but there’s no way we’d have been able to get all the trades coordinated so efficiently. The whole build took 3 weeks (including digging out the base of the old garage and all the decorating).
Happy to recommend them if you’re down south.

Building a holiday let in the garden will require permissions so I'd look into whether you even have a chance of securing one before doing anything else. As you're looking for it to be a proper all-year round house, you could just contact local builders as it will need to have all the insulation, plumbing, electrics etc of a full sized house anyway.

As @Kazzyhoward has said, you will need Building Regulations approval (no matter what the size of building) if people are going to be sleeping in it. This will mean that it needs to be constructed and insulated to the same standard as if it were part of the house, which most 'garden rooms' are not, and the increased cost of compliance will be substantial.

Ensure that any quote you get confirms in writing that the building will fully comply with all Building Regulation requirements for habitable and sleeping accommodation., and bear in mind that the application fee alone will be £several hundred.

There is a potential loophole if the structure is deemed to be a 'caravan' under the relevant legislation, but be very careful of this - I've known many people fall foul of Planning on the interpretation of technicalities.

Even if the structure did fall under the definition of a caraven, if it was being used as a holiday let it would still require planning permission.

Adding to what Seeline said, even without the business aspect of a holiday let, we were told that planning permission would be required if the building is used for sleeping accommodation that is for anything more than occasional use.
I couldn’t track down a formal definition of what they meant by occasional use, but the general advice was that if you were putting in a bed (rather than eg. a sofa bed in an office space), you need planning permission anyway.

Thanks all. You've all been very helpful. I will need to contact the council first by the sound of it to see if it's a possibility in the first place. Is it always best to be up-front with the local council with regard to Air B and B? Or would it be best to say it is a sleeping accommodation for family members at this stage...? (Understanding that I will need full building regs regardless!).

Medianoche, I am in the South West so if you could let me have the details of your garden room supplier, I would be very grateful. Thanks!

I really want to do this mainly to bring in some income! But it is scary... Having been through an extension and renovation in our previous house – it was one thing after another with Building Control... (had a useless builder which really didn't help!).

Well if you're doing it to bring in income, it would seem a bit bonkers to build it and then find that the council won't let you use it as an Air B&B so I'd imagine it's best to be upfront!

@Medianoche & @Seeline: "I couldn’t track down a formal definition of what they meant by occasional use"

If your property is a residential dwelling (ie. Planning Use Class C3(a)You're allowed up to 90 days per year without PP, which is plenty for most people.

Yes, I understand, but I suppose I was just thinking – would it be easier if it's built and all ready and legal etc to 'change the use' to Air bnb... ?

Thanks again Medianoche – the 90 day thing is useful at this stage.
Then I suppose if it grows as a business I could apply for all year-round?

I’ve PM’d you the name of the builders, Themiddlebit.
Thanks for the clarification, Sensus. 90 days is more than I’d expected.

" I was just thinking – would it be easier if it's built and all ready and legal etc to 'change the use' to Air bnb"

Yes, it would. There's not a damn thing that they can do to prevent you erecting such a structure (provided it's compliant with either Permitted Development rights or the Caravan Act) 'incidental to the enjoyment of the dwellinghouse', as the jargon goes.

Do bear in mind, however, that Permitted Development rights themselves do not allow 'separate, self-contained living accommodation' (even for members of the same family) - that would require Planning consent, an the usual outcome would ba a Planning Condition that limits occupancy to members of the same family.

Again, there are possible loopholes around this, depending on your circumstances (the key word is 'separate', so if the unit could be attached to your dwelling to act as an extension rather than an annex, it can be OK... but the usual definition would be that they would want to see a direct, enclosed access via your property).

Of course, the risk is that you'd spend a lot of money building a 'outbuilding' that you then can't use for what you wanted.

"Then I suppose if it grows as a business I could apply for all year-round?"

You could, yes - and you would hopefully be doing so with sound evidence that:
a) it is a viable business and;
b) the existing operation had not caused nuisance or harm to the amenity of your neighbours.

...therefore much improving your chances of success.

If in doubt, speak to a Planning Consultant - our Planning Director is your neck of the woods, if you're South West (she's Exeter), so give us a shout if you need formal assistance.

Sensus

Many thanks! This is really helpful. I'm gauging the best way to start the process with regards to the local council – and this advice gives me a steer. I will investigate further and then if I need formal advice I'll be in touch! All the best!

Is that not touting for businesss on a MN thread?

Around me they are very tight on second “dwellings” in gardens for business use and letting out but are more tolerant for ones for family use. Be honest and see what your planning authority might allow. Some properties have covenants preventing this too. A high quality building that meets regulations won’t be cheap. Will you make a profit when you take the cost into account?

The 90 day thing is not related to the planning legislation. If something is not considered to be ancillary to the residential use of the property, PP will be required. Speak to your own Council - they all interpret things differently.

If you're doing it solely to make an income, and don't want a huge outlay, might it be more profitable to sleep in the outbuilding yourself, and rent out your own bedroom? You could get a cheap, second hand caravan and sleep in that occasionally. Or even just a tent, if you want to save money.

Our own fully insulated garden office, which we built ourselves and doesn't have a bathroom, cost thousands.

Also, does the rent-a-room tax scheme apply to a separate building?

Medianoche - do you mind letting us know what yours cost?

@Seeline: "The 90 day thing is not related to the planning legislation. If something is not considered to be ancillary to the residential use of the property, PP will be required. Speak to your own Council - they all interpret things differently."

This is true, and different Councils can and do interpret things differently.

However, there is a legislative precedent established by means of Secton 44 of the Deregulation Act 2015, relating to specific legislation in London, which now make the 90 day limit the reasonable interpretation to be adopted nationally.

It is therefore the sensible and logical answer to your comment of "I couldn't track down a formal definition of what they meant by occasional use", in a similar way that the Woolly Chickens case law defines our understanding of 'temporary' structures.

Lots for me to think about and digest.
Would prefer a separate dwelling as our house is a family home etc...
So would need to be sure that I could use it as a BandB as well as for family use.
Thanks to you all for taking the time to send info – much appreciated.
Cheers!

Have you done any actual numbers? You're basically looking at building a little house with a kitchen and a bathroom and all the associated services. I don't know what you're likely to charge for accommodation in your area but it could take years to make that money back.

Depending on your tax bracket, you could be liable for a fair bit of tax on the income + have a lot of cleaning and maintenance to do. I'd run the numbers to make sure that it makes sense compared to say investing the money in an ISA (no tax on the gains) + working a few extra hours a week (in lieu of cleaning and maintaining the building + talking to potential guests + being available when they come and go and need you).

can't see if this has been mentioned, but when I looked into converting a a large shed/ workshop into a guest room with a toilet, I was told I'd have to pay council tax on it,
You may have looked into this already.

Its going to cost about £15k minimum to get a habitable building with decent insulation, electricity and a toilet, shower and kitchenette. I can think of better and easier ways to get a return on your capital than that.

Isn't 15k very optimistic? I'd expect more along the lines of 50k if the building is the size of a studio flat. It's a bit like an extension only more complicated (eg. digging up the garden for drainage, own heating system etc).