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Granny Flats

Granny Flat Designs for Small Backyards (Under 450 sqm)

October 18, 2022 5 min read By Anna Mitchell, Building Designer

The State Environmental Planning Policy fast-track for granny flats only works on blocks 450 sqm or larger. But that does not mean smaller blocks cannot have a granny flat. Here are the design moves that work on smaller lots.

Option 1: Attached secondary dwelling

Build the granny flat connected to the main house, with a separate entry and no shared habitable rooms. Setbacks apply only to the external perimeter, not between the two dwellings. This saves significant footprint.

Typical layout: granny flat at the rear of the main house, accessed via a side path. Compact 50 to 60 sqm with bedroom, living, kitchen, bathroom.

Option 2: Detached over the garage

Some blocks support a granny flat above a garage at the rear. Two-storey form reduces footprint. Requires careful design for stair access and acoustic separation from the garage below. Council approval is usually required as DA rather than CDC because of the over-garage configuration.

Option 3: Compact detached

On a 400 sqm block with a smaller main house, a detached 50 sqm granny flat may fit within setback requirements. Setbacks: 3m rear, 0.9 to 1.5m sides typically. This leaves a usable space of around 6m x 10m for the granny flat.

Design strategies for small footprint

  • Open plan living-dining-kitchen as one space.
  • Compact bathroom (2.0 x 1.8m minimum).
  • Built-in robes rather than walk-in.
  • Sliding doors to save corridor space.
  • Skylights for light.
  • High ceiling (2700mm where possible) for spatial feel.
  • Covered alfresco of 3 to 5 sqm.

Build cost

  • 50 sqm detached: $130,000 to $170,000
  • 60 sqm detached: $145,000 to $190,000
  • 50 sqm attached: $115,000 to $150,000 (savings from shared services)

Block under 450 sqm? Still want a granny flat?

We will assess your specific block against the council’s LEP and tell you what is feasible.

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Frequently Asked Questions

Quick Answers

Maybe, but not via the SEPP fast-track CDC pathway. You would need to lodge a full DA under your local council's LEP. Approval is at council discretion. Some councils permit secondary dwellings on smaller lots under specific conditions; most do not.
Practically, around 350 sqm is the lower limit once setbacks are applied. The minimum block size for legal approval varies by council, with most requiring 450 sqm under SEPP or LEP.
Yes, as an attached secondary dwelling. This saves footprint and works on smaller blocks. The attached unit must have a separate entry and not share habitable rooms with the main dwelling. Some councils prefer this over detached granny flats on small lots.
There is no legal minimum, but practical minimums are around 35 sqm for a studio or 45 sqm for a 1-bedroom. Below this the unit becomes uncomfortable to live in or rent.
Yes. A 1-bedroom granny flat (typically 35 to 50 sqm) is cheaper to build ($110,000 to $150,000), suits some block configurations, and still generates rental income. Yield is lower per square metre but still competitive.
Disclaimer: This article reflects 13 Homes' general experience as a residential builder in NSW. Costs, timelines, council rules and regulations change over time and depend on the specifics of your site, finance situation and selections. Information here should not be treated as legal, financial or engineering advice. Always seek site-specific advice from a qualified builder, certifier and engineer before making a decision on your build.

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