What Approvals Are Needed for a Rural or Farm Stay in NSW?

Farm Stay and Rural Tourism Approvals in NSW: Planning Requirements

Rural and farm stay accommodation has grown significantly in NSW as demand for authentic rural experiences increases. Whether you are proposing to host guests in an existing farmhouse or build new accommodation on rural land, planning approval is generally required and the rules vary depending on the nature of the proposal.

In short: Farm stay accommodation in NSW is typically classified as eco-tourist facility or farm stay accommodation under the LEP and requires a DA in most cases. The applicable planning controls depend on the zone, the scale of the accommodation and the nature of the agricultural enterprise on the land.

The Land Use Categories

Farm stay accommodation: Defined under some LEPs as accommodation provided to guests on a working farm as a secondary activity to the primary agricultural use of the land. Not all Standard Instrument LEPs use this specific definition. Check the applicable LEP.

Eco-tourist facility: A broader category that includes nature-based tourism accommodation. Eco-tourist facilities are permissible in some rural and environmental protection zones with consent.

Bed and breakfast accommodation: Smaller scale accommodation in an existing dwelling where the host lives on-site, typically providing breakfast as part of the offering.

Short-term rental accommodation: Where an existing dwelling or part of it is let through platforms such as Airbnb. The STRA framework discussed in Article 36 may apply.

The correct classification depends on the scale, nature and operational model of the proposed accommodation.

Zone Permissibility

Rural accommodation uses are typically permissible (with consent) in:

• RU1 Primary Production zones (subject to LEP provisions)

• RU2 Rural Landscape zones

• RU4 Primary Production Small Lots

• C3 Environmental Management zones (eco-tourist facilities)

They may be prohibited in:

• Environmental Conservation zones (C1, C2) where development is tightly restricted

• Industrial and urban commercial zones

Always check the land use table in the applicable LEP.

Key Planning Considerations

Agricultural enterprise: Many LEPs require that farm stay accommodation be ancillary to and not detract from the primary agricultural use of the land. The scale of the accommodation relative to the farm enterprise is assessed.

Bushfire: Rural properties are frequently in bushfire-prone areas. A BAL assessment and compliance with Planning for Bushfire Protection guidelines are commonly required.

On-site sewage management: Rural properties are typically not connected to reticulated sewer. An on-site sewage management system (OSSM) must be designed and approved for the additional load generated by guests.

Access: Access roads to rural properties used for tourist accommodation must be capable of handling the traffic generated and, in bushfire-prone areas, must meet RFS access requirements.

Water supply: Adequate water supply for guests must be demonstrated.

Step-by-Step: Farm Stay Approval

1. Confirm the zone and identify the correct land use category under the LEP.

2. Check permissibility under the LEP and any applicable SEPP.

3. Assess bushfire risk and engage a bushfire consultant if the site is in a bushfire-prone area.

4. Commission an OSSM assessment for the additional wastewater load.

5. Assess access, water supply and power supply.

6. Prepare a DA with an SEE addressing all relevant controls, including the relationship between the accommodation and the farm enterprise.

7. Lodge the DA through the NSW Planning Portal.

Real-World Examples

Example 1: Glamping on a working farm 

A cattle farmer in an RU1 Primary Production zone proposes to establish four glamping tents on the property for short-stay guests. The use is assessed as eco-tourist facility. The DA addresses bushfire (BAL assessment), OSSM, access and the relationship between the accommodation and the farming enterprise. The SEE demonstrates the glamping operation is ancillary to and will not detract from the primary agricultural use.

Example 2: Bed and breakfast in a rural homestead 

A homeowner in an RU2 Rural Landscape zone proposes to use two spare bedrooms in their homestead for bed and breakfast accommodation. The use is assessed as bed and breakfast accommodation. The DA is relatively straightforward, addressing OSSM capacity, bushfire compliance and the scale of the operation (two rooms, maximum four guests).

Common Misconceptions

"I can run a farm stay without any approval because it is on my own land." 

Planning approval is required regardless of land ownership. Farming the land does not extend to hosting guests without consent.

"A farm stay is just like a short-term rental." 

Farm stay accommodation on rural land is subject to different planning controls from urban STRA. The STRA framework under the Housing SEPP applies primarily to residential properties in urban zones.

"Eco-tourist facilities are always permitted in rural zones." 

Permissibility depends on the specific zone and the applicable LEP. Some rural zones do not list eco-tourist facilities as a permissible use.

Frequently Asked Questions

How many guests can I host without a DA? 

There is no guest number threshold that exempts accommodation from planning approval. The nature of the use, not the number of guests, determines whether a DA is required.

Can I use a converted barn or shed for farm stay accommodation? 

Conversion of an agricultural building to guest accommodation generally requires a DA. The building must also meet BCA standards for habitable uses.

What is an on-site sewage management system? 

An OSSM is a system that treats and disposes of wastewater on-site, used where reticulated sewer is not available. It must be designed to meet the additional load from guests and approved by council.

Can I advertise my farm stay on Airbnb? 

Yes, but the planning approval must be in place before you begin hosting. Operating without the required consent is unlawful development.

Do I need public liability insurance for farm stay accommodation? 

Public liability insurance is strongly recommended for any tourist accommodation operation. This is separate from planning approval but is a practical requirement for any business.

How long does a farm stay DA take? 

Typically 40 to 80 days, depending on complexity. Bushfire-prone sites requiring RFS concurrence may take longer as integrated development.