Terrace Bay zoning for small homes

Township of Terrace Bay, a single-tier municipality. Population 1,528 (2021 census).

Backyard suite

A separate home in the yard of a house: garden suite, laneway suite or coach house, including prefab, modular or container units used this way.

Allowed with limits · Terrace Bay’s term: “secondary unit / garden suite”

The by-law permits a secondary unit only within an existing single detached, duplex or semi-detached dwelling, and accessory buildings may not be used for habitation except bunk houses or guest houses where a zone provides for them; a garden suite needs a temporary use by-law. On fully serviced urban residential lots, Planning Act s.35.1 prevents zoning from prohibiting one residential unit in a building ancillary to a house. Ontario's Planning Act (s. 35.1) overrides zoning provisions that would prohibit one unit in a building ancillary to a house on serviced urban land. [1][2]

Where allowed: LDR zone accessory uses include a secondary unit in an existing single detached dwelling, duplex dwelling or semi-detached dwelling (s.5.1) [3]
Temporary garden suite: A garden suite may be permitted as an accessory dwelling unit where zoned as a temporary use under Section 39 of the Planning Act; rear yard only, minimum 5 m setback from a lot line (s.2.12.5) [3]
Maximum size: Garden suite: free standing dwelling with a maximum floor area of 40 m², occupied only by an immediate family member of the occupant of the main dwelling (definitions) [3]
Approvals: Except in the case of a guest house, no accessory building shall be utilized for human habitation unless specifically permitted elsewhere in the by-law (s.2.12.1 b; see also s.2.11 a) [3]
Approvals: Planning Act s.35.1(1)(c): a zoning by-law may not prohibit one residential unit in a building or structure ancillary to a detached house, semi-detached house or rowhouse on a parcel of urban residential land (fully serviced settlement-area lot) if the house contains no more than two units (statute text as quoted in an official West Grey staff report) [4]

Ontario-wide rule

Ontario law stops municipalities from banning one residential unit in a building ancillary to a detached house, semi-detached house or rowhouse on a parcel of urban residential land, as long as the lot has no more than three units in total. Municipalities still set most other zoning rules, but provincial law limits parking requirements, minimum unit size, lot coverage and separation distances. These units are also exempt from development charges and parkland dedication. [2][5][6]

Tiny home on a foundation

A small house as the main home on its own lot. The key rule is any minimum dwelling size.

Allowed · Terrace Bay’s term: “single detached dwelling”

The Low Density Residential and Waterfront Residential zones set lot size, setbacks and height for single detached dwellings but no minimum dwelling floor area. The Rural zone does not list a single detached dwelling as a main use.

Minimum dwelling size: None stated for single detached dwellings in the LDR or RW zones [3]
Minimum lot size: LDR: 560.0 m² and 19.5 m frontage for a single detached dwelling (s.5.2); RW: 1 ha and 45 m frontage (s.20.2) [3]
Where allowed: Single detached dwellings are permitted in the LDR, WD and RW zones; the RU zone permits only accessory residential uses relating to agriculture, kennel or forestry uses (s.5.1, 13.1, 14.1, 20.1) [3]

Ontario-wide rule

Ontario law sets no minimum total size for a house that is the main dwelling. The Building Code sets minimum room areas, so the smallest compliant dwelling is roughly 17.5 m² by the Province's own estimate. Municipalities may still set minimum floor areas for main dwellings in their zoning by-laws. The provincial ban on minimum sizes covers only additional residential units. [2][7][8][9][10][11][12]

Tiny home on wheels or park model

Living full-time in a tiny home on wheels or a park model home.

Not allowed · Terrace Bay’s term: “recreational vehicle / mobile home”

Human habitation is not permitted in a recreational vehicle outside a campground or tent and trailer park except for casual use or short-term visitor accommodation, and mobile homes are not permitted in residential or seasonal residential zones; no zone permits a mobile home park. A garden suite can be permitted only through a temporary use by-law. [1]

Where allowed: Human habitation not permitted in a recreational vehicle located outside of a campground or tent and trailer park, except for casual use or short term visitor accommodation (s.2.11 c); RV/tent and trailer campsites are for temporary occupancy (definitions) [3]
Parking: A recreational vehicle may be used (parked on the front-yard driveway) once between April 15 and November 14 for a maximum of 14 days; recreational vehicle definition excludes a mobile home, park model trailer or manufactured home (By-law 42-2018, s.2.24.2) [13]
Temporary garden suite: A garden suite may be permitted where zoned as a temporary use under Section 39 of the Planning Act (s.2.12.5); defined as a free standing dwelling of maximum 40 m² [3]
Approvals: Mobile homes are not permitted in residential or seasonal residential zones (s.2.32) [3]

Ontario-wide rule

Ontario has no single rule for living full-time in a tiny home on wheels. A unit on wheels can count as a 'building' that needs a permit and must meet the Building Code once it stays in one place, is hooked up to services or is anchored. Park model trailers are recognized only as seasonal recreational buildings. Municipalities may allow a portable garden suite under a temporary-use by-law for up to 20 years, with extensions of up to 3 years each. [12][7][2][9][8]

Bunkie or sleeping cabin

A small sleeping building with no kitchen, usually beside a cottage or house.

Allowed with limits · Terrace Bay’s term: “sleep cabin / bunk house / guest house”

A sleep cabin is a listed accessory use in the Waterfront Residential (RW) zone, and one guest house is permitted per lot in the Recreational Cottage (REC) zone; elsewhere accessory buildings may not be used for habitation. A bunk house or guest house is limited to 50 m² with no cooking facilities.

Where allowed: Sleep Cabin listed as an accessory use in the RW zone (s.20.1); one only guest house permitted on a lot in the REC zone (s.16.4.1) [3]
Maximum size: Bunk house, guest house: accessory building no greater than 50 m², for temporary accommodation, with no cooking facilities (definitions) [3]
Kitchen: Sleep cabin: used for sleeping accommodation, no cooking facilities, may contain sanitary facilities (definitions) [3]
Maximum height: Bunkhouse or guesthouse may not exceed the height of the main building (s.2.12.2); RW zone accessory building maximum 6 m (s.20.2) [3]
Setbacks: RW zone accessory building: 2 m interior side or rear yard, or 30 m where the yard abuts water; 3 m separation from main building; 5% total lot coverage (s.20.2) [3]
Number allowed: REC zone: one only guest house per lot (s.16.4.1) [3]

Ontario-wide rule

Ontario law has no rule written specifically for bunkies or sleeping cabins. Whether one needs a building permit depends on the Building Code Act's definition of 'building' and the Code's shed exemption. That exemption covers only storage-use sheds, so it does not cover a structure used for sleeping. Municipal zoning rules for accessory buildings still apply. [9][7][2][14]

Official links

Last confirmed October 2026.

Notes and caveats

Read By-law 10-2016 from the Township's planning page (same file as the CivicWeb copy at https://terracebay.civicweb.net/document/12686; the inventory link https://terracebay.civicweb.net/filepro/documents/12686 is a folder listing). The table-of-contents pages carry a 'DRAFT ZONING BY-LAW' header, but the enacting page shows By-law 10-2016 read and adopted March 7, 2016 and the text pages are headed 'ZONING BY-LAW'. The posted text already includes Section 20 Waterfront Residential (RW) zone, apparently from a later amendment. The by-law is not consolidated; amendments are posted separately. By-law 42-2018 (RV storage, read) replaced s.2.24. The link labelled 'Bylaw 22-2016 Amendment ... Waterfront Residential' actually opens By-law 23-2017 (printing establishment), so By-law 22-2016 itself could not be read. No ARU guide or amendment adding detached additional residential units was found. Planning Act s.35.1 text read as quoted in an official West Grey staff report because the e-laws page did not render.

Sources

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