Backyard Suites in Calgary: What Homeowners Should Know Before Building
A practical homeowner guide to zoning, permits, timelines, and expectations (2026)
Backyard suites, sometimes called garden suites or laneway homes, are becoming more common in Calgary. Homeowners are using them for rental income, housing family members, or adding long-term value to their property.
While backyard suites can be a great option, they are not a small project. They require planning, permits, time, and a clear understanding of City rules. This article explains what Calgary homeowners should expect before starting a backyard suite project.
WHAT IS A BACKYARD SUITE
A backyard suite is a small, separate home built in the backyard of a property that already has a main house.
It must include:
– A kitchen
– A bathroom
– Sleeping and living space
– Its own entrance
Backyard suites are different from basement suites because they are detached buildings and must meet specific zoning and building requirements set by the City of Calgary.
ZONING RULES AND PROPERTY REQUIREMENTS
Not every property in Calgary can support a backyard suite.
The City reviews several factors, including:
– Distance from property lines (setbacks)
– Height limits, typically allowing up to two storeys
– Maximum allowable size of the suite
– Total lot coverage, including all buildings
– Distance between the main house and the suite
Lot size, shape, and existing structures all affect whether a backyard suite is permitted.
PERMITS YOU WILL NEED
DEVELOPMENT PERMIT (DP)
A Development Permit confirms zoning compliance, site layout, setbacks, height, and overall design.
The City of Calgary currently waives the Development Permit fee for backyard suites.
BUILDING PERMIT (BP)
A Building Permit ensures the structure meets Alberta Building Code requirements, including safety, fire separation, and energy efficiency.
TRADE PERMITS
Separate permits are required for:
– Electrical
– Plumbing
– Heating and ventilation
– Gas, if applicable
Each stage of work must be inspected and approved before the project can move forward.
HOW LONG DOES A BACKYARD SUITE TAKE
Typical timeline:
– Design and planning: 1–2 months
– Development Permit review: 2–3 months
– Building Permit review: 1–2 months
– Construction: 4–8 months
Total expected timeline:
Approximately 7 to 15 months from initial planning to final occupancy, depending on approvals, weather, and project complexity.
BACKYARD SUITE VS ABOVE-GARAGE SUITE
BACKYARD (GARDEN) SUITE
Advantages:
– Fully detached building
– More privacy for occupants
– Often stronger long-term rental appeal
Challenges:
– Higher construction cost due to a full new structure
– More complex utility connections
– Greater impact on yard space during construction
ABOVE-GARAGE SUITE
Advantages:
– Often more cost-effective
– Utilities are usually simpler to connect
– Smaller building footprint
Challenges:
– Limited by garage size and placement
– Height and zoning rules can restrict layout
– Less privacy than a detached suite
COST AND FINANCING CONSIDERATIONS
Backyard suites are a major investment. Homeowners should budget for:
– Construction costs
– Permit and inspection fees
– Utility connections
– Landscaping restoration
– Walkways, fencing, and drainage
– A contingency for unexpected site conditions
Financing options may include home equity loans, construction loans, or housing-related programs offered through financial institutions. Homeowners should confirm current options directly with lenders.
WHAT TO EXPECT DURING THE PROCESS
Homeowners should expect:
– Temporary disruption to the yard
– Construction noise and activity
– Multiple City inspections
– A longer planning phase than most renovations
FINAL THOUGHTS
Backyard suites can be a valuable and flexible housing option in Calgary, but success depends on proper planning and understanding City requirements. Knowing the rules, timelines, and costs upfront helps homeowners make informed decisions and avoid delays.
With the right preparation, a backyard suite can be a strong long-term addition to a property.