Using a Warehouse as a Gym or Studio – NSW Planning Approval Requirements

We are often asked whether a warehouse can be used as a gym, Pilates studio, yoga studio or fitness facility without planning approval. In NSW, this type of proposal is generally treated as a change of use and, in most cases, formal approval is required.

How the use is classified

Warehouses are typically approved as warehouse or distribution centre uses, or as light industrial/storage uses under local environmental plans (LEPs).

By contrast, a gym or studio is usually classified as a “recreation facility (indoor)”, which is a different land-use category to a warehouse.

When a DA is usually required

A change from warehouse/storage to an indoor recreation facility is not covered by the NSW exempt change-of-use provisions, which mainly apply to swaps between business, shop and office categories. As a result, this type of proposal will not qualify as exempt development.

In practice, using a warehouse as a gym is treated as a commercial change of use, and councils typically require a Development Application (DA). This usually includes plans, a Statement of Environmental Effects, and documentation addressing parking, building compliance and operational impacts.

Is a Complying Development Certificate (CDC) possible?

In some circumstances, a Complying Development Certificate (CDC) may be available under NSW’s Complying Development for Business and Industry pathway. This is only possible where strict criteria are met, including:

• Correct zoning and permissibility

• The proposed use being listed under the Codes SEPP

• No heritage items or other excluded site constraints

Whether an indoor recreation facility qualifies for CDC approval depends on the specific site, zoning, and Code provisions. Many warehouse-to-gym proposals do not meet these criteria and therefore require a DA.

Key assessment issues for a warehouse → gym DA

Councils commonly assess:

• Zoning and permissibility under the LEP

• Parking and traffic demand

• Acoustic impacts (music, classes, weights)

• Hours of operation

• Accessibility compliance

• Building Code of Australia (BCA) upgrades due to the change of building class

• Any heritage or streetscape considerations

Recommended next steps

1. Confirm the existing approved use and zoning of the site

2. Check whether “recreation facility (indoor)” is permitted with consent

3. Test CDC eligibility under the Business and Industry Codes

4. If not eligible, prepare and lodge a DA for change of use, often combined with any fit-out works

Early confirmation of the approval pathway can help avoid delays, redesign costs, and compliance risks.

If you would like us to review a specific site or proposal, please feel free to contact us.