The cut-and-fill technique frequently creates a space for housing on sloped terrain. Some developers use the contours of the land on sloped terrain for garden areas instead of developing it into space to reduce production costs when building houses. By developing structures for building reinforcement, this research seeks to use the excavated earth area in the sloped terrain as storage space and outdoor living space. A single case study in a Malang City home situated on a sloping terrain served as the research approach. Primary data were collected through field surveys and customer interviews to determine the design of the room based on space requirements. Secondary data for this study also comes from a literature review. The first step for the architect is to plan the room’s layout following the client’s requirements. The next stage is to choose the foundation for the project by taking the soil’s structure and condition. The final stage is also decided upon the outdoor living space’s finishing material and the furniture for the outdoor room. The final result indicates that the excavated earth area is beneficial as a storage place at the bottom and an outdoor living area at the top. Outdoor living spaces are beneficial because they provide extra space and address home design issues by reducing the spread of airborne viruses like Covid-19. Maximizing excavated earth as a warehouse space and functioning as an outdoor living space is one of the applications of sustainable design in architecture.