VAT Registration

I would appreciate some opinion on this;

I have a client that run a guest house, they are not VAT registered. Part of this is an "annex" that is let long term. The annex has it's own private bathroonm facilities, but no kitchen. My opinion is that all the income should be considered in whether or not to register for VAT, but that under the long term accomodation rules VAT should not be charged on the long term let. As the accomodation is in an entirely seperate building, had it kitchen equipment I would view it as rental of a domestic dwelling and outside the scope of VAT, and thus not part of the calculation for VAT registration.

Am I right, wrong or somewhere between please?