The main requirements of their accommodation are that they are warm, protected from draughts and the extremes of the weather, and have ample space in which to move around.
Most rabbits can live in a cold situation but damp and draughts can lead to health problems.
The advantages to housing rabbits inside a shed is that the person attending them will be much more comfortable. Indoor hutches need not be as securely constructed and can be built in tiers to save floor space. Sometimes you can find large wooden boxes that will only need some netting placed across the front and a door constructed. A stack of hutches can be made with tiers of three composed of single hutches in groups of three, six, nine etc. As rabbits numbers increase these can be easily added to.