Caves supposedly dug by giant sloths 10,000 years ago in Brazil.

[Velvet Elvis]

 
Yes Id say they have all the tools, but my main thought is a tunneling/building is usually associated with highly active animals aka busy as a beaver. This is a trait modern sloths are not known for.

 Without sloths there would be no avocadosThe extinct giant ground sloths were some of the only mammals that had digestive systems large enough to process the huge avocado seeds whole. They feasted on the fruit and then dispersed the seeds far and wide. All tree sloths that we see today evolved from giant ground sloths. There were thought to be over 80 different types with the largest (Megatherium) reaching over six meters in height. There is even evidence to suggest that several different species of marine sloth existed, feeding from sea grass and seaweed in shallow water.

https://slothconservation.org/10-incredi...the-sloth/

I never knew that about the avocados. 

You have a point about burrowing animals typically being more active but as an honorary sloth myself, I'd say never underestimate the lengths one might go to getting some good shut eye.