Owners must meet all building consent exemption conditions. Otherwise, owners are required to get a building consent. Anything existing (built before) or building work already underway before 15 January 2026 is not eligible to be exempt from requiring a Building Consent.
Granny flats exemption: Guidance and resources | Building Performance
The Council retains its power to address non-compliant building work.
THE KEY CHANGE
From 15 January 2026, certain small standalone dwellings (commonly referred to as Granny Flats) can be built without requiring:
• a building consent, and
• a resource consent,
provided all statutory conditions are met.
This change is delivered through:
Amendments to the Building Act 2004
Building and Construction (Small Stand-alone Dwellings) Amendment Act 2025
Resource Management (National Environmental Standards for Detached Minor Residential Units) Regulations 2025
WHAT YOU CAN DO
You can build a granny flat without a building consent and without a resource consent if all of the following apply:
1: Size Limit
• The dwelling must be 70 square metres or less (gross floor area).
2: Standalone dwelling
• It must be a new, standalone building.
3: Simple Design
• The dwelling must be a simple design
• It must fully comply with the Building Code
4: Licensed Professionals
• All building work must be carried out or supervised by Licensed Building Practitioners
• Restricted Building Works rules still apply
5: Council notification
• Homeowners must notify the Council:
• Before construction starts
• Once construction is completed
6: Resource management compliance
• The dwelling must comply with the National Environmental Standards for Detached Minor Residential Units (NES-DMRU), or any more permissive Council rules.
The exemption does not apply to:
• Extensions,
• Conversions,
• Internal alterations to existing dwellings.
If any one of these conditions is not met, the exemption does not apply.
WHAT YOU CANNOT DO
The new rules do not allow you to:
• Build a dwelling larger than 70m² under the exemption.
• Avoid Building Code Compliance.
• Avoid engaging licensed professionals.
• Ignore council processes altogether.
• Assume development contributions no longer apply.
• Ignore site-specific constraints (hazards, servicing, access, covenants).
• Retrospectively legalise existing unconsented dwellings.
“No consent” does not mean “no regulation”.
WHAT STILL APPLIES
Even where the exemption is used:
• Project Information Memorandum (PIM)
• A Project Information Memorandum (PIM) remains a critical step.
Councils use the PIM to:
• Identify site-specific constraints,
• Confirm infrastructure servicing,
• Levy development contributions.
Development contributions
• Councils can still charge development contributions for granny flats.
• These are issued via the PIM process.
Documentation and Records
• Records of Work and design memoranda must still be completed and lodged.
• Plumbing and drainlaying records remain mandatory.
• Enforcement and liability
• Councils retain enforcement powers for non-compliance.
• Insurance and resale risks remain where documentation is incomplete.
WHO IS RESPONSIBLE FOR WHAT
Homeowners
• Confirm the project qualifies for the exemption.
• Notify council before and after construction.
• Apply for a PIM.
• Pay any applicable development contributions.
Designers and Builders
• Ensure the design qualifies as “simple”.
• Ensure full Building Code compliance.
• Complete and lodge all required documentation.
Licensed Building Practitioners (LBPs)
• Carry responsibility for restricted building work.
• Complete Records of Design Work and Records of Building Work.
• Clearly explain to clients what the exemption does — and does not — cover.
This reform shifts risk away from Councils and onto Professionals and Owners. It does not remove that risk.
OFFICIAL SOURCES AND LEGISLATION
Primary Legislation
Building and Construction (Small Stand-alone Dwellings) Amendment Act 2025
Building Consent Exemption Guidance
MBIE: Granny Flats Exemption – Guidance and Resources
MBIE Announcement
Ready, steady, go for Granny Flats (15 January 2026)
Ministerial statement
Granny flat consent exemption takes effect
LBP guidance
Upcoming changes: granny flats building consent exemption
Planning Framework
National Environmental Standards for Detached Minor Residential Units (NES-DMRU)
WHAT THIS MEANS FOR THE CONSTRUCTION SECTOR AND THE PUBLIC
For the construction sector, this is a procedural reform, not deregulation. Consent processing has been reduced, but design discipline, documentation, and professional accountability increase.
For homeowners, the opportunity is real — particularly for:
• Intergenerational Housing,
• Rural and Staff Accommodation,
• Small-scale Intensification.
However, misunderstanding the exemption carries real risk. Poor advice, incomplete documentation, or non-qualifying designs will surface later through insurance, finance, or resale.
THE BOTTOM LINE
This reform removes friction from the system — not responsibility.
Used correctly, it will:
• Speed up delivery of small dwellings,
• Reduce unnecessary consenting delay,
• Support housing flexibility.
Used incorrectly, it will simply shift risk from councils to owners and professionals.
As with all planning and building reform, the intent is sound. The outcome will depend on how well it is applied in practice.
More updates as implementation experience builds.
