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What you need to know
In 2025, the Government passed the Building and Construction (Small Standalone Dwellings) Amendment Act allowing for the construction of new standalone dwellings up to 70m2 without a building consent. From 15 January 2026, these changes will come into effect, allowing homeowners to build small standalone dwellings, often referred to as granny flats, under a more streamlined regulatory process. Below is a brief outline of what you need to know.
Although a building consent isn’t required, the exemption still carries clear rules and responsibilities. Homeowners and licensed professionals are entirely responsible for ensuring compliance with both the requirements of the exemption and the building code.
To build a small standalone dwelling without a building consent, the proposed building must meet the conditions set out in the building consent exemption Clause 1 of Schedule 1A. The building must be of a simple design and comply fully with the requirements, which are detailed and comprehensive. Below is a brief outline of the exemption requirements, however you can find more detail on MBIE’s website.
The new dwelling must be:
Building form and use
- Be standalone, single storey (and cannot include a mezzanine floor)
- Be classified as Housing – detached dwelling, intended for a single household or family and comply with all applicable building code requirements for that classified use
- May include an internal garage
Size, height and location
- Must have a floor area of 70m2 or less
- Have a maximum floor level of 1m above the supporting ground and a maximum height of 4m above floor level
- The building must be at least 2m from any other residential building or legal boundary, and must not be built across boundaries or between allotments
Construction and services
- Be constructed of lightweight materials, including wall and roof cladding and framing
- Plumbing and drainage systems must connect to the network utility operator (NUO) system where available. Where not available, or where no NUO capacity exists, connect to onsite water systems (either new or existing).
- Sanitary plumbing and drainlaying must be designed and built in accordance with acceptable solutions and verification methods for E1, G12 and G13 and also meet other cited specific criteria
- Have independent points of supply for electricity and gas, and electric or gas heaters
Granny Flats Exemption: Design Conditions Checklist
If you also wish to build the dwelling without a resource consent it will need to meet the permitted activity and criteria of the new National Environmental Standards for Detached Minor Residential Units (NES-DMRU) which also became law on the 15 January 2026.
If your proposed building work meets the requirements of the exemption then the next step is to approach an LBP designer or builder about getting a set of plans drawn up. All building work in relation to granny flats must be carried out or supervised by registered or licensed building professionals including licensed designers, builders, plumbers, drainlayers, gasfitters and electricians.
Before you begin any building work on site, the homeowner will need to apply for a Project Information Memorandum (PIM) from their local council. A PIM provides information on the site that can support the design of the building, such as special land features and natural hazards. It also provides information on statutory requirements and other required permissions under other Acts or by other organisations, such as Network Utility Operators.
If your local council uses the Simpli Portal, you can now apply for your PIM using the online application form.
The PIM will also notify the homeowner whether, given the information provided, the territorial authority considers that the proposed building work is likely to, likely not to, or it is unclear whether it will meet the requirements of the exemption.
The PIM will be issued with a development contribution notice from the council, informing the homeowner of the development contributions required to be paid should they go ahead with building the dwelling. The fees are required to be paid within 20 days of completion of the building work if not before.
Once the PIM has been issued and you have the information in hand, building work may begin. It is important that the homeowner and all professionals involved are aware of their responsibilities. It is the homeowner’s responsibility to ensure that the building work meets the conditions and limitations of the exemption from a building consent. It is the responsibility not only of the homeowner, but also of all contracted professionals carrying out and supervising the works to ensure that the building is designed and built in accordance with the requirements of the building code. Be aware that if the building is built outside the scope of the exemption or is not in compliance with the building code, it risks being subject to infringement by your council.
Granny Flats Exemption: Homeowner Due Diligence Checklist
You will have 2 years from the date the PIM is issued to build your new small standalone dwelling. If the 2-year mark is approaching and the building work is still not complete the homeowner will need to apply to the council for an extension of time, to extend the timeframe to complete the building work. If the PIM lapses and no building work has started but you still wish to build, you will need to apply for a new PIM to ensure you have the most up to date information. If you are part way through building work when the PIM lapses, contact your local council to find out what the best options are.
It is also the homeowner's responsibility to collect all required completion documentation from their professionals during and on the completion of building work. This documentation is required to be provided to the council within 2 years of the issue of the PIM or 20 days of completion of the building work (whichever comes first).
The completion documents required to be provided to the council include:
- Final as-built plans
- Certificate of Design work from an LBP
- Record(s) of Building Work from LBP(s)
- Record(s) of work from registered plumbers and drainlayers
- Electrical Safety Certificate
There are other documents you may also need to provide to the council such as gas safety certificates or documents for on-site sanitary systems should they be applicable.
If your council uses the Simpli Portal your licensed professionals can provide their Record(s) of work directly to the council using the online forms.
The documentation is required to be provided to the council so that it may be held against the property file and displayed on a LIM. Once the documentation has been provided to the council the PIM and the building work are considered complete.
MBIE has created checklists and guidance to support you through the entire process from start to finish. It is a great place to start if you want to use this process to construct a new dwelling. Otherwise, you should reach out to your local building professionals to learn what may be involved and what may be possible at your place within the scope of this exemption.