NO MORE SINGLE HOUSE ZONES...

In October 2021 there was a bipartisan announcement of a new housing supply bill proposing changes to the Resource Management Act 1991 to boost housing supply in all New Zealand’s major cities.

The amendment has now been passed into law and the new standards outlined in the bill will be applied from August 2022 with the new standards having immediate operative effect. There is a submission period and decision- making process after that, however, the recommendations and council decisions cannot be less permissive than the proposed standard, and if the Council try to be less permissive the Minister for the Environment will have the final say.

What does it mean and how will it change our housing landscape?

The new Medium Density Residential Standards (MDRS) will enable most residentially zoned sites to develop up to three dwellings per site, even if they are in the currently Single House Zone of the Auckland Unitary Plan (AUP). This Zone currently has a minimum land area of 600m2 for subdivision. Compared to the current AUP rules, the MDRS also has more flexible ‘height’ and ‘height in relation to boundary’ standards that will enable dwellings to be built up to three storeys high. In effect it will be similar to the current Mixed Housing Urban Zone of the AUP.

Other relaxations of the rules will allow greater building coverage, smaller outlook and living spaces and a reduction in front yard and landscaped areas. This should enable more housing supply and result in higher density in most residential areas of the cities where these new standards apply.

There are, however, some areas where a Council can justify not applying the MDRS. These matters include heritage, special character areas, volcanic view shafts and other height-sensitive areas. How much ‘status quo’ will be retained via these opt outs is still uncertain. It is also worth mentioning that many areas have developer controls on the land titles with restrictive covenants that will effectively override the MDRS as they are civil law controls. These covenants will prevent an owner from creating additional dwellings or erecting anything that exceeds a specific height restriction.

The MDRS and other changes to the AUP are happening in August 2022. It is important to keep an eye on how things progress as the impact will be widespread. If you have land that has the potential to be developed, make sure you consult with our design and build consultants. There are many elements to consider and lots of background checking to do in order to design to the new standards. We can also help to maximise your development potential within the new parameters.

Don’t risk flying solo. Our team can provide you with the most up-to-date advice and professionally guide you through the process.

Credits: MDRS information from CLC Consulting Group