Enabling housing density

Boosting urban density is critical to addressing the housing shortage in Aotearoa New Zealand. The Resource Management (Enabling Housing Supply and Other Matters) Amendment Act 2021 (the Act) requires councils in our largest urban areas to increase housing supply and allow a wider variety of homes to be built.

Update - July 2024

In July 2024 the Government announced decisions about requiring councils to free upland for housing. In time, the National Policy Statement on Urban Development and Resource Management Act 1991 will be amended.

These new requirements are expected to be in place by mid-2025, following consultation on detailed design, and changes to legislation and national direction instruments. The most up to date information on the timing of these changes can be found on the Going for Housing Growth programme page

About the Act

New Zealand has a shortage of affordable housing. A key driver of this shortage is restrictive planning rules which limit the heights and density of housing in residential areas.

The Act will remove these restrictive rules, so we can expect to see more medium density homes being built across more of our major cities. This will mean more homes are built in areas that have access to jobs, public transport and other public amenities and community facilities.

The Ministry for the Environment has implementation guidance and fact sheets on the Act.

See the Ministry for the Environment guidance(external link)

Medium density residential standards

The Act requires territorial authorities in the greater urban areas of Auckland, Hamilton, Tauranga, Wellington, Christchurch and the Rotorua Lakes district to apply medium density residential standards. Other councils in areas experiencing acute housing shortages may also be required to include the standards in their plans.

The standards mean that up to three dwellings of up to three storeys can be developed on each site without needing to apply for a resource consent, as long as all other rules and standards have been met.

District plans must include the density standards shown in the table below (or standards that enable greater development) from August 2023.

Number of residential units per site	Maximum	3
Building height	Maximum	11m plus an additional 1m for a pitched roof
Height in relation to boundaries	Maximum	4m plus 60° recession plane
Setbacks	Minimum	Front yard: 1.5m Side yard: 1m Rear yard: 1m (excluded on corner sites)
Building coveage	Maximum	50% of the net site area
Outdoor living space (one per unit)	Minimum	Ground floor: 20m2, 3m dimension Above ground floor: 8m2, 1.8m dimension
Outlook space (per unit)	Minimum	Principal living room: 4m depth, 4m width All other habitable rooms: 1m depth, 1m width
Glazing	Minimum	20% glazing of the street-facing facade
Landscaping	Minimum	20% of the developed site with grass or plants

Where the standards apply

Councils around New Zealand fall into different tiers (see below). Tier 1 territorial authorities, and Rotorua District Council, must implement the densities in all residential zones unless the area is exempt or a ‘qualifying matter’ applies. More information on these exceptions can be found on the Ministry for the Environment website.

The Minister for the Environment, in consultation with the Minister of Housing and the Minister of Crown Māori Relations, can require a Tier 2 council to adopt the medium density standards if there is an acute housing need. Tier 3 councils can also ask the Minister for the Environment if they can adopt the standards.

Tier 1 Urban Environments

Auckland (Auckland Council)
Christchurch (Canterbury Regional Council, Christchurch City Council, Selwyn District Council and Waimakariri District Council)
Wellington (Wellington Regional Council, Wellington City Council, Porirua City Council, Hutt City Council, Upper Hutt City Council, Kāpiti Coast District Council)
Tauranga (Bay of Plenty Regional Council, Tauranga City Council and Western Bay of Plenty District Council)
Hamilton (Waikato Regional Council, Hamilton City Council, Waikato District Council and Waipa District Council).

Tier 2 Urban Environments

Whangārei (Northland Regional Council, Whangārei District Council)
Rotorua (Bay of Plenty Regional Council and Rotorua District Council)
New Plymouth (Taranaki Regional Council, New Plymouth District Council
Napier-Hastings (Hawke’s Bay Regional Council, Napier City Council and Hastings District Council)
Palmerston North (Manawatū-Whanganui Regional Council and Palmerston North City Council)
Nelson Tasman (Nelson City Council, Tasman District Council)
Queenstown (Otago Regional Council, Queenstown Lakes District Council)
Dunedin (Otago Regional Council and Dunedin City Council).

Tier 3 Urban Environments

All other local authorities with jurisdiction over an urban environment are also required to comply with the NPS-UD.
An “urban environment” is defined in the NPS-UD as “any area of land (regardless of size, and irrespective of local authority or statistical boundaries) that: (a) is, or is intended to be, predominantly urban in character; and (b) is, or is intended to be, part of a housing and labour market of at least 10,000 people”.

A new planning process

A new planning process has been introduced to support councils to adopt the density standards and implement the intensification policies of the National Policy Statement on Urban Development (NPS-UD).

The Intensification Streamlined Planning Process (ISPP) is based on the streamlined planning process under the Resource Management Act, but is intended to be faster, easier and cheaper for councils.

Deadlines

Tier 1 councils and the Rotorua Lakes district need to publicly notify the new rules and policies about medium density and intensification in their district plans by 20 August 2022.

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Enabling housing density

Update - July 2024

About the Act

Medium density residential standards