On 18 December 2025, the Government released the National Environment Standard for Detached Minor Residential Units (NES-DMRU). The regulations will come into force on 15 January 2026. The changes to the Building Act for Small Stand-alone Dwellings also come into force on 15 January 2026. 

The Government is changing the rules to make it easier for people to build granny flats. The goal is to give homeowners more options and increase housing supply. The changes will let homeowners put up a new small, stand-alone dwelling of up to 70 square metres without needing a building consent or resource consent in certain zones. 

Under the Matamata-Piako District Plan, the National Environmental Standards for Detached Minor Residential Units (NES-DMRU) applies in the following zones subject to meeting all relevant standards: 

• Māori Purpose Zone, 
• Residential Zone, Medium Density Residential Zone (including PREC1 Lockerbie), 
• Rural Zone, Rural-Residential Zone,
• Settlement Zone.

You can find out which zone your property is in by clicking on MPDC's GIS maps and typing your property address in the search function.

The changes will come into force on 15 January 2026. Until then, granny flats still need building consent and may also need resource consent.

When the exemption applies under the Building Act, you’ll need to make sure your granny flat meets the Building Code, and that all the building work is done or supervised by a Licensed Building Practitioner. You’ll also need to let MPDC know before building starts and once construction is finished. A PIM must be issued before any building work starts. You can find out more about the requirements below.

We strongly recommend contacting our Council Duty Planner to discuss your project before proceeding. 

Call 07 884 0060 to speak with a Duty Planner or email us at This email address is being protected from spambots. You need JavaScript enabled to view it.. 

A granny flat is a small, self-contained home that sits on the same property as a main house. It’s designed to complement the main dwelling.

Anyone can live in a granny flat – they don’t need to be related to the people in the main house.

Granny flats are referred to under the: 

• Building Act: “Small Stand-alone Dwelling”
• Resource Management Act: “Detached Minor Residential Unit”

The name changes depending on the legislation, but both refer to the same type of building. 

Before starting any work, it’s important to check whether the new legislation is in force and whether your project meets all exemption criteria under the Building Act, the National Environmental Standards for Detached Minor Residential Units (NES-DMRU) and any rules under the Matamata-Piako District Plan. 

• Wait until the exemption comes into force - no building work can start before then.
• If your project qualifies for the building consent exemption, you must apply for a Project Information Memorandum (PIM) before starting any work and all exemption regulations. \
• The NES-DMRU applies only in specific zones under the District Plan and does not apply everywhere. 
• To qualify for a resource consent exemption, you must comply with the permitted activity standards in the NES-DMRU. Other District Plan standards still apply, including those related to papakāinga, earthworks, natural hazards, reverse sensitivity and infrastructure requirements.    
• The PIM and NES-DMRU requirements apply whether your granny flat is built off-site and moved onto your property or built directly on your property.

To qualify for the building consent exemption, you must meet all the conditions listed in Building Consent Exemption Conditions - Granny Flats. 

Here are some of the key design conditions that apply: 

• The building must meet the New Zealand Building Code
• It must be new and stand-alone
• It must be single storey 
• It must be classified as Housing – Detached Dwelling (as defined by Clause A1 of the Building Code)

• Before you build: Apply for a PIM – this must be issued before any building work starts. 
• After you build: Let Council know when the building work is finished and send us all required documents within 20 working days.
• Who can do the work: All building and design work must be done or supervised by Licensed Building Practitioners.
• Effluent treatment systems: If an onsite effluent treatment system is proposed, Waikato Regional Council rules also apply.

You can access the NES-DMRU here

Under the Matamata-Piako District Plan, the National Environmental Standards for Detached Minor Residential Units (NES-DMRU) apply in the following zones: 

• Māori Purpose Zone
• Residential Zone
• Medium Density Residential Zone (including PREC1 Lockerbie)
• Rural-Residential Zone
• Rural Zone
• Settlement Zone

To qualify for resource consent exemption, you must comply with permitted activity standards such as site coverage and setbacks. Other District Plan rules continue to apply, including those relating to natural hazards, reverse sensitivity, subdivision, infrastructure, heritage, and earthworks as well as any relevant bylaws. 

There are two key steps you need to do first:

Step 1: Apply for a Project Information Memorandum (PIM). A PIM gives you information about your proposed building work and identifies any special features of the land, such as natural hazards.

• Building owners must receive the PIM before any building work starts.  
• The PIM form will be uploaded to the MPDC website on 15th January when the regulations come into force.

What happens next?

Step 2: Council will review your project through the PIM process. The PIM must be issued before any building work can begin. This includes an assessment of whether it is likely to meet the provisions of the NES-DMRU.

You will receive advice on whether your project is:

• Likely to meet building exemption conditions 
• Unlikely to meet building exemption conditions 
• Uncertain

(Note - Council does not check your plans to make sure they meet the Building Code.)

If your project meets the Building Act exemption but requires resource consent, you can’t build until that resource consent is granted. 

Some site conditions, like natural hazards, may still mean you need a building consent and/or resource consent.

Within 20 working days of completing the work, the building owner must provide Council with:

Final plans

• Building and plumbing/drainage plans, including any changes made during construction

Records of work from Licensed Building Practioners 

Certifications for services from the people who carried out the work

• Plumbing
• Drainage
• Gas
• Electrical

The paperwork is an admin step only. It must be provided within 20 working days after your building work is finished. You must complete the building work within two years of the PIM issue date, unless you apply to Council for an extension and it is approved. 

This process creates a record of the work done on your property. It’s useful later if someone applies for a Land Information Memorandum (LIM).

Council doesn’t inspect or certify Building Code compliance under the exemption, but we still have the usual powers to deal with any work that is unsafe or doesn’t comply with the rules.

Councils will charge development contributions for granny flats when issuing a Project Information Memorandum (PIM). For a granny flat up to 70square metres, the charge is usually 0.5 of a household equivalent unit. 

Homeowners must pay any development contributions charged within 20 working days of finishing the building work.

For further information, please visit

• Granny flats exemption: Guidance and resources | Building Performance
• National Environmental Standards for Detached Minor Residential Units 2025
• Step-by-step guide: a high-level overview of the steps to use the granny flat building consent exemption.