Back in June, the Government handed Auckland and Christchurch a rare chance to opt out of the country’s controversial Medium Density Regulation Standards (MDRS). These rules, born from a 2021 bipartisan deal under the previous Government, gave Kiwis the right to build three homes of up to three storeys on most residential sites without needing consent.
Under recent RMA reform, Auckland Council can now withdraw its old intensification blueprint (Plan Change 78), so long as its replacement provides at least as much housing capacity. Christchurch Council can do the same with its Plan Change 14, but only if Council can demonstrate that its planning framework unlocks 30 years of housing growth with a buffer on top. Other tier 1 ‘high growth’ councils are still required to adopt the MDRS.
For Auckland, the Government is investing heavily into the new CRL stations which will require greater intensification to maximise that investment. Property Council has consistently advocated for the intensification of housing around key transport nodes, both as a feasible way to solve the housing crisis facing New Zealand and to encourage CBD revitalisation whilst reducing carbon emissions.
On Thursday 21 August, Auckland Council announced their most ambitious plans for intensification yet.
The draft replacement for Plan Change 78 would reshuffle residential zones across the city:
- More land would be zoned for two-storey housing in Mixed Housing Suburban areas, while the footprint of three-storey Mixed Housing Urban zones would shrink.
- In the Terrace Housing and Apartment Buildings (THAB) zone, heights would generally rise to six storeys.
- In transit-rich areas up to 10 storeys in 23 walkable catchments and up to 15 storeys in 21 walkable catchments around rapid transit stops (subject to qualifying matters).
- THAB zoning would be expanded around 14 town centres, applied to 11 new centres, and extended along 24 major transport corridors.
Full maps of the proposed zoning areas can be found here, under attachments.
The hot topic splashing across all media outlets, is that these changes will enable a capacity of 2 million houses across Auckland, which goes above and beyond the intensification originally considered under the MDRS. Of course, such a number will not be immediately realised – as we all know in the property sector, these things take time, money and consents!
Not all zoning is up for grabs either. Auckland Council is also proposing to reduce development capacity in flood prone areas with stronger hazard protections. This includes tighter risk assessments for development in locations impaired by natural hazards, downzoning to single house zones in the “worst-affected” areas and we can expect hazard mapping to be updated. The key thing to watch out for is that all of the natural hazard provisions will have immediate legal effect so will be considered as part of any resource consent from the time the plan change is notified.
At this stage, these proposals are out for feedback from iwi and local boards until September. Councillors will then decide whether to officially withdraw Plan Change 78 and notify a new plan, which would trigger a fresh round of public consultation.
Meanwhile in Christchurch, progress on Plan Change 14 has been more cautious. The Council has advanced some intensification around the central city, suburban centres and transport corridors, but is yet to tackle medium-density zoning across the wider city. With a government deadline of 12 December 2025 looming, and an opt-out option available if they can prove 30 years of supply, Christchurch will be one to watch.
So, what does all this mean?
For Auckland, the scale of proposed upzoning could reshape the city’s development pipeline, opening up new opportunities near transport hubs while providing clearer guardrails on hazard-prone land. In Christchurch, the direction remains uncertain until December 2025, but the potential to chart a more tailored path could deliver long-term benefits. For the rest of the country, it’s a reminder that housing rules are moving fast, but Property Council will keep you informed.
Author | Bella Leddy
As Property Council’s Junior Advocacy Advisor, Bella supports the development of policy and advocacy initiatives that reflect the real-world experience of our members.
With a Bachelor of Laws and Politics from Otago University and previous experience as a policy intern at the Department of Internal Affairs, Bella brings both a sharp analytical mind and a genuine passion for public policy. She’s particularly energised by engaging with members to ensure our advocacy is grounded in industry insight and practical solutions.
Extroverted, thoughtful and service-focused, Bella thrives in roles that connect people and ideas. Outside the office, she channels her energy into teaching group fitness classes – including yoga, pilates and spin – and is always up for a good political yarn.
