Subdividing Land in New Zealand
Subdividing land in New Zealand involves splitting a property into multiple, legally distinct sections. This can be done for various reasons, like creating space for family or selling off a portion of your current property. The process is regulated by the Resource Management Act and requires approval from your local council.
Thomas Consultants can help you navigate zoning restrictions, infrastructure considerations, and potential costs.
Most common forms of subdivision:
Freehold/Fee Simple
Freehold is where you have absolute ownership to land, i.e. it is not shared. Fee simple is a type of freehold and is the highest and most common form of ownership in NZ.
Unit Title
This is common in a building development where there are multiple owners. A unit title subdivision creates individual titles to units (typically semi-detached or multi-storey) over an existing fee simple parcel of land. The units share in the common property eg: vehicle access, turning areas, lifts, stairs, and gardens.
Cross Lease
Today this is largely a legacy form of ownership and is where you co-own the land and have a leasehold interest in your own dwelling (flat). Exclusive & common use areas may be specified in the lease.
Subdivision and the Auckland Unitary Plan
The Auckland Unitary Plan (AUP) serves as the rulebook for subdivision and land development in the Auckland region. It contains all the rules about what land can be subdivided and developed, when that land can be developed, and how.
More opportunities to subdivide
The current Auckland Unitary Plan (AUP) rules have created more opportunities to subdivide your land. Where most previous district plans stated how many lots or dwellings could be created on a site, the AUP allows for as many dwellings or lots on a site as physically feasible, as long as the quality of living for occupants is acceptable.
This means that a subdivision with a high quality residential design will achieve a higher number of lots than a site which is simply subdivided into vacant sections.