MBIE backs council ruling that Christchurch Airbnb owners need to get consent or stop

The Ministry of Business, Innovation and Employment (MBIE) has backed Christchurch City Council's decision that Airbnb owners need to seek permission or halt operations. The council had sought a determination from the ministry after it believed the unit owners, T Denman and K Suter, had altered the property's use from a household unit to one for short-term accommodation.

The building, located on Gloucester St, was initially granted a code compliance certificate in May 2025 as a multi-unit dwelling. The council argued that there was no evidence the unit had ever been used for its original purpose and had been listed online for visitor accommodation. They informed the owners in March that the unit's use had shifted from residential to accommodation, which violated two requirements of the Building Act - notifying the council of the change and ensuring the new use complied with relevant provisions of the building code.

The owners claimed they had consulted the council prior to renting out the unit, believing it wouldn't be considered a change of use. However, MBIE principal adviser determinations Rebecca Mackie found that the unit's use had indeed changed, as it was advertised for nightly rental through an online platform, allowing multiple occupants to stay on a nightly or weekly basis.

This pattern of occupation was transient, rotational, and commercial in nature, differing from the purpose of the Housing category. Moreover, the owners did not provide the required written notice to the authority under sections 114 and 115 of the Act, leading to a basis for issuing the notice to fix under section 164. The determination could also impact other apartments used predominantly for short-term accommodation, imposing additional building code requirements, such as access and facilities for people with disabilities.