Government centralises supermarket building consent

The Government has expanded MiltiProof eligibility and established a centralised building consent service for supermarket developments. These regulatory changes designed to make it easier and faster to build new standalone supermarkets and support increased competition in New Zealand’s grocery sector 

Under a Memorandum of Understanding between the Ministry of Business, Innovation and Employment (MBIE) and Christchurch City Council (CCC), supermarkets and large grocery developments anywhere in New Zealand that meet eligibility criteria can now choose to apply directly to CCC for their building consent, bypassing the need to manage separate processes with multiple local councils. Christchurch City Council was selected as the preferred provider following a closed competitive sourcing process.  

For builders and developers, this means a single point of contact handling pre‑application advice, inspections and code compliance certification for qualifying standalone grocery buildings of 500m² or larger. Previous arrangements often required projects to navigate up to 66 consent authorities with different procedures and timelines, which Finance Minister Nicola Willis described as a “disincentive to setting up shop here”. 

What this means for the sector 

The new consent pathway is part of a broader Government supermarket competition programme. MBIE has identified regulatory and consent barriers as a significant frustration for potential supermarket developers and competitors seeking to enter or expand in the market. 

The centralised service is available for: 

• Standalone grocery buildings more than 500m² by non‑incumbent grocery retailers (ie, not Foodstuffs North Island, Foodstuffs South Island or Woolworths NZ)

• Supermarket projects referred under the Fast‑track Approvals Act 2024 (including by existing large operators if they are judged to increase competition at regional or national scale). 

Projects outside this scope – such as mixed‑use developments, mall fit‑outs or substantial renovations – remain within standard local consenting processes. 

Government’s competition goals 

The changes align with a wider effort to strengthen competition in the supermarket sector, which historically has been dominated by a small number of large players. MBIE’s review work has emphasised how the current market structure and regulatory environment can deter new entrants, with resource and building consenting frameworks flagged as obstacles. 

For builders and consent authorities, the centralised model offers potential efficiencies through consistency and predictability in approvals for supermarket builds – especially for developers targeting multiple regions. 

Finance Minister Willis said the service is intended to make New Zealand more attractive for new supermarkets, arguing that “more supermarkets equals more competition equals lower prices”. 

Expanded MultiProof eligibility 

Developers can also apply for MultiProof approvals to enable replicable designs to be built across the country. MBIE says MultiProof approval will help nationwide developments benefit from a faster building consent process.  

“Building consent is still required for MultiProof-approved designs, but this is limited to addressing site-specific features such as foundations and site services, and must be completed within 10 working days instead of 20,” it said. 

The following eligibility requirements have been removed for all developments, including supermarkets: 

• Requirement for applicants to build the approved design at least 10 times over two years, provided the design is still intended to be replicated. 

• Requirement for applicants to intend to build themselves. 

Implications for construction delivery 

MBIE will monitor uptake and performance of the centralised service and facilitate introductions between developers and CCC.