The Ministry of Business, Innovation and Employment (MBIE) has ruled that Christchurch unit owners have to ask for permission to offer the property as an Airbnb - or stop.

Christchurch City Council sought a determination from the ministry because it felt the owners, named in the determination as T Denman and K Suter, had changed the use of the unit from its consented use as a household unit, by making it available for short-term accommodation.

The unit, on Gloucester St, was issued a code compliance certificate in May 2025 as a multi-unit dwelling.

It is on the ground floor with a separate unit above.

The council told MBIE that it did not have evidence the unit had ever been used for its consented use and had been advertised online as visitor accommodation. The unit could be booked for one group at a time and one night or more.

The council contacted the owners in March telling them that the unit had changed from a residential classification to accommodation.

They had breached two requirements of the Building Act, in that they should have given notice of change of use, and that they could not change the use of the building unless the council gave them written notice that the new use would comply with the relevant provisions of the building code.

It issued a notice to fix, which said the owners should notify the council of the change, supply required documentation, and receive written notice that the new use would comply with the rules as required.

Alliteratively, they would have to stop using the building for accommodation and return it to its residential use.

The owners said they had sought advice from the council before they started letting the unit and were told it would not be considered a change of use.

They had told the council they wanted to make it a short-term rental so they could use it as a holiday home.

MBIE principal adviser determinations Rebecca Mackie said there was no dispute the council had not approved a change.

There was also no dispute that the multi-unit residential building was consented as sleeping residential.

The question was whether the use had changed.

Mackie found that it had, because the unit was advertised at a nightly rate.

"In this case, the unit is not occupied as the exclusive home or residence of a household... The unit is made available to members of the public as short-term accommodation through an online accommodation platform, with different occupants able to stay on a nightly or weekly basis. That pattern of occupation is transient, rotational and commercial in character. Although each booking may involve only one person or one group staying at a time, there is no continuity of occupation by any particular household.

"The purpose of the use is to rent the unit out as temporary accommodation. That use is materially different from the purpose of the Housing category.... nor do I consider the low level of services provided is determinative of the use of the unit."

Mackie said the unit's use group had changed and there were additional or more onerous building code requirements with the new rules.

"The owners did not provide written notice to the authority under section 114, and the use was changed without written notice from the authority under section 115 that the building in its new use complies to the extent required, in contravention of these sections of the Act. Therefore, there was a basis to issue the notice to fix under section 164."

She upheld the council's notice to fix.

Consultant Mike Blackburn said the determination was relevant to apartments in other developments that were used predominantly as short-term accommodation.

"Where Council determines that a change of use has occurred, the Building Act process can also bring additional Building Code requirements into consideration. In this case MBIE specifically identified requirements relating to access and facilities for people with disabilities as an example of requirements applying to the new use. For developers, designers, property owners and operators involved in this part of the market, Determination 2026/026 is therefore one worth being aware of."