Do You Need a LIM?
17 December 2024

If you’re buying property, whether it be a residential house, a commercial property, or bare land, do you need a LIM?


A LIM, or, to use its full name, a Land Information Memorandum, is a report prepared by a territorial authority or a district council (council) under the Local Government Official Information and Meetings Act 1987 about a property. A LIM can contain useful information held by council about the subject property and is commonly reviewed as part of any due diligence investigation on a prospective purchase, along with a review of the agreement for sale and purchase, record of title and other investigations.


Section 44A of the Local Government Official Information and Meetings Act 1987 lists the types of information that must be included in a LIM such as:

  • information identifying special features or characteristics of the land (such as, potential erosion, subsidence or instability, or contamination) that are known to the council;
  • information about private and public stormwater and wastewater drains shown in the council’s records;
  • information about water supply;
  • information about rates;
  • whether the land is located in a levy area under the Infrastructure Funding and Financing Act 2020, and, if so, the levy period and amount;
  • whether the land is subject to a targeted rate order under the Urban Development Act 2020, and, if so, the rating period and amount;
  • information relating to building consents and code compliance certificates issued by the council;
  • information relating to resource consents and other licences or permits issued by the council;
  • information notified to the council under the Weathertight Homes Resolution Services Act 2006;
  • information relating to the use to which the land may be put and conditions attached to that use; that is, the district plan; and
  • information notified to the council by a network utility operator.


The council may include other information at its discretion. It is important to note that a LIM does not include information held about a property by a local authority or regional council. Nor does it contain information about adjoining or adjacent land.


Key information for a purchaser in a LIM can include:-


  • whether the land is prone to instability, liquefaction, or flooding (including overland flows);
  • whether there is public water supply, stormwater, or wastewater infrastructure (or other public infrastructure) under the property;
    • whether code compliance certificates have been issued for all consented building work; and
    • whether there are any plan changes that may affect the current zoning of the property.
  • Given the breadth of information contained in a LIM, we recommend you do obtain a LIM as part of any due diligence before you buy a property or before you make your sale and purchase agreement unconditional. The information contained in the LIM may help you decide whether the property is, in fact, fit for intended use, or highlight matters that need to be brought to the attention of your lender and/or insurer.


In many cases, vendors or real estate agents will get a LIM themselves as part of their marketing process and will provide you with a copy for you to pass onto your legal advisor to review. However, as these LIMs are addressed to the vendor or agent, if there is anything contained in the LIM that is not accurate, you will have no recourse against the council – only the party to whom the LIM is addressed has any rights. We, therefore, strongly recommend you get your own LIM. Ask us to order one on your behalf.


If you are looking to buy a property and are thinking about what due diligence you should be undertaking, we would love to help you. For more information, please contact Danielle Moore.

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