A LIM or Land Information Memorandum is a report issued by the local city or district council which provides a summary of all the information that local authority has on file about that property, in particular, all works on the property that council has had involvement in.
It will typically include:
- Zoning information
- Information on natural features which impact the use of the property (such as flooding or erosion, wind risk and subsidence)
- Scheduled roads or utility (such as drainage) developments which impact the site
- Details of current rates, and outstanding rates, if any, owed on the property
- Information on any protected or heritage buildings or trees on the property
- Details of resource consents, or building consents issued for work on the property.
The important thing to remember with a LIM report is that while it can contain vital information on a property you’re interested in buying, it won’t contain ALL information on any given property.
For example it won’t contain recent survey measurements, or information on the building’s structural integrity, or address fears of contamination from substances such as methamphetamine.
You will need to have those concerns addressed with separate reports from building and meth contamination inspectors.
So why do you need a LIM report?
It can tell you if previous alterations or construction works has been signed off by the council. It may show areas liable to flood or which may be prone to subsidence or erosion causing problems in the future. These are things which you may not notice in a typical viewing of the property.
A LIM may also alert you to things such as road widenings or new routes which may affect your amenity or the future value of the property.
Always look at the LIM in the context of what is currently in place at the property. It’s important to note that not all works done on a property will appear on a LIM as not all works require council involvement. However, if there is noticeable construction not listed in the LIM you should discuss this with your lawyer and the real estate sales consultant prior to making an offer.
Generally speaking it is a good idea for your lawyer to look over the LIM anyway as they may spot something you miss. And remember you can request aspects of the LIM that are of concern be remedied by the vendor as a condition of sale.
Your LIM Report can be ordered directly from the Dunedin City Council website here