Bunnings is doubling down on flatpack housing and bringing the backyard solution across the ditch following its Australian success. Homeowners are increasingly turning to flatpack or pod-style homes as a cheaper alternative to traditional builds.

The hardware giant made waves when it launched a partnership with modular housing start-up Elsewhere Pods in February this year. Bunnings is offering two prefabricated pods through the retailer, a backyard studio and a bigger granny flat that can be constructed in as little as a weekend.

Elsewhere Pods founder Matt Decarne told Yahoo Finance the business has seen a “huge interest” in their products since announcing its national partnership with Bunnings

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“In April, we fielded phone inquiries every 48 seconds,” Decarne said.

“Victorians account for 35 per cent of buyers, 30 per cent in NSW, 15 to 20 per cent in Queensland and the rest of the states make up the difference.”

Bunnings is now launching the Elsewhere Pods partnership in New Zealand, with the same two sizes measuring 2.7m by 2.4m and 4m by 2.4m to be available for delivery across the country.

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Elsewhere Pods 2.7 metre example and New Zealand GM of Operations, Karel Bietje in front of Bunnings

Two pods, including a 2.7m x 2.4m pod (pictured), are launching in New Zealand with GM of Operations Karel Bietje saying they can be constructed in as little as a weekend. · Source: Supplied

Bunnings NZ general manager Melissa Haines said modular second dwellings were poised to play an increasingly important role in the nation’s housing needs.

“We’re seeing growing interest from customers in smaller, modular structures that can support residential use, such as creating additional space for family members or adapting to changing household needs,” Haines said.

“Elsewhere Pods offer a prefabricated solution that reflects this shift, with designs intended to complement existing residential properties and provide an alternative to more traditional building approaches.”

When Elsewhere Pods launched its partnership in Australia, it said inquiries spiked from 10 to more than 500 a day. 

The smaller pod retails for $26,100 in Australia, while the larger version is $42,900.

Elsewhere Pod granny flat

Bunnings will also offer granny flat pods measuring 4m x 2.4m. · Source: Supplied

“We are anticipating a similar response here in New Zealand,” Elsewhere Pods New Zealand general manager of operations Karel Bietje said.

“Designed to combine sustainability with premium design, these eco-luxury pods provide a turnkey solution that can be delivered and assembled in as little as two to four days.

“Think of it like a high-tech Lego set or a luxury version of Ikea furniture.”

Plans for Bunnings expansion

Decarne said the company was now in talks with Bunnings to roll out bigger showrooms to allow customers to “feel and see” the entire range of flatpack homes.

“We’re starting to roll out our displays around the country. We had the first one installed at Narre Warren in Victoria. We’ve got one at Robina on the Gold Coast and Castle Hill in Sydney will be next in the next couple of weeks,” he said.

“We have a long-term vision to roll out our full suite of granny flats and tiny homes within Bunnings, but we’re just working with them on ensuring that we tick all the regulatory and compliance boxes.”

The company said it has a $11 million turnover in Australia. It entered the US market earlier this year, with New Zealand now the second international market.

Elsewhere Pod granny flat interior showing a bed in the space

The pods have been described as a ‘high-tech Lego set’. · Source: Supplied Half of Aussies open to flatpack style homes

It comes as a new survey by Money.com.au found 54 per cent of Aussies would consider buying or living in a flatpack or pod-style home as a pathway to homeownership.

Limited space was the biggest concern people had about the backyard solution, with 46 per cent of respondents identifying the issue.

This was followed by build quality and durability at 41 per cent, lifestyle and comfort at 28 per cent, council approvals and zoning restrictions at 27 per cent, and resale value at 20 per cent.

State governments have been removing red tape around backyard granny flats and simplifying approvals in recent years.

Tasmania announced earlier this year it would change the state’s planning scheme to increase the allowable size of granny flats from 60 to 90 square metres.

In New Zealand, new rules introduced in January mean you can now build a 70 square metre granny flat without needing building or resource consents.

Analysis from Mordor Intelligence suggests Australia’s prefabricated buildings market – which includes modular flatpack builds – is projected to grow by around 7 per cent a year to hit $18 billion by 2030.

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