Two men have pleaded guilty to burning down a building in the Historic Village used by the LGBTQIA+ community.

In Tauranga District Court on Thursday, Judge Thomas Ingram said home detention was a possibility, 'but that is not a promise" for co-charged Alexander James Burgess, 33, and Zechariah Phillips, 29.

According to New Zealand law, a person who commits arson – the intentional or reckless damage by fire of a property – can be liable to imprisonment for up to 14 years.

Burgess, who appeared in court by audiovisual link, had originally pleaded not guilty on July 7 and elected to a trial by jury, but has since changed his plea and admitted his guilt.

A police summary said the pair, who are both unemployed, allegedly started the fire at around 11:20pm on June 15, destroying the building.

Their actions, which allegedly included pushing a wheelie bin against the wall of the building and using turpentine to light the fire, were captured on CCTV.

The building, in Tauranga's Historic Village on 17th Avenue, is home of the RainbowYOUTH and Gender Dynamix organisations.

It ran as a drop-in centre and support service for the LGBTQIA+ and gender-diverse community.

It is one of 50 buildings in the village complex, however, the rest were left unscathed on the evening of the fire.

The two men will be sentenced on November 29.

Judge Ingram also suggested that restorative justice be explored.

After the fire, the community rallied to raise $84,037 for a new home for the services.

-By Annemarie Quill/Stuff.