This paper presents a novel assembly sequence planning (ASP) procedure utilizing a subassembly based search algorithm (SABLS) for micro-assembly applications involving geometric and other assembly constraints. The breakout local search (BLS) algorithm is adapted to provide sequencing solutions in assemblies with no coherent solutions by converting the final assembly into subassemblies which can be assembled together. This is implemented using custom-made microparts which fit together only in a predefined fashion. Once the ASP is done, the parts are manipulated from a cluttered space to their final positions in the subassemblies using a path-planning algorithm based on rapidly exploring random tree (RRT*), a random-sampling based execution, and micromanipulation motion primitives. The entire system is demonstrated by assembling LEGO® inspired microparts into various configurations which involve subassemblies, showing the versatility of the system.