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BENGALURU: On Monday, the Karnataka government approved a significant increase in the permissible built-up area on its industrial land. This policy change aims to enhance land utilization in KIADB regions and attract further investments.
The state has raised the allowable ground coverage for industrial plots from 65% to 75%.
“Previously, only 65% of the land could be utilized for construction, leaving 35% dedicated to setbacks and parking. We have revised this to 75%. There was a clear demand from the industry for better land use, and our assessment indicates that the city can accommodate this change,” said Industries Minister MB Patil in an interview with TOI.
The new regulations also broaden the permissible floor area ratio (FAR) through a premium payment mechanism. FAR defines the total built-up area allowed in relation to the size of the plot and is crucial for vertical construction.
According to the updated guidelines, the maximum permissible FAR can reach 5.2 for plots adjacent to roads wider than 30 meters. For roads up to 9 meters, the total FAR may increase to 2.45, with allowances scaling up based on road width.
**Premium FAR** allows developers to exceed the base FAR by making additional payments linked to the land’s allotment value, facilitating greater vertical density on existing plots without the need for more land.
Industry organizations have expressed support for this initiative. Uma Reddy, president of FKCCI, commented, “This is an encouraging move that optimizes land utilization. Limited industrial land availability can restrict development; thus, this decision should promote flatted factories.”
**Flatted factories** refer to vertical industrial complexes that accommodate multiple self-contained units for manufacturing, assembly, or warehousing, typically designed to benefit micro, small, and medium enterprises.
The combination of increased ground coverage and expanded premium FAR has the potential to significantly enhance building intensity in industrial zones, especially in urban areas where land is limited.
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