Chandigarh Administration Proposes Major FAR Hike for Commercial Properties
In a significant urban development move, the Chandigarh administration is actively considering a substantial increase in the permissible Floor Area Ratio (FAR) for commercial properties located in areas outside the designated 'heritage sectors'. This proposal marks a pivotal shift in the city's building regulations, with potential far-reaching implications for its architectural landscape and economic growth.
Targeted Increases in Industrial Areas
The administration has already declared its intention to increase the FAR specifically in Industrial Area Phase I and II. Current proposals aim to raise the permissible FAR in these zones to 2.0, a significant jump from the existing ratios of 0.75 and 1.0 respectively. According to official sources, "The decision on increasing the permissible FAR is now pending with the top echelon of the administration. The proposal is to double up the FAR in the Industrial Area Phase I and II, and for the commercial properties in areas beyond the heritage sectors."
Comprehensive Regulatory Changes Under Consideration
Following any increase in FAR, the administration is also actively considering amendments to regulations governing coverage area and permissible building heights. Sources indicate that "An increase in the FAR will entail changes in the coverage area and permissible height. Consequently, an increase in these is also on the table." This comprehensive approach suggests the administration is preparing for coordinated regulatory adjustments rather than isolated changes.
Transforming Chandigarh's Skyline
The proposed increases in permissible FAR, coverage area, and building height for commercial properties are expected to have a dramatic impact on the city's skyline, particularly in the southern sectors. This regulatory shift would facilitate the addition of substantial new commercial space to Chandigarh's urban fabric. Historical precedent exists for such transformations: following the 2005 scheme for conversion of land use in Industrial Area Phase-I and II, the city witnessed the addition of 35,48,880 square feet of new commercial space. That policy doubled FAR from 1 to 2 and increased building height to 30 meters from 18.29 meters, though it was discontinued on September 18, 2008.
Historical Context and Implementation Challenges
Previous attempts at regulatory relaxation have faced implementation challenges. In 2000, an increase in FAR from 0.75 to 1.0 and a 10% increase in ground coverage from 50% to 60% was permitted for construction of cycle sheds on industrial plots up to one acre. However, few property owners opted for these changes due to what were described as "prohibitive" charges imposed for availing the increase.
Heritage Sectors Protected
A UT official has reiterated that "There will be no changes in the FAR, height or coverage area in the heritage sectors." These heritage sectors comprise the first phase of the city (Sectors 1 to 30), meticulously planned by architect Le Corbusier and his team to reflect modern urbanism principles. This protection aligns with a landmark 2023 Supreme Court judgment that mandated strict preservation of Chandigarh's Phase I heritage, banning conversion of single dwelling units into apartments and freezing the floor area ratio to prevent chaotic urban growth.
Deregulation 2.0 Initiative
The proposed changes in FAR for commercial and industrial plots follow the administration's pursuit of 'Deregulation 2.0' goals. The administration has constituted a committee under the deputy commissioner to examine and recommend changes in building bylaws and regulations, indicating a systematic approach to regulatory reform.
Mixed Development Plans for Phase-III
Separately, the Chandigarh administration is considering adopting a mixed land use approach for the development of the 153-acre Industrial Area Phase-III. Sources indicate that "A portion of the 153-acre industrial area phase-III is reserved for warehousing, open areas etc. For other land chunk, allowing mixed land use is being planned." The mixed land use in the city is mainly proposed on the transit-oriented-development (TOD) along Vikas Marg.
To expedite infrastructure development in the long-pending Industrial Area Phase-III, the administration is also planning to involve the private sector through the Public-Private Partnership (PPP) model. While Phase I and II are fully developed with more than 1,800 plots, Phase-III remains undeveloped, presenting significant development potential.
Current Regulatory Framework
The existing regulatory framework features varied standards rather than uniform requirements. For commercial sites such as SCOs, there is no single uniform FAR or coverage—these are site-specific and prescribed in architectural control sheets or zonal controls. Current standards include:
- For hotels: 35% ground coverage with FAR of 1.50
- For Banquet Hall/Marriage Palace: 40% ground coverage with FAR of 0.80
- In industrial areas (Phase I and II): For plots up to 1 acre governed by zoning plans, 60% ground coverage is allowed with FAR of 1.0; for plots exceeding 1 acre, 40% ground coverage is allowed with FAR of 0.75
The proposed changes would represent the most significant revision to Chandigarh's building regulations in recent years, potentially unlocking substantial commercial development while carefully preserving the city's architectural heritage in designated sectors.
