BENGALURU: In a significant reform initiative, the Department of Large and Medium Industries has issued orders revising the Floor Area Ratio (FAR) norms applicable to industrial plots. Large and Medium Industries Minister MB Patil on Thursday said the decision is expected to spur industrial growth and boost residential real estate activity in areas developed by the Karnataka Industrial Areas Development Board (KIADB).
Providing details, he said, “Until now, only 65 per cent of the land in industrial plots could be utilised for industrial construction. This has now been increased to 75 per cent. This landmark decision will reduce the extent of land required for industrial purposes.
As a result, entrepreneurs will not have to incur heavy expenditure on land purchase. At the same time, more agricultural land will remain with farmers. This reflects a progressive and facilitative governance approach.”
He pointed out that under the earlier FAR norms, investors faced several constraints. For example, if 10 acres were allotted to an industrial unit, only about 6.5 acres could be used for construction.
The remaining area had to be set aside for surface parking and mandatory setbacks on all four sides of the building. These requirements have now been substantially reduced, the minister said.
Earlier, for industrial buildings up to 7 metres in height, a setback of 1.5m in front and 1m each at the rear and on both sides was mandatory. Under the revised norms, it will be sufficient to leave 1.5m in the front and 1m on either one side (left or right). Similarly, for buildings up to 15m in height, the earlier requirement of leaving 3–10m in front and 1.5-8m on the remaining sides has been rationalised to 2–6m in front and 1.5–6m on the other sides.
Under the previous regulations, employee housing and industrial township development were not permitted within industrial plots. The revised FAR norms now allow up to 15 per cent of the area in general industrial plots to be utilised for residential facilities. In industrial plots measuring at least 50 acres, up to 10 per cent of the area may be used for residential and commercial buildings, a press release stated.
Parking norms have also been rationalised. Only 2 per cent of the plot area needs to be earmarked for parking in the case of general industries and data centres, and 3 per cent for warehousing and logistics units, the release added.
The FAR applicable to industrial plots is determined based on the width of roads within the industrial area. Until now, plots abutting 30m wide roads were permitted a FAR of 3.25, which has now been increased to 5.2. Likewise, for roads measuring 24-30m in width, FAR has been raised to 4.8; for roads between 18 and 24 metres, it has been increased to 4; and for roads measuring 12-18m, FAR is enhanced to 3.6.
In areas where the road width is less than 12 metres, FAR has been revised from 2.45 to 2.8. The revised provisions will apply to industrial areas, Special Investment Regions (SIRs), single-unit complexes, as well as residential and commercial construction projects within industrial zones, Patil said.