Karnataka govt revises FAR norms for industries

The revised FAR norms now allow up to 15 per cent of the area in general industrial plots to be utilised for residential facilities. The minister said that the revised norms are expected to reduce the extent of land acquisition required for industrial development.


PTI | Bengaluru | Updated: 12-02-2026 21:22 IST | Created: 12-02-2026 21:22 IST
Karnataka govt revises FAR norms for industries
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The Karnataka government on Thursday revised the FAR norms applicable to industrial plots, making them more industry-friendly. An official order was issued in this regard, a release said. Karnataka Large and Medium Industries M B Patil 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). ''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,'' he said in a statement. ''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 said. Patil pointed out that under the earlier Floor Area Ratio (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,'' he said. According to the statement, earlier, for industrial buildings up to seven metres in height, a setback of 1.5 metres in the front and 1 metre each at the rear and on both sides was mandatory. Under the revised norms, it will be sufficient to leave 1.5 metres in the front and 1 metre on either one side (left or right). Similarly, for buildings up to 15 metres in height, the earlier requirement of leaving 3 to 10 metres in the front and 1.5 to 8 metres on the remaining sides has now been rationalised to 2 to 6 metres in the front and 1.5 to 6 metres on the other sides, it said. Under the previous regulations, employee housing and industrial township development were not permitted within industrial plots, it said. ''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,'' the statement added. It also said that parking norms have also been rationalised. Only two per cent of the plot area needs to be earmarked for parking in the case of general industries and data centres, and three per cent for warehousing and logistics units. The minister noted that providing land for industries has become increasingly challenging due to limited availability. ''The revised FAR norms have been framed keeping the interests of industry in mind. They are expected to encourage vertical development within industrial areas, enabling higher economic output and greater employment generation within a smaller land footprint,'' he said. The minister said that the revised norms are expected to reduce the extent of land acquisition required for industrial development. In addition, certain farmers who lose land will have the option of receiving developed land in lieu of cash compensation, which could prove more advantageous. As the new rules permit construction over a larger built-up area, farmers are also likely to benefit indirectly, he added.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)

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