Delhi real estate demands vertical development
Delhi- One of the major reasons for acute shortfall of housing in Delhi is the lower floor area ratio (FAR) which does not allow high-rise apartments in Delhi.
Thousands of high-rises with having 15 to 20 floors are found in Mumbai and National Capital Region (NCR), since the FAR value is high. But it is not the case in Delhi as the FAR is limited.
FAR is the ratio of total floor area of a building to the area of the plot on which it is developed. For instance, if the area of a plot is 1000 sq ft and the FAR permissible in that area is 10 then the maximum space permitted will be 10,000 sq ft in all floors of the building put together. Other conditions such as parking, setbacks, access width, etc. should also be satisfied.
In order to overcome the shortage in supply of housing units in Delhi, the Urban Development Ministry has asked the Delhi Development Authority (DDA) to allow higher FAR, which in turn would push vertical development in the city.
The ministry in its proposal has requested to the DDA to triple the FAR in the city from 200 to 600. At present this is applicable only to low cost and budget housing projects in Delhi.
This move seems to give a boost to the realtors of Delhi in bringing a new ‘price point’ for low cost housing in the city.
Market analysts express that it is high time for Delhi government to focus on vertical development of the city. The housing shortage in large urban cities can only be overcome with vertical development.
Although, buyers are willing to make investments in real estate, the supply of properties in Delhi is not rising. This move is expected to boost the supply as well as the real estate revenue for the state.
Till now, the DDA has not formed any guidelines regarding vertical development. The present developmental norms are unfavorable to affordable housing sector. But it is believed that increase in FAR would change the scenario.
Several developers are of the opinion that increase in FAR for mid-range to high-end developments is also necessary.
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affordable housing sector., Apartments in Delhi, budget housing projects, Delhi, Delhi Government, Floor Area Ratio, high-rise apartments in Delhi, housing in delhi, housing units in Delhi, Investments in real estate, Low-cost housing, National Capital Region, projects in delhi, Urban development ministry
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