FAR is Going to be Purchasable in the Coming Future - Haryana Building Code Amendment 2025

FAR or Floor Area Ratio, also known as Floor Space Index, is a critical metric of real estate that defines the maximum total built-up area allowed on a plotted land. It regulates urban density, determines building height, and directly impacts property valuation and development potential. Calculated as Total Covered Area on all Floors/ Gross Plot Area, FAR determines how a development is going to take shape. With the new  Building Code Amendments, FAR is changing, and here is a comparison of before and after in this blog.

Commercial FAR

Before

• FAR restricted as per zoning norms

• Caps on commercial colony development

• Limited vertical expansion

• Big box retail capped

• Hotel/resort limited enhancement

After

• Unrestricted FAR for most commercial uses

• Banquet halls – unrestricted

• Purchasable FAR beyond 175% allowed

• Big box retail – 175% FAR

• Major vertical development flexibility

Industrial and IT FAR

Before

• General Industry – 125% base FAR

• Enhanced FAR up to 150% (on payment)

• IT/ITES restricted

• Data Centers Limited

After

• Unrestricted FAR for industrial & IT

• Purchasable FAR beyond 150%

• IT/ITES – unrestricted

• Data Centers – FAR beyond 500% purchasable

Institutional and Educational FAR

Before

• 100% general FAR

• Limited enhancement provisions

After

• Up to 150% FAR (for pre-2016 approvals)

• Payment of proportionate charges where applicable

Impact of the Amendment

This strategic move to change the FAR norms is going to bring an amazing and positive impact to the infrastructure of Gurgaon. The impact of these new Amendments are:

• Commercial & mixed-use vertical growth unlocked

• Industrial & IT corridors gain valuation boost

• Data Centres receive policy acceleration

• Shift from the capped density model to the monetised density model

• Stronger compliance with structured governance

The Implication is yet to be disclosed, and the amount you have to pay to purchase FAR is not revealed yet. But the movement has started already. We have seen what FAR liberty can do to a country’s infrastructure in Dubai, and now it's Gurgaon’s turn.