The Government of Karnataka has announced a significant shift in urban development policy by permitting taller buildings in designated industrial areas of Bengaluru, a move expected to reshape the city’s skyline and boost its real estate and industrial sectors. Under the revised regulations, developers can construct additional floors beyond previous limits by acquiring extra Floor Area Ratio (FAR) through premiums to authorities.
The decision aims to optimise land use in one of India’s fastest-growing metropolitan regions, where land scarcity and high real estate prices have long constrained development. Bengaluru, recognised as a major global technology hub with a rapidly expanding workforce and significant industrial activity, has seen demand for both commercial and residential space outstrip horizontal expansion possibilities.
Under the updated policy, developers can purchase up to 60% additional FAR in specific areas by paying a premium, effectively allowing taller buildings on industrial plots than before. This is expected to encourage vertical growth and densification in industrial sectors, especially near key corridors and employment centres, as companies seek to accommodate more workspace, housing, and mixed-use facilities.
Why Allow Taller Projects in a Congested City?
Critics of Bengaluru’s rapid development have long highlighted the city’s infrastructure strain, including road congestion, water shortages and stretched civic services due to sprawling growth into suburban and peri-urban areas. Horizontal expansion alone has contributed to long commute times and pressure on utilities.
Proponents of the new policy argue that vertical development is a strategic response to these challenges. With limited horizontal space left in established industrial and urban zones, increasing building heights through FAR adjustments allows more efficient use of land without expanding the city’s physical footprint. This can help centralise employment, housing and services, potentially reducing travel distances and supporting denser transit systems.
Additionally, taller projects in industrial areas are designed to be integrated with updated planning norms, including revised setback requirements and open space standards for high-rise construction adopted under the city’s planning regulations. These aim to ensure adequate light, ventilation and safety even as buildings rise upward.
Economic and Planning Rationale
Bengaluru’s economic profile, driven by IT, biotechnology, manufacturing and research industries, has fueled demand for modern office space, industrial facilities and worker housing. Enabling taller buildings can shorten development timelines and increase total built-up area on limited plots, helping meet that demand.
State planners also see this as complementary to broader economic strategies, such as investment growth targets under Karnataka’s industrial policy and development of new employment corridors. Centralising jobs and residences closer together could ease peripheral sprawl while supporting sectors that need high-density infrastructure.
Concerns and Balancing Acts
However, urban planners caution that vertical expansion must be balanced with infrastructure upgrades. Without corresponding improvements in transport, water supply, sewage and civic services, taller buildings alone may exacerbate congestion and reduce quality of life. Setback, open space and public utility provisions are thus being emphasised in newer regulatory frameworks to mitigate such risks.
Public authorities and developers will now be under scrutiny to ensure that the push upwards in height does not outpace planned investments in essential infrastructure and sustainable urban growth strategies.
