Karnataka High Court has upheld constitutional validity of Premium Floor Area Ratio (FAR) scheme,dismissing claims it infringes property rights. Division Bench,led by Chief Justice Vibhu Bakhru and Justice C.M . Poonacha, ruled scheme doesn't violate Articles 14,21,or 300A of Indian Constitution,rejecting petitions from Citizens’ Action Forum,civic activists,and landowner Krishnamurthy N. A.
Introduced under Section 18-B of Karnataka Town and Country Planning (KTCP) Act,1961,Premium FAR lets property owners buy extra construction rights by paying premium. This aims to boost vertical development and raise revenue for urban bodies. Petitioners argued scheme undermines Transferable Development Rights (TDRs),compensation for their land.
Critics said Premium FAR lets developers buy extra building rights at prices lower than TDRs' market value,rendering TDRs “nugatory.” They argued premium charges, ranging 28% to 50% of notional land value,disadvantage TDR holders,with extra costs like stamp duty on TDR transfers.
The Bench dismissed these concerns. Said property value changes from state policy don't violate Article 300A. Court noted landowners aren't limited to TDRs; they can choose monetary compensation .
Looking at zonal framework for additional FAR in Bengaluru,court clarified Premium FAR isn't universally applicable. It creates protected zone for TDR holders on roads 9 to 12 meters wide,where developers must use TDRs for extra FAR. Court noted about 85,000 of 108,240 roads in Bengaluru fit this,indicating demand for TDRs.
For roads wider than 12 meters,court set max Premium FAR at 0.4 times base FAR,with remaining 0.2 through TDRs. Developers wanting to maximize extra FAR must acquire TDRs for at least 0.2 times base FAR,reaffirming TDRs' importance in development.
Court addressed overall FAR in Bengaluru,noting it's among lowest globally. “It's not disputed there are cities with higher permissible FAR,”Bench stated. Concluded there's capacity to increase FAR without harming city's quality of life .
This ruling marks a key moment in debate over urban planning,property rights in Karnataka,as Premium FAR scheme shapes Bengaluru’s development...
