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Real Estate

Chandigarh Administration Clears FAR Hike to Cut Flat Prices, Allow Six Floors

  • by- Zaid
  • Apr 11, 2026
In a bid to boost housing affordability and revive the long-stalled Chandigarh Housing Board project in Sector 53, the UT administration has approved an increase in the permissible Floor Area Ratio to 2.4, enabling construction of taller residential blocks.
Chandigarh Administration Clears FAR Hike to Cut Flat Prices, Allow Six Floors

Chandigarh, April 11: The relaxation will allow buildings of up to six floors.

Key Changes

  • New FAR: 2.4 (up from traditional limit of 1.2)

  • Maximum floors: 6

  • Ground coverage cap: 40% of plot area

  • Maximum building height: 74.25 feet

Expected Impact

  • Increase number of dwelling units

  • Reduce per-unit costs

  • Make project more accessible to buyers

Project Background

  • Initial launch: 2018 (poor response – only 178 applications against 492 flats)

  • Revived: February 2023 (put on hold later that year)

  • Revived again: November 2024

  • Demand survey (March 2025): 7,468 applicants for 372 flats

Pricing Estimates (Earlier)

Unit Type     Estimated Price
EWS ~₹74 lakh
2 BHK ~₹1.97 crore
3 BHK ~₹2.30 crore

Officials expect prices to soften with higher FAR, increased housing stock, and potential policy measures.

More Relaxations Under Consideration

  • Industrial Area Phase I & II: FAR to increase to 2.0 (from current 0.75 and 1.0)

  • Commercial, hospitality, institutional, educational properties: FAR increase under consideration (excluding heritage sectors)

Heritage Context

The Supreme Court in a 2023 landmark judgment mandated strict preservation of Chandigarh's Phase I (sectors 1-30) heritage, banning conversion of single dwelling units into apartments and freezing FAR to prevent chaotic urban growth.