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HC clears path for Bengaluru’s higher-density development.

Karnataka HC Upholds Premium FAR Policy; Dismisses Petitions by TDR Holders.                                                                                                                                                 

The Karnataka High Court has upheld the State’s introduction of Premium Floor Area Ratio (Premium FAR) under Section 18B of the Karnataka Town and Country Planning Act, dismissing petitions filed by landowners and Transferable Development Rights (TDR) holders. Petitioners argued that Premium FAR undermined the value of TDR by allowing developers to buy additional buildable rights directly from the government. Justice M.I. Arun rejected this claim, stating that both mechanisms serve the same purpose—enabling construction beyond permissible limits through different routes. The Court clarified that TDR remains relevant, as achieving maximum FAR in Bengaluru still requires its use. It also ruled that the notifications issued in 2025 were valid, not arbitrary, and constitutionally sound under Article 300A. The judgment noted that Premium FAR is widely used in cities like Mumbai and Ahmedabad. With the decision, uncertainty around Bengaluru’s development regulations has been resolved.