Monday, October 6, 2014

What is FSI in real estate development? What is the floor space index that is allowed for various Indian cities?

Author: Sachin Gupta | Find me on Twitter

FSI or floor space index is the ratio of total develop-able gross floor area to the total plot area. In other words:

FSI = Total covered area on all floors / Gross plot area

Higher FSI means, more area can be developed in a given plot. How is that possible? It is done by adding more floors to the plot of land. In metropolitan area of New-York, the permitted FSI is 17 and in Singapore the permissible FSI is 10. Whereas in Commercial Business Districts (CBD) of Mumbai, the highest allowed FSI is at Nariman Point (FSI – 4.5), and at Bandra Kurla Complex or BKC, the allowable FSI is 4.

There is always a case for increasing the FSI in Indian metro cities of Delhi, Mumbai, Kolkata, Bangalore, and Chennai. However, higher FSI requires building of infrastructure such as sewerage, roads, safety features, traffic management, water, and electricity. Without the proper infrastructure in place, higher FSI will choke the city and can cause great deal of discomfort to the residents.

At the same time, there is a widespread belief among real estate and city planning experts that doubling the FSI in metropolitan cities of India can bring down the cost of housing and commercial real estate. It is estimated that prices of residential real estate in the island city of Mumbai would fall by one third in such a scenario. The State Government, however, is reluctant to raise the FSI because they believe it will lead to crowding and create an additional burden on the city's infrastructure.



More on FSI is explained in the below document:





Have any Questions?

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