CREDAI Bengaluru Urges Government on Sustainable Urban Growth Recommendations

Bengaluru, April 12, 2025: CREDAI Bengaluru, under the leadership of its president Amar Mysore, has requested the Government of Karnataka to urgently consider its recommendations on multiple issues it had placed before it over the last two years, outlining various concerns that developers in the city were facing. While some of CREDAI Bengaluru’s efforts to address key issues affecting the real estate sector have borne fruit, as demonstrated by the government’s positive response to recommendations on matters such as E-Khata, Premium FAR and bringing in clarity on car-park areas in Property Tax, increasing the allowable height to 4.5m in stilt parking, there are still other areas that need government intervention.

“Over the last two years, we had approached the Government of Karnataka to look into several issues that the real estate sector is facing in the state, and while on the one hand the government has implemented some of our suggestions, there are several other issues that need to be looked into on a priority basis. The recognition of 150 square feet per car park by the BBMP marks a step in the right direction as the driveway areas were also taken into account earlier; and increasing the allowable height to 4.5m in stilt parking so that mechanical parking systems can be installed to double the capacity of parking in an apartment building which would effectively negate the menace of cars being parked on the street. CREDAI Bengaluru emphasizes the need for continued clarification and refinement in these initiatives. One pressing challenge that however remains unresolved is the revalidation sought in respect of the old TDR certificates (Transferable Development Rights) which takes a lot of time to be included in the plan sanction process. CREDAI Bengaluru highlighted the significant impact of these issues on project timelines & costs and suggested that old TDR revalidation processes be streamlined. This would involve the elimination of redundant reviews and implementing guidelines for modified sanction plans that mandate TDR purchase before granting Occupancy Certificates. Such measures would ensure efficiency while enabling developers to focus on timely project completion,” said Amar Mysore, President CREDAI Bengaluru.

“I also urge the authorities to pay attention to the delays caused by the current multi-agency approval system for high-rise developments. We suggested the introduction of a single-window mechanism, as outlined under Section 32 of the RERA Act, to consolidate about 10-15 approvals that we otherwise will have to take individually from various departments. The platform would not only reduce administrative bottlenecks but also drive coordinated reviews, streamline digital documentation, and ensure fair, standardized fee structures for obtaining NOCs. Another critical issue pertains to height restrictions enforced through NOCs from Jakkur Aerodrome. CREDAI Bengaluru is of the view that the recreational nature of this private airstrip should exempt developers from such mandates, particularly for projects along the airport road that impact investor perceptions. Exempting these requirements would foster a more conducive environment for growth and development in key urban areas,” he added.

Property Tax reforms related to vacant properties remain a key area of concern for the real estate sector. CREDAI Bengaluru urges the government to reinstate benefits for vacant building taxes, alleviating the financial burden on property owners grappling with vacancies right after the building is completed or when the property is not leased out; this scheme was available to exercise in BBMP prior to Zone classification. Additionally, the issuance of no-due certificates for fully paid taxes should prevent retrospective reassessments, ensuring a fair and stable tax regime.

“Modernizing parking solutions through technological advancements such as puzzle parking systems is another area where CREDAI Bengaluru seeks government intervention. This innovative approach to space management would facilitate efficient urban planning and address growing demands for parking in densely populated areas. We urge the government to consider amendments to zonal regulations to explicitly incorporate puzzle parking systems into urban planning standards. Additionally, we request the Government to take forward the TOD policy (Transit Oriented Development) that was formulated by The Directorate of Urban Land Transport (DULT) and Bangalore Metro Rail Corporation Limited (BMRCL) back in May 2019. The TOD policy was introduced with the aim to boost transit-oriented development. However its implementation continues to remain a challenge. The policy applies to traffic transit management hubs and promotes accessibility through walking, cycling, and bus services. Implementation of the policy would effectively alter land-use changes near transit stations, encouraging mixed-use development and higher Floor Space Index (FSI) for efficient land use. The policy seeks to implement TOD zones based on the basis of accessibility by walk, cycle or bus. Land use changes were introduced in areas closer to the station with areas within a 6-minute walk to the station or 500 metres from the metro line representing the core TOD zone. We had requested that the government consider increasing FAR allowances within 500 meters of metro stations and revising parking norms so as to encourage greater use of public transit, thereby reducing traffic congestion and enhancing overall productivity. Another long pending ask is for, uniform definition for water bodies, including lakes, nalas, and streams, are essential to prevent arbitrary enforcement activities and ensure compliance. We request clarity in the classification of water bodies and revision of buffer zones to optimize land usage. Modernizing revenue maps in line with Comprehensive Development Plans through GIS and drone-based mapping would further streamline approval and enforcement processes, avoiding reliance on outdated data. We are confident that the Government will look into these issues and enhance the progressive development of Bengaluru city and Karnataka State,” Mysore said.