Floor Area Ratio
Sensing economic worth in the proposal of DDA to raise the Floor Area Ratio (FAR), calculated by dividing the sum of total area of all floors by the area of the plot, which is sure to ignite the construction activities in the city leading to providing jobs to many as Delhi-based realtors - such as DLF, Parsvnath, Ansals, Anant Raj, Uppal, Saluja, etc.- have expressed their happiness at the development, the urban development ministry has given the go-ahead to it. The realty stocks on the BSE also shot up by close to 10%.

The ministry's move seems to be in line with the urbanization thrust propelled by the Modi government which is keen to raise the urbanization projects in the country to fill the gap in demand and supply of urban housing.

The rise in FAR for plots of 750-1,000 sq m is from 150% now to 200% and for plots of 1,000 sq m and above, the same has been increased from 120% to 200%, helping the vertical development of buildings, according to official sources, adding that the change also entails an increase in the ground coverage area from 40% to 50% for plots of 1,000 sq m and above, which is the case with plots of 750-1,000 sq m.