Chandigarh Increases FAR to Boost Affordable Housing in Sector 53

Chandigarh’s urban planning department has proposed a significant increase in the Floor Area Ratio (FAR) for the long-awaited housing scheme in Sector 53. This adjustment, raising the FAR from 1.5 to 2, aims to enhance the usable area of flats, potentially lowering prices for thousands of applicants eager for the project to commence. The recommendation was made following a review of the Chandigarh Housing Board’s (CHB) request regarding technical parameters and master plan norms.

This pivotal decision came after a meeting on September 11, 2023, chaired by Punjab Governor and Union Territory (UT) Administrator Gulab Chand Kataria. The meeting addressed concerns surrounding high housing costs and ongoing delays. According to the official note, the guidelines under CBR (U)-2017 permit integrated residential housing schemes in Phase-III sectors to have a building height of 22.63 meters (74′-3″) and 40% ground coverage, with FAR determined by the zoning plan. The urban planning department’s recommendation aligns the FAR for Sector 53 with that previously approved for the UT Employees Housing Scheme.

The Sector 53 housing initiative has faced numerous challenges since its proposal in 2018. Initially, only 178 applications were submitted for 492 flats due to exorbitant pricing. After a revival in February 2023, the project was once again halted in August 2023 by former administrator Banwarilal Purohit, who claimed that Chandigarh did not require a new housing project at that time. The scheme was revitalized in November 2024 under Kataria’s administration.

A demand survey conducted in March 2025 revealed a surge in interest, with 7,468 applicants vying for just 372 flats. Unfortunately, rising collector rates since April have inflated costs by an estimated 35% to 40%, further complicating affordability. Current pricing estimates stand at Rs 2.30 crore for a three-bedroom flat, Rs 1.97 crore for a two-bedroom unit, and Rs 74 lakh for an Economically Weaker Section (EWS) flat.

During the September meeting, Kataria expressed dissatisfaction with the high pricing and instructed CHB officials to revise rates and increase the number of available flats to improve affordability. A significant barrier remains the absence of an EWS policy, essential for allotments. The UT administration has yet to establish this policy, which is delaying not only the Sector 53 scheme but also the planned housing project in Manimajra’s pocket number six.

Officials believe that increasing the FAR will optimize space and lower per-unit costs, making the Sector 53 project more viable. Once the EWS policy is finalized and pricing is adjusted, the scheme can transition from planning to implementation, addressing the pressing housing demands in Chandigarh.