The state government has revised the Telangana Building Rules, 2012, to streamline the usage of transferable development rights (TDR) and to relax building parameters under the current regulations. These updated rules are anticipated to enhance real estate activity in Hyderabad and other urban areas, while also providing builders with increased flexibility in their projects.
A notable modification introduced by the municipal administration and urban development (MA&UD) department in the GO 95 issued on Saturday pertains to high-rise buildings. It defines a “high-rise building” as one that is 21 metres or taller, excluding non-functional components such as chimneys, cooling towers, lift machine rooms, and water tanks. This directive is a response to numerous stakeholder requests for the rationalization of TDR usage and the implementation of more adaptable construction parameters.
The government has updated the regulations to permit the construction of buildings ranging from 18m to 21m on plots measuring between 750 square metres (sq m) and 2,000 sq m, exclusively through TDR, provided that they comply with mandatory parking and other stipulations. TDR can now also be utilized for setback relaxations. Non-high-rise buildings are eligible for setback relaxations via TDR while conforming to road-widening regulations.
High-rise structures can receive up to a 10% setback relaxation through TDR, but must maintain a minimum setback of seven metres on all sides. In cases where master plan roads have been modified or reduced in size, applicants now have the choice to either pay the requisite development or conversion fees or to provide equivalent TDR instead of making a cash payment. This adjustment offers builders a more financially flexible alternative.
The norms have been revised for additional floors using TDR on larger plots (over 2,000 sq m): three additional floors are permitted on 40-foot roads, four on 60-foot roads, and five on 80-foot roads, with all approvals contingent upon fire safety and regulatory compliance.
For high-rise buildings, those with 10 to 20 floors are required to load 3% TDR on the area above the 10th floor, whereas structures exceeding 20 floors must load 5% on the area beyond the 20th floor. Developers are obligated to submit 50% of the necessary TDR with their building permission applications, with the remaining amount due before the issuance of the occupancy certificate (OC).
The Confederation of Real Estate Developers’ Associations of India (CREDAI) Hyderabad has expressed its approval of the government’s decision, indicating that it represents a significant step towards rationalizing TDR and improving the ease of conducting business within the real estate sector. The newly established regulations offer essential clarity and incentives for sustainable high-rise development throughout the state, as stated by the organization.
We extend our gratitude to the government for permitting the submission of 50% of TDR at the time of permission and the balance prior to the OC, which alleviates the initial financial burden on projects. This government order is a reflection of the administration’s dedication to transforming Telangana into a premier global real estate destination.
By incorporating TDR into road-widening initiatives, modifications to master plans, and height relaxations, the state is creating a mutually beneficial situation for both urban infrastructure and private development,” remarked N Jaideep Reddy, president of CREDAI Hyderabad.
