Pune Municipal Corporation sanctioned new development control regulations permitting higher floor space index (FSI) in certain categories in non-congested areas. Major categories include:
A few other provisions of the new DCR include:
Mixed used developments of residential and commercial nature may be permissible on a residential plot in the TOD zone
Solid Waste Management mandatory for housing complexes, commercial establishments, hostels, hospitals with aggregate built-up area of more than 4000 sq m or more
Office Services View
The metro route, a majority of which passes through CBD & Off CBD in Pune will not fetch significant benefits for commercial and IT building developments as limited land is available in these locations, thereby limiting the floor plate sizes as well as the overall development potential. Moreover, the IT sector already had up to 3.00 FSI under the most recent Maharashtra IT Policy. Hence, increase in FSI along the metro route will not be of much use for larger establishments but it is an instrumental development for small sized commercial projects. Moreover, increase in FSI should also go in conjunction with the adequate infrastructure facilities being developed. The additional FSI is expected to aid redevelopment in the old city areas more specifically the residential segment and hopefully, could lead to lowering the average FSI cost for developers.
Colliers Research view
The proposed Pune Metro runs through most major commercial zones of the city which include Deccan, Bund Garden (CBD), Aundh, Wakad, Hinjewadi, Pimpri-Chinchwad (Northwest Pune), Yerwada, Kalyani Nagar, Viman Nagar and Kharadi (Northeast Pune). Hinjewadi and Kharadi have a large concentration of IT establishments and are also one of the primary residential catchments in Pune. These micromarkets are likely to expand further with augmented urban development aided by the rise in FSI. However, as explained above, the primary beneficiary would be only the small commercial developments located along these corridors. In our opinion, the approved change in FSI norms will be a positive step for the city if the current and the future infrastructure demand is kept in check by focusing on development in the infrastructure sector.