News: UP cabinet’s new building rules lift FAR cap on wide roads, with experts split on price impact-11-10-2026
The Uttar Pradesh cabinet has approved the Model Building Regulations, 2026, for industrial development authorities, a decision expected to change how real estate is developed in Noida, Greater Noida and the Yamuna Expressway region. Experts say it could mean faster approvals and taller buildings, better land use and improved project viability for developers. Higher permissible density could raise housing supply and widen choices for buyers, though they caution that this need not lower prices.
The cabinet, chaired by Chief Minister Yogi Adityanath, cleared the regulations on Oct 9, the state government said in a statement. It described the move as important for faster urban expansion, infrastructure development and private investment, in line with the state’s goal of a $1 trillion economy. The rules are meant to streamline approval of building and plot maps and make better use of valuable land, and to encourage private investment in manufacturing, tourism, IT/ITeS, logistics, healthcare, education and real estate.
The main provisions are as follows. The floor area ratio (FAR) restriction is removed for plots along roads wider than 45 metres, allowing taller buildings, though heights stay subject to setbacks, fire safety norms and aviation clearances. Each authority will decide whether the rules apply to sectors that are already more than 60% developed. Building plans must be approved within 60 days or are deemed approved, for residential buildings on plots of up to 500 sq m and commercial buildings of up to 200 sq m, based on plans prepared by licensed technical experts. The approval process is also simplified for residential plots of up to 100 sq m and commercial buildings of up to 30 sq m. Structural audits become mandatory every five years for high-rise buildings.
Santhosh Kumar, vice chairman of ANAROCK Group, called the rules a big step towards faster approvals and taller development. He said the deemed-approval framework could reduce delays and make timelines more predictable, especially for smaller developers and individual plot owners, and that mandatory audits are a safeguard owners will welcome. Any price effect will depend on market demand, and higher density needs adequate roads, water, power and sewage, he added. Real impact will depend on how each authority implements the rules.
Vikas Bhasin, Managing Director of Saya Group, said Noida and Greater Noida already have well-planned sectors, and forward-looking rules supporting planned vertical development could bring much-needed supply and attract more developers and investment.
Dinesh Gupta, president of CREDAI Western UP, said removing the FAR ceiling could encourage more high-rise residential and mixed-use launches, particularly along major corridors and near the Noida International Airport. For buyers, it could mean more choice and modern amenities, but also higher-density living. Prices on wide roads and well-connected plots may rise because of greater development potential, he said, while a larger supply of apartments could moderate prices over time, subject to infrastructure and demand.
Ankita Sood, National Director, Research, Knight Frank India, said the 60-day deemed-approval provision covers specified smaller-plot categories and should not be read as automatic clearance for large housing projects. She expects a location-specific price impact rather than an immediate, across-the-board correction, as extra supply may temper price growth while greater development potential could lift land values. She also said infrastructure capacity must keep pace with density.
Homebuyers see the reform as progressive but warn of risks. Rajiva Singh, president of the Noida Federation of Apartment Owners’ Association, said lifting FAR limits and allowing taller towers puts significant responsibility on the Noida Authority, the Greater Noida Authority and developers. Without upgrades to firefighting, power, drainage and sewage, parking, waste management and traffic infrastructure, rapid vertical growth could compromise safety and strain civic amenities, he said. Strict structural compliance and regular safety audits will be essential, and long-term success will depend on whether urban infrastructure keeps pace with the skyline.
