Telangana government expands TDR use and eases height and setback limits
Change
Telangana government required that buildings between 18 metres and 21 metres on plots of 750–2,000 sq.m be developed only using Transferable Development Rights (TDR), set TDR loading at 3% for built-up area above the 10th floor (5% above the 20th), and mandated that 50% of required TDR be submitted at the building-permission stage; the rules took effect March 22, 2026.
Why it matters
The rules make access to transferable development rights an upfront approval requirement for many mid‑rise and taller projects, constraining developers who previously relied on cash payments or different compliance routes. Additional floors and setback relaxations are now conditional on meeting TDR loading and submission timelines along with safety and clearance checks, altering project design and approval sequencing.
Implications
- • Developers seeking building permission for projects 18–21 metres on 750–2,000 sq.m plots must procure sufficient TDR and submit at least 50% of required TDR at the building-permission stage, with the balance due before the Occupancy Certificate.
- • Developers planning buildings above ten floors must allocate TDR equal to 3% of the built-up area above the 10th floor (and 5% for area above the 20th) when finalising floor plans and project budgets.
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