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Glossary

# FSI / FAR (Floor Space Index)

The ratio of a building's total floor area to the plot area, governing how much construction is allowed on a land parcel.

## What is FSI?

Floor Space Index (FSI) is calculated as the total built-up area divided by the plot area. It is also called Floor Area Ratio (FAR) in some jurisdictions. FSI determines the maximum construction potential of a land parcel — for example, an FSI of 1.5 on a 1,000 sq ft plot allows up to 1,500 sq ft of total construction across all floors. FSI is set by the planning authority — CMDA within Chennai Metropolitan Area and DTCP for the rest of Tamil Nadu.

## FSI in land valuation

Higher FSI directly translates to more buildable area, which means higher land value. Premium FSI — additional FSI beyond the base allowance — can be purchased from the planning authority in some zones. FSI varies by zone (residential vs commercial), road width (wider road = higher FSI), and building type (IT parks may get special FSI). Land acquisition teams must always verify the applicable FSI before pricing a land parcel, as it fundamentally determines the development potential and return on investment.

## FSI rules in Tamil Nadu

Basic FSI in Tamil Nadu ranges from 1.0 to 2.0 depending on the zone and road width. Premium FSI of up to 50% additional is available for purchase in designated areas, particularly along IT/ITES corridors and growth centers. Heritage zones and conservation areas have restricted FSI, sometimes as low as 0.5\. Special Economic Zones and industrial parks may have their own FSI norms. Always obtain written confirmation of applicable FSI from the relevant planning authority before finalizing land valuations.

## Related Terms

[CMDA (Chennai Metropolitan Development Authority)The planning authority responsible for regulating land use, development, and infrastructure planning within the Chennai Metropolitan Area.](/glossary/cmda)[DTCP ApprovalPlanning approval issued by the Directorate of Town and Country Planning for residential layouts and developments outside CMDA jurisdiction in Tamil Nadu.](/glossary/dtcp-approval)[Guideline Value (Government Value)The minimum property value set by the state government for calculating stamp duty and registration fees during property transactions.](/glossary/guideline-value)

## Keep exploring

Connect your land intelligence workflow with these powerful tools.

[Pricing IntelligenceFactor FSI into land valuations to assess true development potential.](/features/ai-pricing)[Location IntelligenceView FSI allowances by zone on an interactive map.](/features/location-intelligence)

Last verified 30 September 2026

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