An 11-member committee headed by deputy commissioner Nishant Kumar Yadav recommended increasing FAR in Industrial Areas Phase 1 and Phase 2 from 0.75 to 1.5, with FAR of 2.2 proposed for Phase 3. Recommendations will go to UT chief secretary next week, then UT administrator for notification. Current FAR of 0.75 allows 750 square yards built-up area on a 1,000-square-yard plot; recommended 1.5 would allow 1,500 square yards by permitting additional storeys. Currently two storeys allowed in Phase 1 and 2; four storeys permitted in Phase 3. Increased FAR enables industrialists to expand usable space without acquiring extra land, improving viability and investment attractiveness. Neighbouring industrial estates in Mohali, Panchkula, Dera Bassi, Barwala and Baddi offer FAR between 2.5 and 3. Industrialists have demanded FAR revision for over two decades. Industry urged extending FAR relief to smaller plots of five marla to one kanal. Nearly 90% of violation notices in past five years relate to polycarbonate-covered central courtyards despite 2018 UT notification allowing such structures without counting toward FAR. UT Estate Office plans auctioning around 140 plots in Phase 3 starting April. Phase 3 spans 153 acres near Raipur Kalan, conceptualised in 2001, development began December last year. Planned as hub for high-value, non-polluting industries: IT, electronics, biotechnology, nanotechnology, light engineering, automotive components, knowledge-based industries, hospitality, finance, banking, furniture, sanitary fittings, handloom and handicraft units. Plots ranging one kanal to four kanals will be auctioned in phases, around 10 plots per e-auction round, completion within one year. A few Phase 2 plots will also be auctioned.

Nearly 40 acres of government land cleared under Chandigarh’s “slum-free city” mission across Sanjay Colony, Janata Colony, Adarsh Colony, Shahpur Colony and the Furniture Market area in Sectors 53 and 54 will receive Third Phase development. Final plans have been sent to the concerned departments and are aligned with the Chandigarh Master Plan.

• Sanjay Colony, Industrial Area Phase 1: Six acres cleared on April 23, 2025, valued at nearly ₹300 crore, are planned for railway yard expansion, warehouses, logistics facilities and industrial structures supporting Northern Railway. Nearly 12 acres worth around ₹350 crore, reclaimed May 6, will get residential units, roads, shopping space, a crèche, community centre, school and children’s park.
• Nearly 12 acres valued at about ₹750 crore were cleared on June 19. CHB has launched housing projects; infrastructure will link Sectors 53, 54 and 55. Sector 54 will have around 1,000 government rental homes for UT employees.
• Furniture Market, Sectors 53–54: Nearly 12 acres worth about ₹400 crore, cleared July 20, will get roads, parks, public infrastructure and mixed residential-commercial projects. Another 4.5 acres worth ₹250 crore, cleared September 30, is planned for a shopping complex, offices and a market zone for businesses of all sizes.