Date:18/08/2005 URL: http://www.thehindubusinessline.com/2005/08/18/stories/2005081802551900.htm

Back Floor space index relaxed for hotels

Our Bureau

Hyderabad , Aug. 17

THE State Government has decided to relax the floor space index (FSI) for hotels and the hospitality industry following a request from the Tourism Department.

Considering the increasing demand for star hotels to cater to the growing populace and the forthcoming events in Hyderabad, the Government has decided to relax the FSI for star hotels from 1.5 to 1.75 as against the initial demand of 2.5. Several hotels are in the pipeline and stringent FSI norms have been making them unviable.

"While we have decided not to allow 2.5 as requested by the industry, the Cabinet felt that 1.75 would be adequate," the State Information Minister, Mr Mohd. Ali Shabbir said.

However, this flexibility would be available only to those developers who have already applied for the relaxation in the posh Jubilee Hills and Banjara Hills areas, he said.

The Minister said that the city is growing pretty rapidly and sectors such as information technology are demanding better infrastructure.