TRANSFERABLE DEVELOPMENT RIGHTS
Transferable Development Right means a development right to transfer the potential of a plot designated for a public purpose in a plan, expressed in terms of total permissible built space calculated on the basis of Floor Space Index or Floor Area Ratio allowable for that plot, for utilization by the owner himself or by way of transfer by him to someone else from the present location to a specified area in the plan, as additional built space over and above the permissible limit in lieu of compensation for the surrender of the concerned plot free from all encumbrances to the planning and development authority.
Making available a certain amount of additional built-up area in lieu of the area relinquished or surrendered by the owner of the land, so that he can use extra built-up area either himself or transfer it to another in need of extra built-up area for an agreed sum of money. Transferable Development Right is a voluntary incentive-based program that allows landowners to sell their development rights from their land to a developer or other development rights from their land to a developer or other interested party who then can use these rights to increase the density of development at another designated location.
Advantages of Transferable Development Rights
- For necessary public purposes in urban Areas Preservation and carving of Land
- As per present market value, Flexibility is to compensate landowners through issuing DRC which can be used
- Less administrative costs and less monitoring to ULB than zoning (Tavares, 2003)
- Potential for Fair Compensation to landowners.
- Development without damage to nature
- In framed time, planning and implementation of development possible
- In Development plans, the Indian context has been used for carving roads and open spaces easily
Disadvantages of Transferable Development Rights
- Any Transferable Development Rights program had inconclusive results
- The Transferable Development Rights program designed for one locality cannot be used for another locality of the same population because the expectations and thinking of society vary from region to region and place to place.
- Due to the personal hindrance of every landowner. It is very difficult to trace the seller and buyer of the land.
- Successful implementation of the Transferable Development Rights program requires vast up-gradation of market knowledge.