East Bengaluru buyer answers

Are floor-rise and preferential location charges allowed under RERA?

Direct answer: RERA does not ban floor-rise or preferential location charges (PLC) by name. It does require a written agreement with a price based on carpet area and a full breakup. A premium you saw and signed for is normal. One that appears after booking is the real problem, so read every PLC line before paying a token.

Disclosure: acre&key’s advice is free to buyers; we are an authorised sales partner for some projects and may be paid by the developer.

Verify with your lawyer: Whether a specific PLC clause in your agreement can be enforced, how refunds work if you cancel, and how the Karnataka proforma agreement applies to your project are legal questions for your own counsel. This page is general guidance on the Act and the process only.

Verify with your CA: Whether GST applies to a floor-rise or PLC line, and at what value, depends on how your invoice and agreement are drawn up. Check that with your chartered accountant.

Floor-rise and view, corner or park-facing premiums turn up on many Bengaluru cost sheets. Buyers often ask whether RERA "allows" them. A more useful question is whether each one was disclosed, agreed in writing and tied to the apartment you're actually buying.

What are floor-rise and PLC in practice?

Floor-rise is a premium that usually goes up with each higher floor. Some cost sheets call it floor PLC. Preferential location charges is the wider label for premiums linked to where the flat sits: a corner, a particular facing, open space, the clubhouse, and so on. Developers usually work these out on a stated area basis in the cost sheet.

There's no official ₹ per sq ft floor-rise table for Whitefield, Sarjapur Road or anywhere else in Bengaluru. The only figure that matters is the one printed on your project's own cost sheet. Ignore any "market average" a sales desk quotes.

What does RERA actually require on pricing?

The Real Estate (Regulation and Development) Act, 2016 doesn't publish a list of banned charges. It works through disclosure and through what the agreement must contain:

  • Carpet area is defined in section 2(k) of the Act as the net usable floor area of an apartment, and section 4(2)(h) requires the promoter to disclose it for each apartment when registering the project.
  • Section 13(1) says a promoter can't take more than 10% of the cost of the apartment as an advance or application fee before a written agreement for sale is registered.
  • Section 13(2) says the agreement for sale must be in the form the state prescribes. It must set out the particulars of the project, the dates and manner of payments, the possession date and the interest rates for default.

Karnataka's prescribed form is the K-RERA Proforma Agreement of Sale. Clause 1.2 asks for the Total Price based on the carpet area, with a written breakup and description. So if your floor-rise or PLC is part of what you pay, it belongs inside that breakup. It shouldn't sit in a vague "other charges" line or arrive after you've booked. Our guide to checking a sale agreement before signing covers the other clauses to read.

What can change the price after I sign?

Clause 1.3 of the K-RERA proforma says the Total Price is escalation-free. The exceptions are increases in development charges or other charges levied by a competent authority. Even then, the promoter has to attach the notification or order to the demand letter, and the increase applies only to later payments. Increases in those charges imposed after the scheduled completion date can't be passed on to you.

The proforma also covers changes in carpet area once the building is complete. If the final carpet area is smaller, the promoter refunds the excess with interest within sixty days. If it's larger by up to three percent, the promoter can ask for the extra at the next payment milestone. Every adjustment is made at the same rate per square foot agreed in clause 1.2.

Neither clause mentions a new floor-rise or view charge being added after signing. If one appears, treat it as a dispute and get counsel involved before you pay.

What doesn't RERA say about PLC?

We haven't found a Karnataka RERA order that strikes down floor-rise charges across the board. If you challenge a specific PLC because it doesn't match the registered agreement or the project's disclosures, that's a fact-specific case before the Authority or a court. It's lawyer territory.

Keep three cost questions separate:

  • PLC and floor-rise: the price of the flat's location and floor.
  • Parking: a different legal question. Our page on whether a builder can sell car parking separately covers it.
  • GST and stamp duty: taxes on the price, which stack on top. These are CA questions.

How should a Bengaluru buyer stress-test PLC on the cost sheet?

  1. Name every premium. Floor-rise, facing, corner, park, club: each line needs its own calculation basis.
  2. Match the carpet area. Use the RERA carpet area to compare ₹ per sq ft across projects. Our explainer on carpet area vs super built-up area shows why.
  3. Check when PLC is due. Is it payable at booking, at agreement, or spread across construction stages? See how construction-linked and time-linked plans differ.
  4. Check the tax treatment. Ask whether GST is shown on the PLC line in the cost sheet, then take it to your CA.
  5. Check cancellation and refund. If you exit, does the PLC come back under the same clause as the base price?
  6. Refuse silent increases. A new "view charge" that isn't in the agreement isn't something to pay on the spot.

What should buyers weigh before paying a premium?

Pay for attributes you actually value, not for a label. A higher floor, a quieter facing and a corner unit each matter differently to different families. Before you compare two towers on base price, add up the full price: base, PLC, parking, club and deposits. That full figure is what our list of hidden costs beyond the base price is about.

Ready-to-move and under-construction flats also leave different room to talk about premiums. Our under-construction vs ready-to-move page covers the trade-offs.

What should I highlight in the agreement with my lawyer?

Before you register the agreement, ask your lawyer to mark:

  • The exact definition of each PLC or floor-rise line and the area basis used
  • Whether the price is one Total Price with a breakup, or a base price plus optional premiums
  • Refund, cancellation and forfeiture terms for PLC compared with the base price
  • Any clause that lets the promoter revise premiums after booking for "market" or "view confirmation" reasons
  • How the carpet-area adjustment clause works on PLC if the PLC was priced per sq ft

Keep the project's public record open while you read (check the project on Karnataka RERA). If the registered details don't mention a premium that the sales team is now collecting, stop and ask why in writing.

Which sales-desk lines should I push back on?

  • "Floor-rise will be finalised later when the view is clear." Get the number in writing now, or don't book that unit.
  • "PLC is standard, everyone pays." Even so, ask for the calculation sheet for your flat.
  • "Base price is low because PLC is separate." Compare the full price across your shortlist.
  • "GST on PLC is extra, we'll tell you at invoice." Ask for the tax line on the cost sheet before the token.

None of these lines is illegal by itself. Each one cuts against the written, carpet-area-based pricing the Act and the proforma set up. Keep every answer in email, not just in WhatsApp voice notes.

Practical next steps

  1. Save the full cost sheet as a PDF before you pay a token.
  2. Highlight every line that isn't the base price and ask for a written definition.
  3. Cross-check the carpet area with the project's RERA record.
  4. Send the PLC clauses to your lawyer before you register the agreement.
  5. Keep the version you relied on. Don't accept a later cost sheet with new premiums quietly added.

Frequently asked questions

Does RERA ban floor-rise charges?

No. The Act doesn't ban them by name. It requires a written agreement in the prescribed form with the price based on carpet area, and in Karnataka the proforma asks for a breakup of that price. Have your lawyer review the clauses in your agreement.

Must PLC be shown before I book?

Insist on it. Ask for a written cost sheet that lists every PLC line before you pay a token. Section 13 caps what the promoter can take before a registered agreement at 10% of the cost, so don't hand over more without the agreement in place.

Can the builder raise floor-rise after I sign the agreement?

The K-RERA proforma says the Total Price is escalation-free, apart from documented increases in charges levied by government authorities. A new premium after signing isn't one of those exceptions, so speak to your lawyer before paying it.

Is PLC calculated on carpet area or super built-up area?

The proforma bases the Total Price on carpet area, but cost sheets differ in how they work out each premium. Whatever basis your cost sheet uses should be written down. Don't assume a formula.

Are PLC and parking the same issue?

No. PLC is a premium on the flat for its floor or location. Parking raises separate legal questions under RERA. Keep them as separate lines on your cost sheet.

References

  1. Real Estate (Regulation and Development) Act, 2016, sections 2(k), 4(2)(h) and 13 (K-RERA copy): https://rera.karnataka.gov.in/resources/staticpage/Real_Estate_Act.pdf, accessed 17 Oct 2026
  2. Karnataka RERA, Proforma Agreement of Sale (Downloads page), clauses 1.2, 1.3 and the carpet-area clause: https://rera.karnataka.gov.in/downloadPage, accessed 17 Oct 2026
  3. Karnataka RERA portal: https://rera.karnataka.gov.in/, accessed 17 Oct 2026

This page explains public rules and processes. It isn't legal or tax advice. acre&key gives buyers advice for free. We are an authorised sales partner for some projects and may be paid by the developer.

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