What is Floor Rise Charge and How It Works?


What is Floor Rise Charge and How It Works?

A floor rise charge is an extra fee that property builders charge when you buy an apartment on a higher floor. Builders usually set a starting level, like the 1st or 5th floor, as their base level. If you choose a flat above this level, you pay a small extra amount for every single floor you go up. This extra fee is calculated per square foot of your flat area. Builders charge this extra money because living on higher floors gives you better views, plenty of sunlight, fresh air, less street noise, and fewer mosquitoes compared to the lower floors.

How Floor Rise Charges Work in Real Estate

When you look at a builder's price list, the starting price is almost always for the lowest floor. The moment you pick a flat on a higher floor, the builder adds a vertical extra charge to that base price.

Here is how the whole process works in simple steps:

  • Base Floor: The builder chooses a starting floor (usually Ground, 1st, or 5th floor). Flats on or below this level do not have any floor rise charges.
  • Per Floor Increase: For every floor above the base floor, the builder adds a fixed rate (for example, ₹50 to ₹100 per sq. ft.) to the basic price.
  • Total Extra Cost: Even if the extra charge per floor looks small, it can add a few lakhs to your final property cost when multiplied by your flat size and floor height.

How to Calculate Floor Rise Charges (With Formula & Example)

You can easily calculate your floor rise charge if you know three simple numbers from your cost sheet:

  • Base Floor (for example, 5th Floor)
  • Your Chosen Floor (for example, 12th Floor)
  • Floor Rise Rate per Sq. Ft. (for example, ₹50/sq. ft. per floor)

The Calculation Formula

$$\text{Total Floor Rise Charge} = (\text{Your Floor} - \text{Base Floor}) \times \text{Rate per Floor} \times \text{Flat Area}$$

Real-Life Calculation Example

Let us assume you are buying a 1,200 sq. ft. flat on the 12th floor, and the builder charges ₹50 per sq. ft. per floor above the 5th floor:

Calculation StepValue
Flat Area1,200 sq. ft.
Your Chosen Floor12th Floor
Base Floor (No Extra Charge)5th Floor
Number of Charged Floors12 – 5 = 7 Floors
Rate per Sq. Ft. per Floor₹50
Total Rate Increase per Sq. Ft.7 × ₹50 = ₹350 per sq. ft.
Total Extra Cost₹350 × 1,200 sq. ft. = ₹4,20,000

So, an extra amount of ₹4,20,000 will be added on top of your flat’s basic price.

Why Do Builders Charge Extra for Higher Floors?

Builders charge floor rise fees because higher floors offer a much better living experience. Most homebuyers are willing to pay extra for these daily comfort factors:

  • Better Daylight and Wind: Upper floors get plenty of bright sunlight and fresh breeze. This keeps your home bright all day and saves on electricity bills.
  • Peace and Less Pollution: High-rise flats sit far above the busy street. You get very little traffic noise, no honking sounds, and much less dust in your rooms.
  • Open Views: Higher floors give you nice open views of green trees, lakes, or the city skyline instead of looking straight into a neighbouring building.
  • Better Privacy and Fewer Bugs: You get complete privacy because people on the ground cannot look into your home. You also face far fewer mosquitoes and flies.
  • Good Resale Value: Since upper floors are always in high demand, these flats sell faster and command better rental income in the future.

Difference Between Floor Rise Charge and PLC

Homebuyers often get confused between Floor Rise Charge (FRC) and Preferential Location Charge (PLC). Here is how they are different:

FeatureFloor Rise Charge (FRC)Preferential Location Charge (PLC)
DirectionVertical (how high your flat is)Horizontal (where your flat faces)
ReasonBased on your floor numberBased on views (like swimming pool, park, or corner flat)
Price ChangeGoes up floor by floorFixed extra amount for that specific flat
StackingPaid once based on heightCan combine (like a park-facing corner flat paying double PLC)

Real-World Example: Floor Rise at Brigade Granada

To understand how this works in real life, let us look at popular modern projects. In major high-rise residential projects like Brigade Granada, builders release a basic cost sheet during early sales.

At Brigade Granada, the basic advertised rate applies to lower floors up to the 5th floor. If you choose a flat on the 6th floor or higher, the sales team adds a fixed floor rise charge per square foot for every floor as you move up the tower.

Smart Buyer Tip: When reviewing your payment sheet for projects like Brigade Granada, always ask the sales team for a complete price breakup. Make sure it clearly lists the base price, floor rise fee, PLC, car parking, clubhouse charges, GST, and registration fees.

Easy Ways to Save Money on Floor Rise Charges

If you want to buy a high-rise flat without spending too much extra money, keep these smart tips in mind:

  • Pick Middle Floors: Choosing a flat between the 5th and 10th floors gives you a great balance. You get plenty of light and peace without paying heavy top-floor fees.
  • Book Early (Pre-Launch Stage): Builders often offer early discounts during the initial launch, such as capping or discounting the floor rise rate.
  • Talk and Negotiate: While basic flat prices are hard to change, builders are often ready to discount or adjust extra charges like floor rise and PLC.
  • Look for Special Offers: During festival seasons, developers sometimes launch "Zero Floor Rise" offers where you get higher floors at base floor prices.

Frequently Asked Questions (FAQs)

A floor rise charge is an extra fee per square foot that builders charge for flats on higher floors. You pay this extra amount for the better views, extra light, and peace that higher floors offer.

No. The advertised basic price is usually for the lowest floor. The floor rise charge is added separately on top of the basic price in your official cost sheet.

Yes. Extra charges like floor rise fees and PLC are negotiable. Builders often reduce or waive these charges during pre-launch bookings or festive discount seasons.

It depends on the builder. In most modern residential towers, such as Brigade Granada, floor rise charges start right above the 5th floor. Always check the official price chart with the builder.

Yes. Banks calculate your home loan based on the total agreement value of the flat, which includes the base price, floor rise charges, and PLC.

Yes, for most buyers, it is worth it. Higher floors offer daily benefits like lower traffic noise, less dust, better fresh air, good sunlight, and higher resale value later.

Yes. Floor rise charges apply to both under-construction and ready-to-move-in apartments because the height benefits remain the same for the flat owner.

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