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Floor Area Ratio (FAR)

Term from the field of Land & Development

The floor area ratio (FAR) is a planning indicator that specifies how many square meters of floor area are permitted per square meter of land area. A floor area ratio of 1.2 on a 500 m² lot therefore allows for a maximum of 600 m² of floor area. The FAR is defined in Section 20 of the German Land Use Ordinance (BauNVO) and is specified in the zoning plan; it controls building density and protects the cityscape.

Calculation of Floor Area

The floor area includes the floor areas of all full stories, including exterior walls. Depending on the zoning plan, the following are not included: basements below ground level, attic floors that are not considered full stories, as well as balconies, loggias, and terraces. Accurate calculation requires reviewing the zoning plan and its associated provisions, as municipalities may allow for deviations.

Calculation example: A plot with an area of 600 m² and a specified floor area ratio (FAR) of 1.5 allows for a maximum of 900 m² of floor area. If the building occupies a footprint of 200 m² (floor area ratio 0.33) and has three full stories, this results in a floor area of 600 m²-leaving 300 m² of leeway that could be utilized, for example, by adding another full story or a converted attic, provided the latter is considered a full story.

Floor Area Ratio (FAR) in Relation to Floor Area Index (FAI) and Building Mass Index (BMI)

The Floor Area Ratio (FAR) must be considered in conjunction with the Floor Area Index (FAI). The FAI limits the buildable land area, while the FAR limits the total floor area of all stories. A high FAR with a low FAI means that a small footprint with multiple stories is possible-typical for inner-city residential construction. The building mass index (BMZ) supplements these metrics for commercial buildings with variable ceiling heights.

The ratio of GFZ to GRZ provides insight into the possible number of stories: If the GRZ is 0.4 and the GFZ is 1.2, an average of three full stories is possible (1.2 ÷ 0.4 = 3). However, permits also take into account local regulations regarding building height, ridge height, and eave height, which can further limit the actual number of stories.

Significance for Investors and Developers

The floor area ratio (FAR) is a key factor in the economic viability of construction projects. Anyone purchasing a plot of land must know how much rental or sales space they are permitted to develop. For new construction projects in tight markets, a higher floor area ratio can be sought through a zoning plan amendment or an urban development agreement-this is a complex but important planning tool.

Existing buildings that already fully utilize the FAR offer few legal opportunities for expansion. When evaluating investment properties for purchase, one should therefore always assess how much unused FAR potential remains. Plots with redensification potential-i.e., an existing building that does not fully utilize the FAR-are particularly valuable in a tight housing market like Nuremberg.

Floor Area Ratio (FAR) Limits According to the BauNVO

The BauNVO specifies guideline values for the FAR depending on the type of development area:

Development AreaFAR Limits (§ 17 BauNVO)
Small-scale residential area (WS)up to 0.4
Pure residential area (WR)up to 0.4
General residential area (WA)up to 1.2
Special residential area (WB)up to 2.4
Village area (MD)up to 1.2
Mixed-use area (MI)up to 2.4
Central area (MK)up to 3.0
Commercial area (GE)up to 2.4

These upper limits may be exceeded by a zoning plan if urban planning reasons (e.g., inner-city densification) justify it. In such cases, the zoning plan must provide specific justifications and compensatory measures.

Practical Tip for Property Owners in Nuremberg and Franconia

In Nuremberg, the floor area ratio (FAR) varies significantly depending on the district and the zoning plan. Inner-city locations such as Gostenhof, St. Johannis, or the Südstadt often allow FAR values ranging from 1.2 to 2.4, while residential areas on the outskirts, such as Langwasser or Gebersdorf, often have significantly lower values. We recommend that buyers and investors review the zoning plan before purchasing a property and inquire with the Nuremberg City Planning Office to determine whether redensification is feasible within the existing floor area ratio or through a zoning plan amendment.

Properties with redensification potential are particularly attractive in Nuremberg: An existing building that utilizes only a floor area ratio (FAR) of 0.8 out of a permitted FAR of 1.5 offers significant development potential, which substantially increases the property’s value. Identifying and quantifying this so-called “planning value” is part of our purchase advisory services for investors in the metropolitan region.

Frequently Asked Questions

Can the floor area ratio (FAR) be exceeded?

Exceeding the FAR is generally not permitted. In individual cases, an application for an exemption may be submitted if the excess is justifiable from an urban planning perspective and does not affect the basic principles of the plan. However, such exemptions are rare and subject to strict conditions-in particular, the deviation must be necessary for the project and must not impair public interests.

What counts toward floor area for an attic?

Attics are only fully counted toward floor area if they are considered full stories-this is defined in Bavarian building regulations based on the clear height and the proportion of wall areas above a minimum height. Attic spaces not classified as full stories are counted proportionally or not at all. This varies depending on the federal state and municipal bylaws.

How do I find out the floor area ratio (FAR) for my property?

The applicable floor area ratio (FAR) is specified in the zoning plan, which can be viewed at the city planning office or online on the city map portal of the respective city. The Nuremberg City Planning Office offers corresponding GIS services through which zoning plans and their specifications can be accessed. If no zoning plan is available, admissibility is determined in accordance with Section 34 of the German Building Code (BauGB) (inner area) or Section 35 of the German Building Code (BauGB) (outer area).

How does the floor area ratio (FAR) affect property value?

A higher floor area ratio (FAR) allows for more floor space and thus more rentable or saleable space per property unit. This significantly increases the land value because an investor can generate more income with the same plot size. In inner-city locations such as Nuremberg’s Old Town, plots with a high floor area ratio can be traded at prices significantly above the standard land value for residential areas.

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Important Disclaimer

The information, assessments, and legal notes in this real estate glossary serve solely as general orientation. Despite careful preparation, we assume no liability for the accuracy, completeness, or timeliness of the content. These contents do not replace individual legal or tax advice. We strongly recommend consulting a qualified attorney or tax advisor for specific matters.

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