The Role of Balconies and Terraces: Their Treatment in Carpet and Built-Up Area

What is the RERA Carpet Area?

The RERA Carpet Area as per the RERA Act 2016, is the actual living space inside an apartment or house that you can use. It includes the area covered by the internal walls but excludes the external areas like common spaces, balcony areas, verandas, and open terrace areas. Essentially, it's the net usable floor area within the four walls of your home. Any balcony, verandah, or open terrace attached to your home, even if it's for your exclusive use, is not considered part of the RERA Carpet Area. This standardized definition ensures that buyers know exactly how much livable space they are getting when purchasing a property, without any ambiguity or hidden calculations.

What is a Built-up Area?

The Built-up Area is the total area within the outer walls of a house or apartment. It includes:

• Carpet Area (the area of all rooms, like bedrooms, living room, kitchen, etc.)
• Area covered by both outer walls and inner partition walls
• The area of balconies
• Area of any exclusive terrace attached to the house/apartment
• The area of any exterior staircase

Basically, the Built-up Area considers not just the livable/usable space, but also accounts for the walls, balconies, terraces, and staircases within the boundaries of the property. It gives you a broader sense of the total constructed area as compared to just the Carpet Area, which only measures the usable living spaces. The Built-up Area is usually around 70-80% of the Super Built-up Area, which includes common areas and amenities shared by all residents in an apartment complex.

Read More: Carpet Area vs. Super Built-Up Area: Differentiating Measurement Terminologies

How to calculate super Built up area?

The Super Built-up Area is the total area that you get when you buy a property including not just your flat/house, but also a share of the common areas like corridors, lobbies, staircases, etc.

There are two ways to calculate the Super Built-up Area:

• Built-up Area + Proportionate Common Area
• Carpet Area (or RERA Carpet Area) x (1 + Loading Factor)

The Loading Factor is a percentage that shows how much common area is added on top of the Carpet Area.

For example, if the RERA Carpet Area is 1211 sq.ft. and the Loading Factor is 50% (0.50), the Super Built-up Area would be:

1211 sq.ft. x (1 + 0.50) = 1211 sq.ft. x 1.50 = 1816 sq.ft.

Now, let's say you own a 1000 sq.ft. flat, and your friend owns a 2000 sq.ft. flat on the same floor. The total common area on that floor is 1500 sq.ft. The builder will divide this 1500 sq.ft. common area between you and your friend based on the size of your respective flats. Since your flat is 1/3 the size of the total (1000 out of 3000 sq.ft.), you'll get 1/3 of the common area, which is 500 sq.ft. And your friend, with a 2000 sq.ft. flat (2/3 of 3000 sq.ft.), will get 2/3 of the common area, which is 1000 sq.ft.

So, your Super Built-up Area = 1000 sq.ft. (flat) + 500 sq.ft. (common area) = 1500 sq.ft.

Your friend's Super Built-up Area = 2000 sq.ft. (flat) + 1000 sq.ft. (common area) = 3000 sq.ft.

Introduction to Balconies & Terraces

Carpet Area and Balconies/Terraces

In most cases, the carpet area calculation does not include balconies and terraces. Carpet area refers to the internal usable space within the walls of a property, excluding common areas and structural components. Balconies and terraces are typically excluded from the carpet area measurement. 

Built-Up Area and Balconies/Terraces

When it comes to built-up area calculations, the treatment of balconies and terraces can vary. In some instances, the built-up area may include a percentage or proportionate share of the balcony or terrace area. This means that a fraction of the balcony or terrace area is added to the built-up area measurement, giving credit to the additional space provided by these open areas. 

Impact on Property Valuation

The treatment of balconies and terraces in carpet and built-up area calculations can have an impact on built up area property valuation. Buyers and sellers should be aware that the inclusion or exclusion of these open spaces can affect the overall size and perceived value of a property. Balconies and terraces can enhance outdoor living options and increase the marketability of a property. 

Rental Considerations

For tenants, understanding the treatment of balconies and terraces is crucial when assessing the available space and negotiating rental agreements. Excluded balconies and terraces may limit the usable area, while included spaces can provide additional functional areas. 

Local Regulations and Guidelines

It is important to note that the treatment of balconies and terraces in carpet and built-up area calculations can vary based on local regulations and guidelines. Different regions or authorities may have specific rules dictating the treatment of open spaces. Therefore, it is advisable to consult local authorities, real estate professionals, or legal experts to understand the applicable regulations and guidelines in a particular area.

Also Read About: What Is The Difference Between Carpet Area And Built Up Area

The Final Word

Balconies and terraces offer valuable open spaces within residential properties, providing opportunities for relaxation and outdoor enjoyment. However, when it comes to carpet and built-up area calculations, the treatment of these open areas can vary. Generally, balconies and terraces are excluded from the carpet area measurement, while their inclusion in the built-up area may depend on local regulations or contractual agreements. Buyers, sellers, and tenants should be aware of the treatment of balconies and terraces in property measurements to make informed decisions and ensure transparency in rental or purchase agreements. Consulting with real estate professionals and understanding local regulations can provide clarity on the role of balconies and terraces in carpet and built-up area calculations.