Over 95% of BBMP-approved buildings lack occupancy certificates, finds probe

Bengaluru: A staggering gap between building approvals and legal occupancy has come to light in Bengaluru following an investigation by the HN Justice Nagmohan Das Commission. 

The now-defunct Bruhat Bengaluru Mahanagara Palike (BBMP) had approved 36,236 building plans by May 2025, but only 1,504 have been granted occupancy certificates (OCs), which are mandatory for lawful habitation. 

The stark difference shows how property owners in the city are violating building byelaws as if they don't exist, while some describe the norms as “very stringent”. There is also a perception that obtaining an occupancy certificate is difficult without greasing the palms of officials. 

In its report submitted to the state government, the one-man commission — tasked with examining various BBMP projects — noted that only 4.15% of the total buildings obtained OCs, indicating regulatory failure. 

In some BBMP zones, especially in the north, the gap between building approvals and OC issuance is huge, the report has noted. 

The commission has observed both serious lapses in the town planning department and loss of revenue. Besides recommending disciplinary action against the officers concerned, the investigators pointed out that the department did not provide complete records during the investigation and believed the actual figures could be even more concerning. 

Sources in the BBMP said that 4.15% of buildings that have received OCs may belong mostly to reputable builders who have complied with building norms. Smaller plots, they said, generally skip obtaining occupancy certificates since the BBMP Act allows property tax to be collected from every building — even those occupied without an OC or completion certificate. While the act initially recommended collecting double the tax on such buildings, this provision was eventually removed. 

Apex Court ruling

In December 2024, the Supreme Court mandated that no essential utility services, be it electricity, water, or sewage be provided to buildings without valid completion or occupancy certificates. This ruling was aimed at curbing illegal constructions across the country. 

As the ruling left many property owners in a fix, the now-dissolved BBMP proposed that the government consider waiving the mandatory requirement for occupancy certificates for buildings constructed on plots smaller than 1,200 square feet. The government is yet to make a decision on the proposal. 

Norms difficult to follow, say builders 

While building violations are rampant in Bengaluru, builders argue that the norms are too stringent to follow. Complying fully, they said, often means surrendering nearly 20% of the plot area. 

"No one wants a 10x10 bedroom anymore," one builder said, adding that the tendency to violate rules stems from skyrocketing land prices and construction costs in Bengaluru.

Builders believe that compliance would improve if norms were relaxed, especially for plots ranging from 1,200 to 10,000 square feet.