Building a Rental House in Bangalore: G+2 and G+3 Cost, Layouts & Planning
In Bangalore, many families build more floors than they need so the extra units pay for the loan. “3 floor building construction cost in Bangalore per square foot” is a common search for exactly this reason. Here is how to plan and budget a rental building.
Construction cost
| Configuration | Approx. built-up area | Basic (₹1,900/sq ft) | Premium (₹2,300/sq ft) | Royale (₹2,700/sq ft) |
|---|---|---|---|---|
| 20x30 — G+2 | 1,650 sq ft | ₹31.4 lakh | ₹38.0 lakh | ₹44.5 lakh |
| 20x30 — G+3 | 2,150 sq ft | ₹40.9 lakh | ₹49.5 lakh | ₹58.0 lakh |
| 30x40 — G+2 | 3,150 sq ft | ₹59.9 lakh | ₹72.5 lakh | ₹85.0 lakh |
| 30x40 — G+3 | 4,150 sq ft | ₹78.8 lakh | ₹95.5 lakh | ₹112.0 lakh |
Indicative construction cost only, based on Matrix Realty's package rates. Excludes approvals, compound wall, sump, borewell, utility connections and interiors unless listed in your BOQ. Your exact figure comes from an itemised BOQ for your drawings.
Most rental buildings use the Basic package for tenant floors and upgrade only the owner’s floor.
Popular unit mixes
- 30x40 G+2: owner 2BHK on the ground, 2BHK on first and second floors for rent.
- 30x40 G+3: owner duplex on ground and first, 2BHK or two 1BHKs on each upper floor.
- 20x30 G+3: owner on one floor, 1BHK units on the others.
Design tips for tenant floors
- Separate staircase and entrance for tenants.
- Separate electricity meters and water lines for each unit.
- Durable, easy-to-replace finishes on rental floors.
- Two-wheeler parking for every unit.
- Design the structure for the final number of floors, even if you build in phases.
Approvals
Under Nambike Nakshe 2.0, automated approval currently covers residential proposals of up to four dwelling units on sites up to 4,000 sq ft — enough for most rental buildings on 20x30 and 30x40 sites. See plan approval.
Rent and your loan
Rent depends heavily on location, but even one rented unit can cover a meaningful part of your EMI. Use the calculator in our home loan guide to see what your EMI would be.
Frequently asked questions
What is the construction cost of a 3-floor building in Bangalore?
A G+2 building on a 30x40 site (~3,150 sq ft) costs about ₹60–85 lakh at Matrix Realty package rates of ₹1,900–2,700 per sq ft, excluding approvals and extras.
Is building a rental house in Bangalore a good investment?
For many families it is, because rent from the extra floors helps pay the construction loan. The return depends on location, rent levels and construction cost, so run the numbers for your site first.