This Notice from Bangalore’s BBMP will severely impact startups (and Bangalore as startup city)

Bangalore’s BBMP (Bruhat Bengaluru Mahanagar Palike)’s latest notice will hurt the Bangalore startup ecosystem very deeply.

The notice issued by BBMP commissioner has asked commercial activities in residential areas to close down voluntarily, else expect an action within 7 days.

BBMP's notice
BBMP’s notice

The implications are beyond one’s imagination – the entire Indiranagar, Koramanagala and HSR Layout area has been full of startups running out of residential areas and if at all this is severely implemented, it will hurt the Bangalore branding.

Time for Karnataka govt to rethink this decision?


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  1. Two years back, we got evicted by BBMP officials because we were working out of a two story house in a residential area. According to them, the only business activity approved in a residential area is running a paying guest facility.

    This, according to me, is a very good move.

    #1: Makes housing and food more affordable

    The rents are through the roof in a lot of these areas due to proximity to offices. If BBMP decides not to let startups operate out of residential areas, and instead, in designated areas (zones), then rent will come down to a more affordable level.

    The same goes for food as well. Small outlets that hardly provide any space to stand are charging insane rates. With offices going away, they’d either have to provide more economical options or move to commercial areas.

    #2: Traffic can be better managed

    With so many lanes hosting hundreds or thousands of companies, the roads are occupied by parked cars. There’s very little room for people to walk sometimes as the cars are parked mostly on the footpath to make space for normal moving traffic.

    Also, if companies are located in a specific area compared to being distributed as it is today, car pooling will be more reliable.

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