Step 1: Think in terms of the change in F.A.R. directly.
Instead of first finding the original F.A.R. from the footprint and floor count, we can reason about the jump in F.A.R. itself. The plot area stays fixed at $500$ m$^2$ throughout.
Step 2: Find the built-up area used originally.
The footprint is $50\%$ of $500$ m$^2$, so each floor covers $250$ m$^2$. With 4 identical floors:
$$\text{Original built-up area} = 4 \times 250 = 1000 \text{ m}^2$$
This is the amount of floor area the plot's original F.A.R. allowed.
Step 3: Express the original F.A.R. as a check.
$$F.A.R._{original} = \frac{1000}{500} = 2.0$$
Step 4: Find the gain in F.A.R.
$$\Delta F.A.R. = 2.75 - 2.0 = 0.75$$
Step 5: Convert this gain in F.A.R. directly into extra floor area.
Since F.A.R. is built-up area divided by plot area, the additional floor area unlocked equals the F.A.R. gain multiplied by the plot area:
$$\text{Extra area} = 0.75 \times 500 = 375 \text{ m}^2$$
This matches the answer found by subtracting the old built-up area from the new total permissible area.
Final Answer:
An extra 375 m$^2$ of floor area can now be added to the building.