The present work focuses on the development of hydrodynamically balanced delivery system of loratadine as a single unit floating capsules. Sustained release floating capsules for loratadine were fabricated using drug:polymer ratio of 1:4. The hydrocolloids were used in different proportions using 32 full factorial design and formulations were prepared. These formulations were optimized on the basis of buoyancy, matrix integrity, duration of floating and in vitro drug release. All the nine formulations showed good buoyancy and matrix integrity. The duration of floating was more than 12 h for all formulations. In vitro drug release study of these formulations indicated controlled release of loratadine and about 90 percent drug was released at the end of 12 h.