ISLAMABAD: The Capital Development Authority (CDA) received a mixed response from investors to the auction of commercial plots which concluded on Thursday.

The civic agency fetched Rs16.6 billion after auctioning 13 commercial plots in the three-day auction.

Amid the tough economic conditions in the country, the CDA had relaxed the payment plan, extending it from one year to two years besides some other incentives.

The civic agency, which received an overwhelming response on the opening day with the auction of five plots for Rs11 billion, sold only one motel plot on the second day and seven more plots on Thursday against Rs4.2 billion.

On the last day, Plot 2-D, Class-III, G-9/1, 133.33 sq yards was auctioned against Rs157 million with Rs1180000 per sq yard; Plot 2-F, Class- III G-9/1, 133.33 sq yards against Rs147.9 million at the rate of Rs1110000 per sq yard; Plot 2-I, Class - III, G-9/1, 133.33 sq yards for Rs189.9 million with Rs1425000 per sq yards; Plot 4-C Blue Area, 1333.33 sq yards against Rs2.61 billion with Rs1960000 per sq yard, Plot 2-G, Class - III, G-9/1, 133.33 sq yards auctioned against Rs166.66 million at the rate of Rs1250000 per sq yard.

Similarly, Plot 1-B, Class- III, G-9/3, 133.33 sq yards was sold against Rs151.3 million with Rs1135000 per sq yard and Plot 53-B, I-8 Markaz, 444.44 sq yards at Rs786.66 million, Rs1770000 per sq yard. “During the auction, 13 commercial plots of different categories were auctioned for Rs16.641 billion,” says a press release.

As compared to the recent auction conducted by Federal Government Employees Authority (FGEHA), CDA’s auction remained successful as FGEHA had put three commercial plots for auction, but none of them could attract investors. But CDA’s auction record since 2020 suggest that the one received the lowest cumulative bids, apparently because of the economic challenges and new taxation etc.

The press release said CDA Chairman Mohammad Ali Randhawa visited the Gandhara Citizen Club and addressed investors participating in the auction. He said that the participation of a large number of investors in the auction reflected their confidence in CDA, adding revenue generated from the auction will be spent on providing facilities to all citizens, including investors.

Mr Randhawa said that investors should give their suggestions to the CDA to make the city more beautiful and modern, adding that investors participating in the auction and CDA were the real partners in the development of the city. The auction proceedings were supervised by a committee headed Member Finance Tahir Naeem. The CDA presented 34 commercial plots of various categories for investment. The plots of class III shopping centres, including Blue Area, commercial centres, motels and apartments were also offered for auction.

Published in Dawn, October 4th, 2024