ISLAMABAD: The Capital Development Authority has asked the health ministry to arrange funds to lease 600 kanal of land for the Jinnah Medical Complex to be built in Sector H-16 as the steering committee of the project accorded in-principle approval to its master plan.

A few days ago, the civic agency in a letter to the health ministry offered a 33-year lease on 600 kanal for the medical complex.

The lease is extendable for two terms of 33 years and the ministry has been asked to pay Rs19 billion for it.

“[The] CDA has decided to offer land measuring 600 kanal to Ministry of National Health Services Regulations and Coordination for establishment of Quaid-e-Azam Health Tower/Jinnah Medical Complex in sector H-16, Islamabad on 33-year lease basis extendable for two subsequent terms of 33 years each subject to payment of cost of land/premium on standard terms and conditions …” read the letter.

CDA asks ministry to respond within four months to offer letter; committee accords in-principle approval to master plan

The letter, issued on November 27, asked the health ministry that if the above offer was acceptable, the ministry should arrange payment of a premium amounting to Rs19,765,713,000 (Rs19.7 billion) along with the AGR (annual ground rent) amounting to Rs4,356,000 for the first year lease period within four months from date of issuance of the offer letter.

On November 28, the master plan of the project prepared by a Boston-based firm was presented before the steering committee headed by Planning Minister Ahsan Iqbal.

Sources said the steering committee okayed the master plan and now it will be discussed in an upcoming meeting as well before its formal approval.

The groundbreaking ceremony for the Jinnah Medical Complex was performed by the prime minister on July 21, 2024.

The multi-billion medical complex is funded by the federal government and executed by the CDA.

According to the planning commission, the project will be completed at an estimated cost of Rs120 billion.

The government has allocated Rs5 billion for the fiscal year 2024-2025 under the Public Sector Development Programme (PSDP) to kickstart the project.

However, it is also looking at other options such as public-private partnerships to get this project completed.

In response to a tender by the CDA, seven companies, three Chinese and four Pakistanis, have applied for the pre-qualification process.

These include China Construction Third Engineering Bureau Group, China Ghansu International Economics and Technical Company, China Civil Engineering Construction Corporation, Principal Builders, Zahir Khan and Brothers, AGS Traders, and Yousuf and Sons. The process of pre-qualification is in progress.

Meanwhile, the CDA, which is the executing agency of this project, is also in the process of hiring a transaction officer to make a commercial plan on 200 kanal of the said project.

Earlier, the bidding was slated to take place on December 4 (today) but it was extended till December 11.

The planning minister, while chairing a meeting on the said project, had highlighted that the project’s location in Islamabad, near the airport and national highways, made it an ideal hub for regional and international medical tourism.

Mr Iqbal had said that the complex must incorporate green design principles, ensuring that it stood as a sustainable and environmentally friendly structure.

The health complex was envisioned as a monumental project for the capital, featuring a self-contained vertical health tower with comprehensive medical services, he added.

Published in Dawn, December 4th, 2024