Under the hammer: CDA raises Rs4b by auctioning seven commercial plots

Three-day annual plot auction kicks off

ISLAMABAD: The apex civic body of the capital kicked off its now-annual three-day plot auction drive, receiving bids worth Rs4 billion for seven commercial plots located in various developed sectors of the city.

The first day of the Capital Development Authority (CDA) three-day auction at the Jinnah Convention Centre was attended by a large number of people who vied for their desired plots in the auction process.

The seven commercial plots auctioned included Plot 57-A in the upscale Blue Area (Sector F-6) with a size of 2,844.44 square yards with permission to build a multi-storey complex with basement for parking, fetched Rs2.631 billion at a rate of Rs925,000 per square yard against a listed token price of Rs100 million.

Similarly, the 1,711.1 square yards plot  63-C in the Blue Area (Sector F-7) for building a single-storey fuel station, fetched Rs49.93 million at a rate of Rs291,000 per square yard with a listed token price of Rs20 million.

Industrial plot 42-C in Sector I-9/2 with a size of 1,105.88 square yards fetched a price of Rs100.63 million at a rate of Rs91,000 per square yard with a token price listed as Rs20 million. Owners can either build a ground plus one storey structure with ground coverage of 60 per cent or ground plus two storeys for 40 per cent ground coverage.

Similarly, industrial plot 21 in Sector I-10/3, with a size of 1,888.88 square yards, fetched Rs173. 78 million at a rate of Rs92,000 per square yard with a listed token price of Rs20 million. Its construction ratios were similar to the other industrial plot auctioned.

A 360 square yard piece of land, plot 19, in Sector I-9 Markaz with permissions to build a lower ground, ground and two storeys had a token price of Rs20 million. It fetched Rs81.72 million at a rate of Rs227,000 per square yard.

Similarly, the 577.77 square yards, plot  9-A in Sector I-10 Markaz fetched Rs304.48 million at a rate of Rs527,000 per square yards against a listed token price of Rs20 million.

The similarly sized, 577.77 square yards, plot 9-B in Sector I-10 Markaz fetched a lower Rs283.68 million at a rate of Rs491,000 per square yard against the token of Rs20 million.

On Tuesday, plots were auctioned after multiple bids, which demonstrated an enthusiastic response given by the participants who attended this auction but CDA officials hoped that response from buyers and investors will pick up in the remaining two days when some of the big-ticket items, especially in the Diplomatic Enclave and Park Enclave are on the anvil.

The CDA has put up 57 plots up for grabs. These include 14 in the commercial shopping centres (markaz), 13 in class-III shopping centres, seven commercial plots in the coveted Blue Area, three apartment high-rises in the Diplomatic Enclave and Sector G-11/1, two fuel pumps, a hospital in Sector G-11, an agro-farm in Orchard Scheme along Murree Road, seven industrial plots, and two plots for car showrooms.

The auction is being managed by an 11-member Auction Committee. It is headed by CDA Member Finance and includes members planning and design, estate, the law deputy director general, public relations director, deputy financial advisor-II, Estate Management – II director, Regional Planning director, Housing Societies director, Urban Planning director and Costing deputy director.

The auction committee will submit its recommendations to the CDA Board. The CDA Board will then finalise the recommendations and bids.

Published in The Express Tribune, October 3^rd, 2018.