Govt signs pact for sale of 17 properties

The federal government has decided to auction the remaining 17 available properties as it entered the next phase of the process and an agreement for this purpose has been signed with the financial advisers on Tuesday.

A pact was inked at a small ceremony chaired by the Privatisation Commission secretary, who urged the financial advisers for timely completion of the transaction.

As per a press release issued by the privatisation ministry on the occasion, the Cabinet Committee on Privatisation in its meeting held on March, 18 2021, as ratified by federal cabinet on April 1, 2021, had decided to initiate auction of the remaining 17 available federal government properties (the first phase of the sale of identified properties ended in September 2020).

Accordingly, the Privatisation Commission Board directed to initiate the hiring process for a financial adviser under the Privatisation Commission Ordinance, 2000 for sale of these properties.

“Advertisement inviting Expression of Interest [EOI] for hiring of [a] financial adviser was published in national print media and after scrutiny of interests by the evaluation committee, the request for proposal [RFP] packages were issued to shortlisted parties for submitting technical and financial proposals,” it added.

“The results of the technical and financial proposals were deliberated and approved by the PC Board on 25th November 2021 and a committee was constituted to Negotiate Financial advisory Services Agreement (FASA) with top ranked party i.e., the Consortium of M/s HLB Ijaz Tabussum & Co., Chartered Accountants (Lead) (ii) HLB Consulting (Pakistan) (Pvt) Ltd (iii) Vellani & Vellani (iv) Ocean Surveyors (Pvt) Ltd.”

Read Govt reverses 600 per cent increase in property tax

The negotiation committee in its meeting held on December 14 2021 finalised the terms and conditions of the FASA with the Consortium of HLB Ijaz Tabussum & Co. “After [the] approval of the federal minister/chairman PC, the FASA has been signed on 28th December 2021 with Financial Adviser Consortium (FAC).”

Prime Minister Imran Khan had entrusted the Privatisation Commission to auction federal government’s abandoned properties.

In September last year, the Privatisation Commission had completed the auction of five government properties in the federal capital, raising Rs156.45 million in line with its plan to earn greater foreign exchange.

The commission had sold a piece of government land in Sohawa for Rs19.2 million.

Similarly, two penthouses in the Islamabad Country Club were sold for a combined Rs61 million.

Apartments at two locations, including one in Two Centaurus Mall in Sector F-8/4, and other located at PHA Apartments in Sector G-7/2, were sold for Rs61 million and Rs15.25 million, respectively.

The reserve price of these properties had been set at 140.525 million. However, the sales fetched Rs156.45 million, 11.3% more than the reserve price.