Housing project for govt employees hits a snag

FGEHA seeks to ‘re-tender' apartments project in Sector G-13

ISLAMABAD:

The Federal Government Employees Housing Authority (FGEHA) has decided to re-tender the under-construction Kashmir Avenue Apartments project in Sector G-13.

After re-bidding of the already delayed projects, prices of apartments are likely to rise by 100 per cent.

The apartment project was launched in April 2019 in Sector G-13. Former prime minister Imran Khan laid the foundation of the housing project, where more than 1,450 apartments were to be constructed for government employees.

The contract of the mega project was awarded during the previous regime, but the contractors stopped work on the project due to the increase in the prices of construction material, cement, iron and gravel etc.

Due to this, the cost of the project increased further.

The contractors claimed that the contract was not awarded as per the market rates.

The issue also landed in court and the FGEHA canceled the contract.

According to sources at the Ministry of Housing and Works, it has been decided to re-tender the Kashmir Avenue apartment project and preparations have been completed.

According to the sources, the cost of this project may increase by 100 per cent and allottees will also bear the brunt of the increasing cost and they will also have to make additional payments.

It is the responsibility of the FGEHA, a subsidiary body of the Ministry of Housing and Construction, to provide residential facilities to federal employees. For the same purpose, in 2019, the then government started the apartments’ project for government employees.

However, during these three years, the project has hit many snags owing to the increase in the price of construction material and other reasons.

Only 20 per cent of the work could be completed on the project, which was supposed to be completed by 2023, causing resentment among the employees, who have invested in the project. FGEHA sources said due to a hike in the cost of construction material, the housing project was delayed as contractors were saying that they could not complete it under the current rates.

According to the FGEHA, the project consisted of three towers, each with a basement and ground-plus 21 floors.

Published in The Express Tribune, November 10^th, 2022.