CDA fetches Rs22.11b on first day of auction

Islamabad: The three-day auction of commercial plots which began on Tuesday came as a welcome note for the present incumbent at the helm of affairs of the Capital Development Authority (CDA).

Despite transfer of the CDA chairman, a day earlier, the auction went on to show good response as auction of eight commercial plots fetched a total amount of Rs22.11 billion A single plot measuring 5,952 square yards in Blue Area fetched Rs8.54 billion.

It is worth mentioning that last CDA auction was held in 2021 and nearly two years later this auction has been held in 2023. Thus CDA had survived for nearly two years without selling government lands. These two years also created demand in the market. Moreover due to slow pace of development in private housing, and the fact that no new private project has been launched, investor appetite was available for CDA plots.

The CDA’s auction committee headed by Member Estate Afnan Alam Khan received highest bid of Rs1.435 million per square yards from Mari Petroleum for total amount of Rs8.54 billion for plot number 62 in old Blue Area. However, it fell little short of highest ever price of Rs8.79 billion for a single plot auction held in August 2021.

Meanwhile, plots number 13 and 2 both in Blue Area measuring 611 square yards each received highest bids of Rs30.01 lac and Rs26.35 lac per sq yard, fetching Rs1.83 billion and Rs1.60 billion respectively. On second day of auction on Wednesday (today), the auction committee amongst other plots would offer two lucrative plots measuring 9,600 square yards and 4,511 square yards in Blue Area. A CDA official said that all the highest bids are subject to approval by the CDA board.