ISLAMABAD: The Naya Pakistan Housing and Development Authority (NAPHDA) is looking to develop a part of Blue Area on a public-public partnership model with the Capital Development Authority (CDA).

Blue Area is acquired commercial area belonging to the CDA, where the NAPHDA now wants to begin a joint venture.

Land in this area is a major source of revenue for the CDA, which has generated billions of rupees by auctioning commercial plots. The authority depends on its land bank to generate funds to meet its development and non-development expenses.

In a letter available with Dawn dated Dec 17, the NAPHDA asked the Cabinet Division to seek input from the Ministry of Law and Justice on its proposal to begin a public-public partnership.

Referring to a meeting at the NAPHDA chairman’s office attended by the law secretary and CDA chairman, the letter said: “In response to Cabinet Division letter […] dated October 30th 2019, CDA has identified new Blue Area vide letter…dated 15th November 2019.”

Cabinet Division asked to seek law ministry’s input on proposal for public-public partnership

It added: “The Naya Pakistan Housing and Development Authority (Naphda) and Capital Development Authority (CDA) have planned a joint venture on public-public partnership model. Wherein Naphda and CDA would jointly develop the subject area and float the same in the open market.”

CDA spokesperson Syed Safdar Ali said the authority has not received a formal request from NAPHDA to begin a joint venture. He said any proposal received in this regard will be dealt with in accordance with the law.

Another CDA official said the authority recently shared details of land in Blue Area with the Cabinet Division.

A Nov 15 letter from the CDA which is available with Dawn said that the CDA has 172 kanals of partially planned land in Blue Area G-8, 345 kanals of partially planned land in F-9 and G-9, 345 kanals of unplanned land in F-9 opposite F-10 Markaz, 732 kanals of unplanned land in E-10 and F-10, 366 kanals of unplanned land in F-11, 732 kanals of unplanned land in E-12 and F-12, 732 kanals of unplanned land in E-13 and F-13 and 366 kanals of unplanned land in F-14 that has been acquired by the Federal Government Employees Housing Foundation but is to be transferred to the CDA for planning, development and disposal.

The CDA wrote the letter in response to an Oct 30 letter from the Cabinet Division which had said that the NAPHDA was established under the NAPHDA Ordinance 2019 to plan, develop, construct and manage real estate development schemes and projects including housing and purposes afforded in the ordinance.

“As requested by the acting chairman NAPHDA Ministry of Interior is requested to get the information from CDA regarding identification of the encumbrance free lands in commercial and residential areas in Islamabad for constitution of Federal Land Bank by [NAPHDA],” the letter said.

The CDA submitted the aforementioned details of Blue Area with the Cabinet Division in response.

The Cabinet Division letter said that the federal government, provincial governments, local governments and other public departments, agencies and all corporations and entities thereunder shall cooperate with the NAPHDA to collect information regarding immovable property owned or possessed by them for the purposes of the Federal Land Bank.

A CDA officer on Wednesday confirmed that the authority shared details of land in Blue Area with the Cabinet Division.

“As far as starting joint ventures is concerned, when we receive a formal letter we will decide the matter,” he said, adding that the NAPHDA letter is being reviewed by the law ministry.

Published in Dawn, December 26th, 2019