LAHORE: The Lahore Central Business District Development Authority (LCBDDA) on Tuesday auctioned five commercial plots for Rs21.588 billion after it received the highest bid price from four groups including a Turkish real estate company at an open auction at Johar Town.

The successful bidders intend to build high-rises on these plots in the commercial zone to be developed by the authority. The height of the buildings ranges between 40 and 50 storey, according to the LCBDDA.

“Punjab’s total revenue target for fiscal year 2021-22 is Rs70 billion. But with the massive efforts of the authority under guidelines of the chief minister, we have been able to fetch Rs21.5 billion in one go by auctioning five plots located near Kalma Chowk (facing Gulberg main boulevard and Ferozepur Road),” LCBDDA’s Chief Executive Officer Imran Ameen told Dawn after the open auction.

The authority auctioned Prime-1 Plot measuring 18 kanal for Rs7.623 billion (Rs424 million per kanal) after it received the highest offer from a joint venture of Nova City Developers & Bayraktar Insaat. The Prime-2 plot measuring 11 kanal was auctioned for Rs4.202 billion (Rs382 million per kanal after a firm (ASE-Hasnat) offered this highest price. Prime-3 plot measuring 10 kanal was sold at Rs2.840 billion (Rs284 million per kanal) to M Abbas Khan (highest price bidder).

The Prime-4 and 5 plots measuring 10 kanal each were auctioned at Rs4.069 billion and Rs2.845 billion (Rs313 million and Rs284.5 million per kanal) respectively after the Pakistan Corporate Consortium offered the highest offer among all.

The per kanal reserve / base auction price for Prime-1, 2, 3, 4 and 5 plots had been fixed as Rs160 million, Rs160 million, Rs140 million, Rs160 million and Rs140 million respectively.

“This portion of the central business district will become a state-of-the-art commercial hub having a skyline. It will change the existing and obsolete culture of commercialisation in Lahore,” Mr Ameen claimed. “As far as I know about Lahore, it is perhaps the highest open auction that fetched such a huge money in one go,” he said, adding that 18 groups comprising several companies enthusiastically participated in the auction.

Earlier, the LCBDDA CEO told media that Lahore Prime would be a sign of inspiration and a class of new beginning in the field of construction. The financial impacts of Lahore Prime under CBD include Rs250 billion in the form of taxes for the government in its first phase, whereas the generation of Rs1,300 billion revenues is also adding to the significance of the project.

Chief Minister Usman Buzdar said: “I am overwhelmed to announce the successful auction event that LCBDDA aimed to provide to the people with an appropriate ecosystem and infrastructure supporting the livelihood of city dwellers. Undoubtedly, the activities like Lahore Prime contribute to the alleviation of poverty,” he said.

He said Punjab aimed to provide jobs and business opportunities as over two million people would be able to get jobs in the projects / initiatives launched by the LCBDDA and the Ravi Urban Development Project.

Published in Dawn, September 8th, 2021