ISLAMABAD: The Executive Board of the Federal Government Employees Housing Authority (FGEHA) has approved bids for six out of seven controversial commercial plots that were auctioned last year, with bids received very close to their reserved prices.

The FGEHA board, which was surprised by the narrow difference between the bid rates and the reserved prices last year, had initially not approved the bids and referred the matter to a three-member committee.

However, sources in FGEHA said that during a meeting held on December 24, whose minutes were issued last week, the board, headed by Housing Minister Mian Riaz Hussain Pirzada, approved the bids for six plots in light of the committee’s recommendations. The board directed FGEHA to conduct fresh bidding for the remaining plot measuring 2,000 square yards.

“Yes, the board has approved bids for six plots and rejected the bid for the plot measuring 2,000 square yards,” an FGEHA officer said.

One plot rejected for re-auction as narrow margins between reserve prices and bids raise concerns

According to documents, the three-member committee, headed by Managing Director PHAF Muhammad Shahid Hussain, stated in its report, “As a whole, determination of the reserve price was correct as it followed the due process of GPI as prevalent with FGEHA and CDA.”

The board approved the committee’s recommendations and directed that regular auctions be conducted biannually after development and approval of an auction calendar, aimed at enhancing overseas participation and improving investor liquidity.

The auction of commercial plots in sectors G-13 and G-14 was held on June 18 and 19 last year, and the highest bids were presented before the executive board meeting in the last week of August.

According to officials, FGEHA had placed 24 plots of varying sizes and categories for open auction in June last year. These included Markaz plots, Class-III shopping centre plots and mixed-use building plots in G-13 and G-14. Out of the 24 plots, seven were auctioned. Six were sold at very narrow margins above the reserved price, while one was auctioned at exactly the reserved price.

Providing details, sources said a 400-square-yard plot received a bid of Rs650,000 per square yard against a reserved price of Rs645,000. Another 400-square-yard plot received a bid of Rs650,000 per square yard, matching the reserved price.

A 2,000-square-yard plot also received a bid of Rs675,000 per square yard, exactly equal to the reserved price. Similarly, another 400-square-yard plot fetched Rs655,000 per square yard against a reserved price of Rs650,000, while another 400-square-yard plot was bid at Rs710,000 per square yard against a reserved price of Rs665,000.

Sources further said a 210-square-yard plot received a bid of Rs710,000 per square yard against a reserved price of Rs700,000, while a 667-square-yard plot was bid at Rs715,000 per square yard compared to the reserved price of Rs700,000. This unusually narrow margin between reserved prices and received bids for all seven plots had raised eyebrows.

However, out of the total seven plots, the board approved bids for six.

FGEHA officer Fiaz Ahmed Sial, speaking to Dawn in September last year after the matter was referred to a committee, had said, “Our auction was held in a transparent manner and all plots were auctioned above the reserved price. In the current market scenario, meeting the reserved price is itself a success.”

Published in Dawn, February 2nd, 2026