ISLAMABAD: The Capital Development Authority’s (CDA) auction of five hotel plots in Islamabad failed to attract investors on Monday.

No plot was auctioned as the investors did not show any serious interest.

Hotel plot number 6 in F-5/1 and plot number 8 also in F-5/1 are located at a prime location near Marriott Hotel. However, these plots failed to attract buyers.

The CDA also put up for auction a four-kanal plot situated along Srinagar Highway between Sports Complex and Margalla Hotel.

For this plot, the CDA got approval from the federal government as it is located in Zone-III, where otherwise construction activities are completely banned.

Even citizens could not build small houses of three marlas on their own land.

However, CDA says motel facility was permissible and in this case the civic agency got approval from the federal government.

Besides, the three plots, CDA also offered a plot in D-12 Markaz and a site in E-11 Northern Strip, but none of the plots was auctioned.

CDA officials said only a couple of investors purchased tokens to participate in the auction, but they too did not offer any bid.

Amongst the said five plots, Plot No. 6 near the Pakistan National Council of the Arts (PNCA) measuring 4.51 acres and Plot No. 8 measuring 3.73 acres (back side of Marriott Hotel) are cumulatively worth billions of rupees.

Both pieces of land hold significant promise for the development of upscale hospitality offerings since they are located next to the key administrative headquarters and offices of government entities.

CDA officials said proximity of both plots to the Diplomatic Enclave accentuates their suitability for luxury hotel development, meeting the needs of diplomats and high-profile visitors.

Additionally, the picturesque location of both plots, coupled with their easy accessibility, promises high turnover potential, however, these two plots also could not get any buyer.

In the past too, the CDA tried to auction them, but to no avail. Whereas, some years ago, CDA had also tried to attract foreign investors.

“I guess the CDA’s high reserve prices for these hotel plots were a major reason for the low investor interest,” said a source.

It is relevant to note here that the CDA has been motivating investors and owners of under-construction hotels to expedite work to have around 4,000 A-class hotel rooms available for next year’s major events taking place in Islamabad, including SCO conference and South Asian Games.

The CDA officials said although various hotels had more than 4,000 rooms available, around 1,000 did not meet international standards.

“Auction of the said five plots was a routine and it has no serious link to our preparation for next year. We are hopeful to have more than 4,000 rooms available next year for international events as the CDA has been working on this assignment dedicatedly ,” said an official of CDA, adding that the civic body will look into the aspect of the less-interest of investors in hotel plots.

Published in Dawn, October 13th, 2026