Multibillion housing project faces delay as govt yet to decide its revival in Islamabad
ISLAMABAD: The structure of the multibillion Nilor Heights apartment project is decaying as the federal government and Capital Development Authority (CDA) are yet to take any decision about the revival of the mega project.
Launched in 2021, the project was required to be completed within 24 months – by June 30, 2023 – to achieve the approved targets and goals. However, it was halted halfway.
The project near Nilor was started by CDA on its own land for its then partner, Naya Pakistan Housing and Development Authority (NPHDA), which was supposed to share the cost of the project and deliver apartments to its members.
However, NPHDA did not pay any amount to CDA that resulted halting of the project in 2023 with completion of grey structure of 60 blocks.
Since then, the project is lying abandoned.
“This multibillion project is stalled and structure is decaying and there is an urgent need for its revival,” said an official of CDA. He said the role of NPHDA in the project was ended and a few months ago the civic agency moved a summary to the federal government to get new directions about the fate of the project.
“Our summary is with the federal government and after Eid holidays, officials of CDA and the Interior Ministry will likely give a presentation to the prime minister about the project.
“The government will then decide about the fate of the project,” he said and added that CDA will present several options before the PM that included whether the project is for sellout as it is
in the open market; or CDA completes it through its own resources and sell apartments in the open market.
“Now, there is no role of NPHDA in this project and we want a clear directive from the federal government for properly taking over the project. Besides providing land, the CDA has already spent billions of rupees on the project. One thing is clear: we want urgent solution for revival of this stalled project,” the official said.
It is relevant to note here that federal auditors had also highlighted the project last year. The audit report 2024-25 stated: “PC-I for construction of 3960 apartments for Rs15,307.174 million was approved. Total funds of Rs8,295.190 million were released against approved cost of Rs13,270.097 million up to June 30, 2024, during 2021 to 2023-24 which was 62pc against the approved cost.
“Audit is of the view that had the Authority completed the said project within implementation period of approved PC-I, then the Authority would have been able to get the benefit/revenue of Rs14.000 billion, as envisaged in PC-I.”
The audit report added: “Moreover, financial obligations were not fulfilled by NAPHDA which resulted in envisaged benefits being delayed.
The project had two phases. Under the first phase, 2,400 small apartments (each measuring 779 square feet) had been built and only finishing work on them was pending. Under this phase, CDA constructed 2,400 apartments in 60 blocks of ground-plus-four storeys.
This project was initially named ‘Farash Town’ apartment scheme in 2021. The name was, however, changed to Nilore Height Project later on.
The 2,400 apartments were originally meant for low income groups. As per its original plan, the CDA was supposed to hand over 2,000 apartments to NPHDA for further allotments and 400 apartments were meant for allotment to slum dwellers in the city areas.
The second phase (whose foundation work was in progress before the project was halted) was meant for commercial auction and the CDA would construct state-of-the-art 1,876 apartments of various sizes up to 1441 square feet. A few years ago, the CDA decided to auction 2,000 apartments to overseas Pakistanis at a price of $30,000 per apartment. The civic agency floated an advertisement and received an overwhelming response from 6,000 applications. The balloting was supposed to be held in May 2023, but could not be held due to litigation.
Earlier, NPHDA also held a balloting to allot the under-construction apartments to people with low income.
When these people came to know that the CDA was now going to sell the apartments to overseas Pakistanis, they filed court cases and the balloting could not be held. Since then, the project is stalled.