Emaar Pakistan, which is a subsidiary of Dubai-based construction company ‘Emaar Properties’ is in a clash with Pakistani investors who claim U.S $ 15m from Emaar for its delayed project in Karachi. Featuring residential and commercial towers, the 108 acres development was supposed to be built and completed by 2013-2014 in collaboration with Defence Housing Authority. Nevertheless, the construction work is yet to commence.  The delay in the project caused the investors to stop paying instalments, which ultimately led Emaar to cancel the contracts with investors. For preventing the cancellation of contracts, a Pakistani court dispensed a stay order on bookings.  About 300 investors claim Emaar to refund the deposits of U.S $15m. Nevertheless, Emaar refuted that it abandoned the construction work and claimed the project was stalled due to financial downturn. ...

Proceeding as a joint venture, Thomas Kramer (one of the biggest investors in U.S) and Bahria Town are expected to formally sign for a mutual project by the name of ‘Bodha Island City’. The project is expected to require a cash-flow of 15-20 billion and it would be developed 3.5 km off the coast of Karachi. The spokesperson of Bahria Town mentioned that the Kramer is a visionary businessman that savors the honor of developing Miami Beach. It was also mentioned that Bodha Island would be covering 12,000 acres of land, with an expected completion time period of 5-10 years. The houses would probably be handed over to the respective buyers in 2016. The Island is also expected to home the biggest building in the world along with the modern shopping malls, offering major international brands. It was also extrapolated that Bodha Island is planned to be connected to Karachi’s Defence via a six-lane bridge, over the sea. Using a modern treatment plant, the sea water will...

Two real estate tycoons — chief of Abu Dhabi Group of the UAE and Pakistan’s Malik Riaz — have joined hands in a bid to construct the world’s tallest building in Karachi.   The parties signed a deal in Abu Dhabi on Friday, which envisages a staggering investment of $45 billion in Pakistan’s real estate. Apart from some stunning projects, it includes construction of the world’s tallest building, which would loom large over the current tallest Burj Khalifa of Dubai.   In Islamabad, Ali Riaz, son Malik Riaz, confirmed the signing of the agreement.   Reports from Abu Dhabi said the agreement was signed between the Chairman of Abu Dhabi Group, Sheikh Nahyan bin Mubarik Al Nahyan, and Malik Riaz, best known as ex-chairman and now consultant of Bahria Town, arguably the country’s most famous real estate project. Under the terms of the agreement, a sum of $35 billion would be invested in Sindh and $10bn in...

There is a shortage of around 8 million houses in Pakistan that is further growing with the ratio of 600,000 annually.  The central bank report indicated that the formal financial sector deals with only 1 to 2 percent of all housing transactions in the country whereas informal lending caters to up to 10 percent of residential housing transactions.  Housing is the major component of social infrastructure and the lack in this sector imposes negative effects on the economic development. The real estate experts also mentioned that housing sector is believed to affect economy in a number of ways. For instance, if majority of the population has access to adequate housing, they can participate economically, socially and politically more actively in their communities.  A real estate expert suggested that the government should regulate the process and must facilitate the private sector for the provision of subsidized homes. He further recommended that government must...

According to news, Karachi real estate after remaining sluggish for many years has become active this year. In almost all areas in the city, the price of property has increased by at least 10% to 40%. Numerous reasons are being cited for this increase such as enhanced investors’ activeness and rising remittances. Moreover, increase in construction cost due to increase in prices of paints, cement, steel bars, wood, sanitary equipments and ceramics has also pushed property prices up in this metropolitan city. Despite the volatile economic and political situation, after many years genuine deals are being struck in the city. Abdul Wahab Parekh, Vice Chairman of Clifton Zone Defense and Clifton Association of Real Estate Agents, says shifting of well off people from violence hit areas to more peaceful areas like Defense and Clifton is also one of the reasons behind the increase in property prices. As an example he says, a 500 yard plot and 300 yard plot in Phase VIII now costs Rs...

Purchasing land in thickly populated posh areas of Karachi is a dream for need based home buyers these days due to high price of plots, and most of the buyers are now shifting towards purchasing upper or lower portion of bungalows in areas of Gulshan-e-Iqbal,PECHS,Federal B. Area etc.These Portions are better option for them rather to purchase a flat in any apartment project in the same price.Small investors and construction contractors are involved in purchasing land and construction of portion on the land for some handsome profit.

The potential in the business of land & construction provides leading growth to the economy of any country. In the last decades real estate has emerged as one of the largest sector in terms of employment & investment. The new dimensions are defined to plan, draw, develop and market the land. More than seventy different professions are directly or indirectly affected by impacts on real estate. In Pakistan there is a big gap between demand and supply of houses built every year and demand is much higher than the houses built every year therefore huge investment potential in the real estate market of Pakistan attracts local & foreign investors to invest in residential & commercial properties in major cities of Pakistan.