Lahore Property Rates Update From Lahore Real Estate Jun 01

Lahore Property Rates Update From Lahore Real Estate Jun 01
DHA Allocation Files Prices For Jun 01

DHA Lahore Phase 5-Ext Allocation File Buyers(S) At 25.50 Lacs
DHA-8 Lahore Ex Parkview 1 Kanal Allocation File Buyers(S) At 19.50 Lacs
DHA-8 Lahore Ex Park view 10 Marla Allocation File Buyers(S)At 13 Lacs
DHA Lahore Phase 9/10 Allocation File Buyers(S) At 15.00 Lacs.
DHA Islamabad Phase 2 Extension 1 Kanal Allocation File Buyers(S) At 6.35 Lacs.

Ch Mujahid Yasin ( CMY )

Islamabad Property News:CDA auctions 12 commercial plots on second day of bidding

Islamabad Property News:CDA auctions 12 commercial plots on second day of bidding
* Member finance terms auction successful

* Says real estate prices to get boost in near future

Staff Report

ISLAMABAD: The Capital Development Authority (CDA) received a good response during the auction of different categories of plots on the second day of the biddings at Aabpara Community Centre on Tuesday.

CDA envisages Rs1.45 billion revenue from this auction of residential and commercial plots.

On the second day, CDA auctioned 12 commercial plots including three plots of different sizes located in sectors F-7, G-11 and I-8, eight plots of different categories including Class-III shopping centre in Grain, Cloth, F&V Market, Sector I-11 and IT Centre, were offered for auction.

Plot No 33 of G-11 Markaz measuring 1777.78 square yards was sold for Rs 80,000 per square yard, plot No 20 of I-8 Markaz measuring 1111.11 square yards for Rs181,000 per square yard, plot No I-D of F-7 Marakz measuring 200 square yards for Rs 860,000 per square yard, flat No 18 of F-11/1 economy flat measuring 4840 square yards against Rs 47,000 per square yard, flat No 17 of G-11/3 economy flat measuring 4083 square yards against Rs.48,000 per square yard, plot No 4 of G-11/1 Class-III shopping centre measuring 444.44 square yard against Rs 1,19,000 per square yard, plot No 18 of G-10/4 I & T Centre measuring 533.33 square yards against Rs 65,000 per square yard, plot No 22 of I-11/3, Grain Market measuring 651.11 square yards for Rs.42,000, plot No 23 of I-11/3 Grain Market measuring 600 square yards for Rs 38,000 per square yard, plot No 42-C of I-9/2, Industrial Area measuring 1120.82 square yards for Rs 23,000 per square yard, plot No 51 of Orchard Scheme Murree Road measuring 2.64 acres for Rs 1345,000 per kanal and plot No 48 of Orchard Scheme Murree Road measuring 4.76 acres for Rs 22,000,00 per kanal.

A committee headed by CDA Member Finance Saeedur Rehman and comprising Member Estate Tahir Shamshad, Member Planning & Design Abdul Jabbar Melano, Deputy Director General (One Window Operation), Director Estate Management-I Director Estate Management-II, Director Public Relations and Director Accounts supervised the auction.

The member finance termed the two-day auction successful. He hoped that the prices of the real estate would get a boost in near future.

The recommendations of auction committee would be submitted to CDA Board, which is the final authority for approving or disapproving any of the bids against these plots.

According to rules, the bidders have to pay 40 percent of total land cost within a week and remaining 60 percent will be paid in two equal installments of three months. Moreover, four percent CVT will be imposed on all commercial plots and residential plots measuring over 500 square yards. If a successful bidder would fail to pay the above-mentioned amount his deposit money will be confiscated.

Karachi Property News:Property tax recovery decline blamed on violence, old rates

Karachi Property News:Property tax recovery decline blamed on violence, old rates
KARACHI: Markets along M.A. Jinnah Road and I.I. Chundrigar Road contributed the highest amount —

Rs48.2 million — under the head of property tax during the July 2010-April 2011 period, it emerged on Tuesday.

The Defence Housing Authority (DHA) collected Rs15.3 million as property tax from the markets and residential units falling within its jurisdiction, including Clifton, during the period.

Among the other major taxpayers, housing societies paid Rs16.2 million, Gulshan-i-Iqbal Rs15.2 million, Gulistan-i-Jauhar Rs14.2 million, North Karachi Rs12.8 million, SITE Rs12.1 million, Korangi Rs10 million, Parsi Colony Rs6.2 million, Liaquatabad Rs3.4 million and Sohrab Goth including the areas along the Superhighway paid Rs30.5 million during the period under review.

The excise & taxation department collected Rs1,105.5 million property tax during the period compared to Rs1,143.4 million it had collected in the corresponding period last year, showing a shortfall of Rs38 million.

Various commercial and residential units owe Rs482 million to the authority concerned in property tax until May 1, 2011.

The excise & taxation department collects property tax and passes it on to the local government.

The highest default of Rs84.8 million appeared to be on the part of the units on M.A. Jinnah Road and I.I. Chundrigar Road followed by SITE (Rs57.6 million), Korangi (Rs53.9 million), North Nazimabad (Rs8.1 million), Korangi (Rs53.9 million) and housing societies (Rs22.9 million).

Statistics show that businessmen and other people of some areas have minimum tax defaults. On top of these areas are Gulshan-i-Iqbal with a tax arrears of just Rs351,630, Gulistan-i-Jauhar Rs19 million and North Karachi Rs8.1 million.The areas having property tax default exceeding Rs10 million include Clifton Rs11.5 million, housing societies Rs22.9 million, Tariq Road Rs23.2 million, Gulistan-i-Jauhar Rs19 million and North Nazimabad Rs14.7 million.

There are in all 800,000 commercial and residential units in the metropolis registered with the department, according to the last survey carried out in 2000.

Since then no survey has been carried out, although it is supposed to be conducted by the local government every five years to determine the value of properties and consequent tax rate applicable to them.

In the absence of a fresh survey, the department has asked the local government department to allow a 10 to 15 per cent increase in property tax rates on an ad-hoc basis.

Property Tax Director Shabbir Ahmed hopes that revenue from the tax will increase after computerisation of the tax enforcement and collection system, which will be ready by July 2011. Under the new system, property tax challans, produced manually at present, would also be generated by computers.

About his department`s efforts to bring new units under the property tax net, he said that most new buildings comprised two-bedroom flats, which were exempt from the tax. “Builders prefer to offer small flats in view of high inflation, price hike and the increasing cost of living.”

Giving reasons for the Rs38 million shortfall in the revenue collection, Mr Shabbir said that frequent violence in the city was the main impediment in the recovery of arrears.

“Some areas such as Sohrab Goth, Banaras, Orangi, North Karachi, Landhi and Korangi remained inaccessible most of the time during the year,” he said.He said the property tax rates were fixed in 2001 and never revised since then despite manifold increase in property value.

The existing rate of property tax is 50 paisa per square foot for residential units, Rs4.60 per square foot for flats, 70 paisa per square foot for industrial units and Rs325 per square foot for commercial units.

The tax is calculated at the rate of 20 per cent of the value of a property evaluated at the above-mentioned rates.