Sindh lifts seven-year ban on commercialization of residential plots
KARACHI – In light of recent Supreme Court and Federal Constitutional Court decisions, the Sindh Master Plan Authority has withdrawn the 2019 ban on conversion of residential plots for commercial use across the province, including Karachi and Hyderabad.
A new infrastructure fee distribution formula has also been introduced.
According to the notification issued by the Master Plan Authority, the 2018 and 2019 judgments of the Supreme Court as well as the ban notification of the Sindh Building Control Authority (SBCA) have been withdrawn as ineffective. All the concerned institutions have been directed to follow the court orders.
Officials clarified that withdrawal of ban does not mean that every residential plot will automatically become commercial. Any change in land use will still require compliance with relevant laws, zoning regulations and master plan as well as obtaining the necessary NOC and approval from the Competent Authority.
Senior Director of Sindh Master Plan Authority Shakeel Siddiqui said that commercialization will be allowed on many major roads of Karachi, including Beach Avenue Road, Khayaban Saadi, Khayaban Rumi, Nishtar Road, Dhoraji Road, Alamgir Road, Shahrah Noor Stadium, Jahan Road, Shahrah Hassan Road, Shaheen Shaheen Road. Shahrah Faisal, Tariq Road, Rashid Minhas Road, University Road, Shahrah Pakistan, Nazimabad A Road, North Nazimabad 300 Feet Road, Shahrah Jahangir, Khayaban, Khayaban Jami, Khalid Bin Waleed Road, Jamaluddin Afghani Road, Syed Ahmad Iqbal Road, Allama Iqbal Road, Allama Iqbal Road, Pakistan Shahrah among others.
The court has also made it clear that amenity plots earmarked for parks, hospitals, schools, mosques, playgrounds and graveyards cannot be used for commercial or residential purposes under any circumstances.
The ban on commercial use of residential land in Karachi had put many projects of builders and businesses on hold for years. Along with the removal of the ban, a new formula for distribution of infrastructure fees collected for land use change has also been implemented.
Shakeel Siddiqui said that the Department of Local Government and Housing and Town Planning has developed a new formula to distribute the infrastructure fee collected by the Sindh Master Plan Authority to various local bodies and authorities. A formal notification has been issued revoking all previous orders and notifications.
According to the new notification, districts and divisions across Sindh have been divided into three main categories for collection and distribution of fees.
In Karachi Division and Hyderabad District, 45% of the infrastructure fee collected for change of land use will go to the respective Town Municipal Corporations (TMCs), 25% to the Sindh Master Plan Authority, 20% to the Water and Sewerage Corporation, and 10% to the Metropolitan or Municipal Corporation.
Separate distribution mechanism has been established for urban and rural areas of Divisional Headquarters Mirpurkhas, Shaheed Benazirabad, Sukkur and Larkana. In Municipal Corporation jurisdictions, the fee will be distributed on the same basis as in Karachi and Hyderabad: 45% to the Town Municipal Corporations, 25% to the Sindh Master Plan Authority, 20% to the Water and Sewerage Corporation and 10% to the Municipal Corporation concerned.
In areas outside the Corporation’s jurisdiction, 75% of the total fee will go to the concerned Municipal Committee, Town Committee or District Council, while the remaining 25% will be transferred to the Master Plan Authority.
Chairman of Association of Builders and Developers (ABAD) Hasan Bakshi welcomed the decision and said that the real estate sector has breathed a sigh of relief after this development.
However, he warned that allowing unchecked commercialization without proper planning and infrastructure improvements could further strain Karachi’s traffic, water supply, sewerage and other civic services.
He said that commercialization was stopped in Karachi at a time when it was allowed in the rest of Pakistan. Allowing commercialization along the 26 declared roads will create more employment opportunities and provide more options to buyers, he added.
The post The seven-year ban on the commercialization of residential plots in Sindh has ended appeared first on Daily Pakistan English News.
Stay updated with the latest alerts on this story:
View Original Coverage