Islamabad Capital Territory

Islamabad | ReNews Pakistan
The Islamabad High Court has declared unlawful a blanket administrative restriction on the sale, purchase, registration and mutation of property in parts of Islamabad’s Zone III, directing the relevant authorities to process lawful property transactions in accordance with applicable law and prescribed procedures.

The judgment covers Shah Allah Ditta, Sangjani, Sara e Kharbooza and other similarly situated localities in Zone III, where property transactions had been halted through administrative directions.

Justice Muhammad Asif issued the ruling while allowing a petition filed by resident Fazal Abbas. The court held that the blanket restriction, based on a Capital Development Authority letter and verbal directions from the deputy commissioner, had been imposed without a statutory notification or clear legal authority.

The restriction had originally been introduced as part of efforts to curb illegal housing schemes, unauthorized construction and prohibited changes in land use. However, the court found that the broad administrative ban had also affected ordinary landowners whose individual properties and transactions had no connection with illegal housing activity.

The court observed that authorities should proceed against actual violators rather than impose indiscriminate restrictions on every property owner in an affected locality. It ruled that lawful owners could not be denied registration or mutation simply because their property was situated in an area where unrelated illegal activity might also be taking place.

The IHC directed the authorities to regulate property transactions in accordance with the Capital Development Authority Ordinance 1960, the Islamabad Capital Territory Zoning Regulations 1992 and other applicable laws.

At the same time, the court made clear that the ruling does not legalize illegal housing schemes, unauthorized subdivisions, prohibited land-use changes or unlawful construction in Zone III. The CDA and district administration retain their powers to take action against such violations where a lawful basis exists.

The practical effect of the judgment is that legitimate private landowners can no longer be denied registration or mutation solely because their property falls within a wider locality subject to planning and enforcement concerns.

The ruling is particularly significant for Shah Allah Ditta and other areas around the Margalla foothills, where ancestral private land, agricultural holdings and residential properties coexist with strict planning, zoning and environmental restrictions.

Following the judgment, the office of the deputy commissioner and commissioner revenue Islamabad also moved to withdraw the restrictions and directed relevant revenue officials to make administrative arrangements for implementation of the court’s order.

Prospective buyers and investors, however, will still need to verify title, zoning status, permitted land use and other relevant approvals before entering into a transaction. Removal of the blanket transfer restriction does not provide automatic legal status to unauthorized housing schemes or constructions.

Islamabad | ReNews Pakistan
The Securities and Exchange Commission of Pakistan (SECP) has proposed increasing the housing finance limit for non bank microfinance companies to Rs 5 million as part of regulatory changes aimed at expanding access to smaller scale housing and construction finance.

The proposed framework also includes adjustments to certain borrower thresholds, with the objective of widening access to housing related financing through non bank microfinance institutions regulated by the SECP.

The proposed changes are specifically intended for SECP regulated non bank microfinance entities and would not alter existing mortgage or housing finance products offered by conventional commercial banks.

If finalised and implemented, the higher limit could provide additional financing options for borrowers seeking relatively smaller loans for home construction, expansion and other housing needs.

The proposal comes amid higher construction costs, which have reduced the practical value of earlier financing limits and increased the amount households may require to undertake even small scale residential construction projects.

For the real estate and construction sectors, greater access to smaller housing loans could help support construction activity, strengthen demand from genuine end users and facilitate more formal transactions in the lower value segment of the property market.

The actual impact of the measure, however, will depend on the final regulatory notification, the lending appetite and capacity of microfinance institutions, financing terms and the specific housing finance products developed following implementation.

The proposed increase represents a regulatory move towards improving formal financing options for affordable and incremental housing in Pakistan, particularly for borrowers whose financing requirements fall below the typical scale of conventional mortgage products.

Islamabad | ReNews Pakistan
The National Accountability Bureau has secured the formal transfer of more than 6,500 kanals of amenity and public utility land from two Islamabad housing schemes to the Capital Development Authority, bringing land reserved for public use under approved layouts under the formal control of the civic authority.

According to available details, the largest portion of the transferred land comes from Gulberg Residencia, where 5,484.76 kanals of amenity and public-utility land have been vested with the CDA. A further 999 kanals from Margalla View D 17 have also been formally transferred to the authority. Together, the two transfers amount to approximately 6,500 kanals.

The process was concluded in May 2026 and relates specifically to land earmarked in approved housing layouts for public facilities such as parks, schools, healthcare facilities, graveyards, roads and other common-use infrastructure.

Amenity land in a housing scheme is fundamentally different from privately allotted residential or commercial plots. Such land is reserved for collective use and is intended to support the planned civic and social infrastructure of the project.

The regulatory significance of the transfer lies in ensuring that land designated for public use is formally held by the relevant authority rather than remaining under the control of a private developer or housing society.

The development should not be interpreted as the CDA taking over privately owned residential or commercial plots in Gulberg Residencia. The land transferred is specifically identified as amenity and public-utility land set aside for shared facilities under the approved layout.

For existing plot owners, the transfer may provide greater regulatory clarity regarding the status of public facilities planned around their properties, including parks, roads and other community infrastructure.

However, the transfer of amenity land does not automatically resolve all development, dues, possession or project level issues within either housing scheme. The value and marketability of an individual plot will continue to depend on factors such as its location, on ground development, accessibility, possession status and surrounding infrastructure.

Similarly, regulatory clarity over amenity land is separate from the ordinary resale dynamics of private plots. While the transfer strengthens the formal planning position of land reserved for public use, prospective buyers should continue to verify project approvals, outstanding dues, development progress and possession status before making an investment decision.

The NAB facilitated transfer therefore represents an important administrative step in bringing public use land within the formal control of the CDA and strengthening long term clarity over the planning and protection of amenity areas in the two housing schemes.