Lahore Division

Lahore | ReNews Pakistan
The Lahore Development Authority (LDA) has sealed 63 illegally operating commercial properties and vacated encroachments from eight plots in Lahore as part of an ongoing crackdown against unauthorised land use and unlawful commercialisation. The action reflects the authority’s continued efforts to enforce planning regulations and reclaim public and private land from illegal occupation. According to LDA officials, the sealed properties were operating without the required approvals, change-of-land-use permissions, or commercialisation certificates. These properties were being used for commercial activities in areas designated for residential or regulated purposes, in violation of approved zoning and master planning laws. In addition to sealing illegal structures, enforcement teams removed encroachments from eight plots, restoring lawful possession of land that had been unlawfully occupied. Officials stated that such encroachments not only obstruct planned urban development but also place pressure on civic infrastructure, including roads, drainage systems, and public utilities. The operation was carried out by LDA enforcement squads in coordination with town planning and building control departments. Authorities confirmed that notices had been issued prior to the action, and legal procedures were followed in line with applicable regulations. LDA officials emphasized that unauthorised commercialisation distorts land-use planning, increases traffic congestion, and undermines the city’s infrastructure capacity. They reiterated that no commercial activity is permitted without formal approval, regardless of location or scale. This latest enforcement drive follows earlier large-scale operations conducted by the LDA in Lahore, during which more than 100 illegal commercial properties were sealed across multiple localities. Those actions targeted plazas, shops, warehouses, and offices operating in violation of zoning laws and building regulations. The authority has maintained that such sustained enforcement is necessary to curb unchecked land misuse and restore regulatory discipline in urban development. Officials noted that the LDA will continue inspections and enforcement actions in different parts of the city, particularly in areas where residential land is being converted into commercial use without permission. Property owners were advised to regularize their properties through lawful channels or face further action, including sealing and legal proceedings. The authority also warned that encroachments on plots, roads, and public spaces would not be tolerated, stressing that reclaiming illegally occupied land is essential for orderly urban growth and the protection of public assets. The ongoing campaign highlights the LDA’s broader strategy to improve land governance in Lahore by enforcing planning laws, preventing illegal construction, and ensuring that land is used strictly in accordance with approved development plans.

Lahore | ReNews Pakistan Punjab has introduced sweeping reforms to the province’s land record system, significantly reducing the authority of patwaris in property sale and transfer matters. The changes, officially notified by the Board of Revenue, Punjab, aim to improve transparency, curb corruption, and simplify land transactions across the province. Under the new system, patwaris will no longer handle documentation for land sales or transfers. Their role has been redefined to maintaining land records, assisting in revenue collection, and providing judicial records when needed. The responsibility for processing property sale and transfer documentation has shifted to designated Arazi Record Centers (ARCs) or authorised e-Facility Centers, which will oversee verification, Fard-e-Bay issuance, and registration of deeds. This centralisation is intended to remove outdated practices, such as reliance on witnesses or informal procedures, and ensure that all transactions are legally documented and verifiable. Mutations based solely on oral claims are not permitted, except in recognised inheritance cases. The reform was officially notified on 31 December 2025, with implementation taking effect in early January 2026. Buyers and sellers are now required to obtain the Fard-e-Bay from ARCs or e-Facility Centers before proceeding to authorised stamp vendors for deed registration. Once documents are verified, the tehsildar is mandated to approve registration on the same day, provided all requirements are met. This ensures faster, more transparent transactions and reduces opportunities for disputes or malpractice. These reforms mark a significant departure from traditional practices, where patwaris historically initiated mutations and processed property sale documents. By centralising functions at ARCs and e-Facility Centers and holding officials accountable for timely approvals, Punjab seeks to modernise its land administration, align property transactions with digital systems, and improve public trust in land dealings. Early responses indicate that the new system could reduce delays, confusion, and corruption in land transfers. However, its long-term effectiveness will depend on consistent application across all districts. The initiative reflects Punjab’s ongoing commitment to modernising property governance, providing a clearer, user-friendly framework for landowners, buyers, and real estate participants throughout the province.

Lahore | ReNews Pakistan The Punjab Revenue Authority (PRA) Appellate Tribunal has recently ruled that the sale of developed plots is not a taxable service under provincial sales tax, providing clarity and relief for real estate transactions across the province. Developed plots refer to land where infrastructure such as roads, utilities, and basic amenities has already been established. The ruling overturns previous interpretations that treated such transactions as taxable services, which added an extra financial burden on sellers and buyers. * PRA Appellate Tribunal issued the ruling to provide legal clarity * Developed plots are now classified as property sales, not taxable services * Relief affects housing schemes, developers, and individual buyers Previously, the sale of developed plots was considered a service under provincial sales tax rules, requiring sellers to pay additional charges. The tribunal clarified that preparing land with infrastructure does not constitute a separate service; instead, it is part of the property itself. Transfers of immovable property are governed federally, not provincially, making them exempt from provincial sales tax. * Buyers face reduced transaction costs * Sellers benefit from simplified compliance and lower tax obligations * Developers can price plots more competitively, encouraging new projects The ruling also addresses past transactions. Tax charges, surcharges, and penalties applied under the previous interpretation may now be adjusted or refunded. This provides financial relief to property owners who had paid provincial sales tax on developed plots and ensures fairness in property transactions. * Previous tax demands may be adjusted or refunded * Legal clarity strengthens confidence in property transactions * Developers and investors can plan new projects with reduced uncertainty Analysts anticipate that the ruling could stimulate activity in Punjab’s property sector. Removing the provincial sales tax burden may encourage more plot sales, support new housing developments, and contribute to more stable pricing. The decision also reinforces the distinction between services taxed provincially and property transactions regulated federally. * Potential increase in housing development and investment * Simplified pricing and transaction processes for buyers and sellers * Greater clarity in tax obligations across the real estate sector. The Punjab Revenue Authority (PRA) Appellate Tribunal ruling marks a significant step for legal certainty and transparency in the province’s land market. Exempting developed plots from provincial sales tax reduces costs, encourages investment, and simplifies transactions for buyers, sellers, and housing developers throughout Punjab.