The federal government has, in principle, decided to compensate apartment owners at One Constitution Avenue by reimbursing them the amount they originally paid, in an effort to settle a long-standing property dispute linked to a defaulting developer.
According to reports, an official announcement is expected once the proposal receives final approval from Shehbaz Sharif. In the meantime, a high-level committee formed on the prime minister’s directives has begun reviewing the legal and administrative aspects of the case, as per a notification issued by the Cabinet Division.
The committee is headed by Law Minister Azam Nazeer Tarar and includes Minister of State for Interior Talal Chaudhry, along with senior officials from the Cabinet and Commerce divisions. The panel has been tasked with examining all related matters, hearing affected buyers, and proposing a solution that addresses their concerns while remaining in line with court rulings. The report is expected to be submitted by May 8.
Until a final decision is reached, authorities including the Capital Development Authority, police, and district administration have been instructed not to take action against current residents of One Constitution Avenue.
The dispute dates back to 2005, when the Capital Development Authority allotted 13.5 acres of land to a private developer for a five-star hotel project. The developer secured the lease for Rs. 4.8 billion and initially paid 15 percent before defaulting, which led to prolonged legal battles and repeated rescheduling.
In 2019, the Supreme Court of Pakistan directed the developer to pay Rs. 17.5 billion to restore the lease. However, only Rs. 2.9 billion has been paid so far, leaving a large outstanding amount and resulting in lease cancellation in 2023.
Authorities also revealed that the developer violated the agreement by constructing 263 residential units at One Constitution Avenue. Despite warnings, apartments continued to be sold. Currently, only 69 units are occupied, many on short-term rentals. Following court directives, eviction notices were recently issued to residents.
In recent developments, Residents Ordered to Vacate One Constitution Avenue
