Much like the rest of the country, Islamabad’s real estate market climbed to new heights in the early half of 2017. In this same time, various new projects were also introduced throughout Islamabad. A lot of apartment buildings and complexes were also introduced in the city, rapidly changing the scope of the city’s real estate market.
However, since the last couple of months, real estate markets throughout the country have been a little slow, showing very little activity from investors, whereas, genuine buyers in most of these areas have remained intact. The same trends can also be observed in Islamabad’s real estate as well. As the capital is divided into five zones, this blog also adopts a zonal approach to view how the market is arranged to make it easy to understand the patterns.
Zone 1
This area of Islamabad is one of the oldest, and most developed areas labelled from Sectors B to I. Most of these sectors are densely populated, while various new projects in sectors such as E, are underway. According to Khawaja Tahir Mehmood from Delta Estate Builders, F-11 is one sector where genuine buyers have always remained highly intact. While most of the investors aren’t as interested in investing anymore, he added that genuine buyers remain intact in the market. The preferred plot and house size for most people, he has observed, is 10-marla, as it is price competitive.
While commenting on the overall prospects of Zone 1, Khawaja Tahir Mehmood added that Capital Development Authority is on top of things and that development is underway. However, he added that it will take about 2-3 months for the entire area to attract an even larger number of investors, after it is fully developed.
Zone 2
This is the area with the hottest property locations in the city! This Zone offers the most external development in terms of the New Islamabad International Airport, which is by far the biggest road and public transportation network in the city at this point in time.
According to Muhammad Sarosh from Multiplyrz, projects like Top City and Mumtaz City have emerged as the most prominent in this area. He added that this is mainly because of the increase in public transportation facilities and greater accessibility to the residents. He is of the view that the provision of these facilities has made these societies emerge with prominence, and become the most sought out options. The connection with Peshawar Morr, Kashmir Highway, and the new road network of Islamabad International Airport add to the appeal. Various Metro Bus stations are also to be established here, making it another exciting addition.
This has greatly added to Zone 2’s value. Muhammad Sarosh is of the view that prices will soon increase, and once they go up, there’s no coming back for them.
Zone 3
This is the area where Margalla Hills are situated and no construction, thus far, has been warranted here.
Zone 4
This zone is primarily known for Bahria Enclave. Prospects for this seem quite bright because of the rapid pace of development here. According to Mustafa Kamal from Karakoram Enterprises, roads in this zone have already been carpeted, and soon the entire area will be buzzing with activity. He added that various new offices are also being situated here.
Irfan Alam from Gulf Alliance Real Estate Advisors and Builders, Bahria Enclave, has observed increased trading activity and it is expected that it will only go up from here. He attributed this to the introduction of new taxes, which have been a welcome move, and also to the scope of development in this area. The change in trading, he estimated, has been around 20-25% since the last two months. He further predicts it to peak in a time of 3-4 months. However, he added that the extraneous variables at play would have to be controlled first, if the real estate market is to grow.
Commenting on the role of CDA, Irfan Alam said that most of the development that is visible has been carried on by the developers of various societies themselves. He has observed that CDA isn’t as active as it should be. He believes the prospects for investment in this zone are high, provided the CDA takes on a more active role and the extraneous variables are accounted for.
Zone 5
This zone primarily includes Gulberg and its various other projects. Zamin Abbas from Seven Star Real Estate has observed that development is in full swing in this zone, and CDA is committing long hours to ensure that the zone is developed rapidly. He further added that here, both genuine buyers and investors are interested, and because of this increased activity, CDA is going an extra mile to cover all bases.
The project is massive, Zamin Abbas added, and can be labelled as a city within a city. He expects this to become the most investment-friendly area in no time.
This was a zonal analysis on Islamabad to help readers, investors, and genuine buyers understand how Islamabad is doing and what to expect.
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