The Capital Development Authority (CDA) has introduced a revised fee structure to align with the surging property prices across Islamabad — the first major update since 2017. The move reflects the authority’s attempt to modernize revenue collection and regulate the city’s rapidly growing real estate and construction sectors.
Major Revisions After Eight Years
The CDA has officially notified new Floor Area Ratio (FAR) rates — one of the key metric that determines how much construction can take place on a particular plot. Under the new system, property owners and developers will now have to pay higher fees if they wish to construct additional storeys in residential or commercial buildings.
Officials explained that the updated charges have been carefully calculated using the General Price Index (GPI) to match Islamabad’s current market dynamics. “The more floors a building has, the greater the fee payable to the CDA’s treasury,” said one official, adding that the changes intends to balance development incentives with fair revenue generation.
Floor Area Ratio (FAR) Rates Across Key Sectors
In the newly issued schedule, Blue Area, the prime commercial city hub, will now see FAR charges of Rs. 4,951 per square foot. The posh sectors of F-7 and F-11 top the chart with Rs. 8,758 and Rs. 8,100 per square foot, respectively.
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Meanwhile, the G-5 Diplomatic Enclave and G-6 have been set at Rs. 2,110 per square foot, while residential plots in G-7 and G-8 will now carry rates of Rs. 2,305 and Rs. 2,585, respectively. In the I-8 sector, rates have been fixed at Rs. 4,100, and in I-12, at Rs. 1,616 per square foot.
The highest overall FAR rate applies to class-three shopping centers in the E and F series sectors, now set at Rs. 11,586 per square foot.
Other Property Categories Also Adjusted
The updated fee list extends beyond residential and commercial properties. The new rates include Rs. 1,899 for Sabzi Mandi, Rs. 4,722 for cold storage sites, Rs. 3,296 for hospitals, Rs. 2,054 for hotels, Rs. 1,283 for institutional plots, and Rs. 4,269 for flat sites.
CDA officials say the revised structure will help ensure fairer taxation, encourage transparent urban growth, and bring Islamabad’s property market in line with its expanding skyline.