Lahore’s Neela Gumbad to become pedestrian-friendly zone under Rs 2.45 billion project

One of Lahore’s busiest and most chaotic areas, Neela Gumbad, is about to undergo a long-awaited transformation. The Punjab government has ratified a Rs 2.45 billion redevelopment project that is intended to ease traffic congestion, solve chronic parking woes, and breathe new life into the area’s historical and cultural legacy. 

A Place Steeped in History 

It is located near King Edward Medical College, Punjab University, Anarkali Bazaar, and Bank Square, Neela Gumbad is not just a bustling commercial hub but also considered to be a site of deep historical importance.

Its iconic blue dome belongs to the shrine of Sufi saint Sheikh Abdul Razzak Maki, built in 1673 during the reign of Emperor Aurangzeb. Over the centuries, the site has glanced many transformations—from a mosque and garden to a Sikh-era weapons depot, and later a cafeteria under British rule. 

Yet despite its rich past, the neighborhood has long been choked by traffic jams, illegal encroachments, vehicle theft, and a lack of organized parking, making daily life a struggle for shopkeepers, students, and visitors alike. 

Read more: Construction of three-storey Neela Gumbad underground parking plaza will cost Rs 2.24 billion

A Modern Makeover with Global Inspiration 

To tackle these issues, the Traffic Engineering and Planning Agency (TEPA) has unveiled plans inspired by European pedestrian-friendly urban designs. Spread over 16 kanals, the project involves the demolition of 62 shops and nine houses to make way for a three-level underground facility.

Two levels will serve as parking zones, while the upper level will house 69 newly built shops relocated from the demolished area. 

Once complete, the facility will accommodate 374 cars and 790 motorcycles, supported by CCTV surveillance, elevators, fire safety systems, public restrooms, and a modern drainage setup.

The plan also includes replanting of 29 trees and shifting of utility lines to reduce disruption. 

Towards a Walkable Future 

As per TEPA Chief Engineer Iqrar Hussain, construction will take about 18 months, with Rs. 300 million already released to initiate work. He believes the project will solve Lahore’s parking nightmare and also help in reviving Neela Gumbad as the city’s first fully walk-friendly zone. 

For many Lahoris, the redevelopment promises not just smoother commutes but also a chance to reconnect with the historical and cultural charm of one of the city’s oldest landmarks—this time, without the honking horns and endless traffic jams.