Property market on a high

Security and a high-end lifestyle are the selling points
of the new real estate projects in Pakistan.

The construction and engineering services sector is one
of the fastest developing sectors in Pakistan. Real estate developments are happening all over the country especially in major cities such as Islamabad, Lahore, Karachi and Rawalpindi. There is an acute housing shortage in Pakistan, and the property development sector is booming and in turn boosting the economy. It has succeeded in attracting several international real estate developments and marketing brands to funnel investment in billions of US dollars into the country.

"It is good that international groups like Emaar and Abu Dhabi Group are establishing a presence in Pakistan as they positively contribute to the economy," says Najeeb Haroon, Managing Director of First Choice Real Estate, which is part of a real-estate global network successfully operating for more than 25 years in the UK, Spain, the UAE and Pakistan.

"The country has good markets for both low-cost housing as well as luxurious gated communities and apartment complexes. We need five million houses every year and these new projects help to meet that need," he adds.

First Choice has been involved with the real estate business in Pakistan for about 12 years. It is the exclusive sales and marketing agents overseas for Bahria Town, the largest private real estate developer in Asia. Bahria Town is credited with introducing the concept of gated community living in Pakistan.

The company is also involved in the marketing of Defence Villas Phase 1 and other projects of Defence Housing Authority Islamabad (DHAI), and has received tremendous response from overseas markets especially in the UAE.

"A lot of people from here have bought villas in the DHAI villa project that was sold in about five days. Business Bay Boulevard, another project, has sold out 60 per cent," says Haroon.

Master-planned communities

In May 2006, Emaar, the leading international real estate developer based in the UAE, entered the real estate scene in Pakistan with three real estate developments — The Highlands and Canyon Views in Islamabad, and Crescent Bay in Karachi. The projects include a series of master-planned communities that set new standards in commercial, residential and retail property within that country.

The Highlands development is located within the DHAI Phase 1 extension and Canyon Views within the DHAI Phase 2 extension. Crescent Bay is located within Karachi's DHA Phase 8 and in close proximity to the DHA golf course. Early in July 2008, Emaar Pakistan announced it had received enthusiastic response to the sales event for the first phase of Crescent Bay.

Lake City is a resort/residential development, planned 13km on the outskirts of Lahore. The development derives its name from the artificial lakes that will form the focal point of the habitat. The project is planned around an 18-hole 214-acre, regulation Golf Course, the largest in Pakistan, with luxury bungalows surrounding the course greens. This self-contained community offers its residents all amenities in addition to a secure and elite lifestyle.

The Abu Dhabi Group Consortium (The Abu Dhabi Group), one of the largest UAE-based group of investors actively participating in investment activities in countries such as Pakistan, Bangladesh, Iran, Uganda, Republic of Congo, and the Middle East has begun Taavun, a mixed-use development complex incorporating residences, a park, mall, cinemas, recreation areas, office towers, five-star hotel, etc in Lahore, Pakistan. Mabarak Centre, the prestigious project of Taavun, is predicted to be an iconic landmark in the new Lahore skyline.

According to Haroon, many Pakistani families living overseas would like to own property in their homeland but have faced difficulties finding someone to entrust to build them homes there. But with such world-class projects now, it has become easy.

Home away from home

"Community living is becoming popular in Pakistan's cities especially due to the safety and security of these gated communities. People who buy homes almost always keep it as their second home and seldom rent them out. They enjoy staying in these homes when they are on vacation in Pakistan," says Haroon.

People living in the UAE are taking up the opportunity to buy properties in Pakistan. Sumbul Javed already owns a house in Karachi. But she is also looking forward to settling down in Pakistan in one of the new developments being built. Having
family members in Pakistan is a big attraction for her to
settle down there.

Rasheeda Anwar, who is also from Karachi, says, "We have bought land in Pakistan and we intend to build a house when
we go back after my husband retires from work here in
another two years."

Sabiha Haq also owns property in Karachi. She has also lived in the UAE for more than three decades and brought three children up here. In fact her youngest son who was born, brought up and works here feels more at home here than in Pakistan. "But how can he ever become a citizen here like he can in Australia, Canada or America?" Sabiha asks. "Whatever may be the political situation in Pakistan, it is our country and it is better we settle down there rather than here. And of course living here has become very expensive and what will we do once my husband reaches retirement age? I have decided to take life as Allah wills it," says Sabiha.

All three women say they are aware of the new projects being built in Karachi but are waiting to see how they shape up before putting their money into them. Whatever they decide, there is no doubt the property market in Pakistan is booming.