ISLAMABAD: The city managers approximately fetched Rs7.5 billion by selling 22 commercial plots in its three-day auction which concluded on Thursday.

Though the Capital Development Authority (CDA) is supposed to carve out commercial plots to facilitate the citizens and business community, it seems fully dependent on the sale of plots as it holds at least two auctions in a year.

`We auctioned 22 plots worth over Rs7.5 billion as the response of nvestors remained very positive,` said Syed Saf dar Ali, spokesman for CDA.

He said a committee headed by Member Finance Dr Fahad Aziz conducted the auction in an efh-cient, open and transparent manner.

On the opening day, seven plots were auctioned against Rs4.07 billion while 12 plots were sold on the second day for Rs2.5 billion.

On the third day, Kahuta Triangle Industrial plot No 239, size 3,333.33 square yard was auctioned at the rate of Rs21,000 per sq-yard and plot Noll-A, Diplomatic Enclave, of apartment size 4,000 sq-yard bid out at the rate of Rs200,000 per sq-yard while plot No 2-E, class-III shopping centre, at I-14/4 (133.3 squareyard) was bid out at the rate of Rs220,000 per square yard.

The CDA will receive payments against the plots from the successful bidders in four installments within a year.

A CDA officer said it was the responsibility of the civic agencyto auction plots but it should not solely depend on the sale of plots.

He said every month the CDA, which was itself facing financial issues, had also to pay the nondevelopment expenditure of the Metropolitan Corporation Islamabad (MCI).

`The three-day auction remained successful. But how long we will be relying on the land bank? We should explore other options as well,` said an official of the CDA who requested not to be named.

He said the CDA`s leased property worth billions of rupees in various shopping centres was providing no revenues to the civic agency as a large number of leases had not been extended for decades.

`The leaseholders are not getting their leases extended while we arenot taking action against them, said an official of the Building Control Directorate. He said almost in all old class-three shopping centres, the lease extension cases were lying pending for years.

`Actually, the leaseholders have made violations of terms and conditions of the allotments and that`s why they are avoiding facing the CDA for extension of the leases.

As a result, we are receiving nothing from the leases.

He said there was also a need to develop residential sectors. The CDA could also generate revenues by establishing parking plazas in various areas of the city, including Blue Area.

However, the CDA spokesman the authority utilised its options for revenue generation and holding of auctions of plots was one of its core functions.