An increasing number of people in Islamabad and Lahore are relocating to neighbourhoods located on the outskirts of these cities. This is primarily due to a decrease in the availability of apartments and houses, as well as increasing purchase prices and rentals. As a result, the construction of residential property on the outskirts has increased by 15 to 18% in the last three years.
Here are two residential areas on the outskirts of Islamabad and Lahore that are attracting investment:
Bani Gala, Islamabad
Located on the eastern bank of Rawal Lake, Bani Gala is 12 kilometers away from Islamabad. Residential property began to be constructed there in the early noughties; over the last three years, the value of, and demand for, property has increased by 25 to 30%. Experts predict that prices will increase by a further 12 to 15% in the next 18 months. Amenities include commercial pockets, eateries hospitals and schools. Recreational avenues including Botanical Gardens and National Zoo are a 35-minute drive away.
Available plot sizes include: 240 and 600 square yards.
Purchase price range (vacant plots): Rs 12,000-15,000 per square yard.
Purchase price range (houses): Rs 10,000-12,000 per square yard
Monthly rental range: N/A
Canal Bank Road, Lahore
Located on the eastern periphery of Lahore, 10 kilometers away from the city center, Canal Bank Road has witnessed the establishment of several housing developments in the last five years. The demand for, and value of, residential property has increase by 18 to 20% in the last two years. With new developments mushrooming at a rapid pace, the resale value of built property is likely to increase by 25 to 30% in two years’ time. Property options include houses and townhouses. Amenities on offer include commercial pockets, hospitals, restaurants and schools. Jallo Botanical Park, a popular recreational avenue, is a 12-minute drive away.
Available plot sizes include: 150 and 300 square yards.
Purchase price range (houses and townhouses): Rs 11,000-16,000 per square yard.
Monthly rental range (houses and townhouses): Rs25, 000-50,000
By Nimra Sajjad. Information provided by Insaaf Real Estate and Builders, Islamabad.
