CDA Approves Record Rs83bn Development Package, Including Capital House, Hotel and New Convention Centre

Nov 21, 2025 | Economy

ISLAMABAD: The Capital Development Authority (CDA) on Thursday approved an unprecedented portfolio of development projects worth more than Rs83 billion, marking the largest single-day approval of schemes in the authority’s history. The decisions were taken during a meeting of the CDA Development Working Party (DWP), chaired by CDA Chairman Muhammad Ali Randhawa.

A key highlight of the approvals was the green light for Capital House Islamabad, a long-awaited facility to be constructed in Sector F-5 on the pattern of existing Punjab, Sindh, KP and Balochistan Houses. Estimated to cost Rs3.2bn, the project aims to consolidate fragmented accommodation used by government officials. According to the PC-I, construction is scheduled for completion within two years.

The DWP also cleared a major new initiative: the New Islamabad Convention, Expo and Exhibition Centre (NICEEC), a multipurpose venue expected to rise near Murree Road/Club Road close to Faizabad. Valued at Rs19.3bn, the centre is envisioned as a flagship facility for large-scale conferences, exhibitions, trade fairs and cultural festivals. CDA officials noted that the project is strategically aligned with Islamabad’s role as host of the Shanghai Cooperation Organisation (SCO) summit in 2027 after earlier government attempts to privatise the aging Jinnah Convention Centre.

According to the working paper, the NICEEC will serve as a long-term revenue-generating asset for the civic body, with income streams projected from event rentals, service contracts and tourism-related activities. The project is expected to be completed within 18 months of commencement.

In another significant approval, the CDA cleared the PC-I for a seven/five-star hotel in F-5, to be built on Engineering, Procurement and Construction (EPC) mode at an estimated cost of Rs57.7bn. The hotel is intended to boost Islamabad’s hospitality sector, attract international business travellers and serve visiting diplomats and state delegations. Officials briefed the meeting that the EPC model would help ensure timely delivery and better accountability, with an 18-month completion timeline.

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The authority also approved Rs3bn for the construction of high-rise residences for government officers, a 14-storey project that includes complete mechanical, electrical and horticultural works and is expected to finish in 24 months.

Additional approvals included Rs635m for upgrading the Diplomatic Enclave—scheduled for completion in six months—and Rs574m for six new pedestrian bridges on major roads including Park Road, Srinagar Highway, Islamabad Expressway and IJP Road. These bridges are planned for completion within 18 months.

CDA officials described the approvals as a transformative step for the capital’s infrastructure, hospitality and urban mobility.