News
Islamabad's F-7 and G-7 Slums Proposed for Major Redevelopment Under Rs72 Billion Plan
By Mariam Khan
Real Estate Analyst
4 min read
A newly published report outlines the proposed redevelopment of informal settlements in Islamabad's F-7 and G-7 sectors under the National Housing Policy. In F-7, about 67,000 square yards of land containing around 900 informal houses could be redeveloped into mixed-use commercial and residential buildings, with the redevelopment model estimating potential net revenue of about Rs72 billion. A separate proposal covers around 145,000 square yards across G-7/1, G-7/2 and G-7/3, with about 4,500 apartments of roughly 800 square feet each. About 3,000 existing residents would be accommodated under a subsidised housing arrangement, and 1,500 additional apartments could be sold to the public. These are proposals. Planning for Islamabad is led by the Capital Development Authority.
Why the Rs72bn Is a Model Estimate and Not a Budget
The Rs72 billion is described as potential net revenue from the F-7 redevelopment model. It is not a project cost, a funding commitment or a sale proceeds figure. The reports do not give the assumptions behind it, such as sale prices, the share of commercial space or the construction cost, so it should be quoted only as an estimate from the model in the report.
Why the G-7 Numbers Add Up as They Do
The G-7 proposal is for 4,500 apartments, of which about 3,000 would go to existing residents under a subsidised arrangement and 1,500 would be sold to the public. Those two groups add up to the full 4,500 (our own check of the reported figures). At roughly 800 square feet each, 4,500 apartments would provide about 3.6 million square feet of residential space (our own calculation). The reports do not give the subsidy terms, the price of the apartments offered to the public or the building heights.
Why the Number of Households Differs Between F-7 and G-7
The F-7 proposal mentions about 900 informal houses, while the G-7 proposal accommodates about 3,000 existing residents. These are different units, houses in one case and residents in the other, so the two should not be compared directly. The reports do not say how many households live in the G-7 settlements or how many are in F-7.
Why This Builds on CDA's Katchi Abadi Regulations
The proposals sit alongside the CDA's draft framework for redevelopment and relocation of informal settlements, which we covered in CDA Drafts New Regulations for Redevelopment and Relocation of Islamabad Katchi Abadis. They also relate to the national housing framework discussed in Pakistan Launches National Housing Policy 2025. The reports do not say which version of the policy contains the F-7 and G-7 proposals.
Why Resident Rehabilitation Is the Central Question
Redevelopment of informal settlements depends on how existing residents are treated. The proposal would accommodate about 3,000 under a subsidised arrangement, but the reports do not say how eligibility would be decided, whether residents would stay on site during construction or how land claims would be settled. These are the points on which such plans often succeed or fail, and the reports do not address them.
What This Means for Residents, Developers and Buyers
Residents of the settlements should expect any plan to be subject to regulations and approvals, and should look for official notices on eligibility and relocation. Developers and investors should treat the Rs72 billion as an estimate and wait for the CDA's approvals and the terms for private participation. Buyers should not rely on the 1,500 apartments proposed for public sale until the projects are approved and offered through official channels. Official updates are published by the CDA.