News
LDA Approves Rs88.6 Billion Budget, New Pine Sector and Tech Park in LDA City

By Mariam Khan
Real Estate Analyst
5 min read
The Lahore Development Authority's governing body has approved a budget of Rs88.613 billion for LDA and its Traffic Engineering and Planning Agency, TEPA, for fiscal year 2026 to 2027, with a revenue target of Rs47 billion, according to Business Recorder, published 20 August 2026. LDA Vice Chairman Mian Marghub Ahmed chaired the governing body meeting, attended by Parliamentary Secretary for Housing Barrister Sultan Bajwa, WASA Vice Chairman Chaudhry Shahbaz, and senior officials from LDA, TEPA and the Housing department.
A New Pine Sector for LDA City
The governing body approved the launch of a new Pine Sector within LDA City, which will include one kanal residential plots alongside commercial plots of various sizes. A detailed briefing on the wider revenue generation plan for LDA City was presented alongside this approval, and the meeting separately approved installation of solar lights across various blocks of LDA City. LDA City itself is a large planned housing estate within Lahore's Nishtar Tehsil, organised into sectors including the established Jinnah Sector and the currently developing Iqbal Sector, with the new Pine Sector now joining this existing sector structure.
Where the Rs88.6 Billion Is Actually Going
The budget allocates Rs10 billion, a loan received from the Punjab government, toward structural road plans, and Rs6.3 billion for Annual Development Programme schemes. Within LDA's flagship projects specifically, Rs12.5 billion was allocated for development work in LDA City, Rs13.5 billion for sustainable development and urban regeneration, and Rs4 billion for LDA Avenue 1. TEPA separately received a Rs3.5 billion budget for the fiscal year. On the revenue side, LDA set targets of Rs17 billion from Town Planning and Rs19.2 billion from sales and allotment, of which Rs15 billion is expected to come from LDA City alone.
The Maintenance Charge Pilot Is Now Formally Approved
The governing body approved a pilot project to impose maintenance charges and improve sanitation and municipal services across LDA Avenue 1, Jubilee Town and LDA Enclave, extending the scope beyond what had previously been under consideration. Maintenance charges will apply to residential and commercial properties measuring 3, 5, 7 and 10 marla, as well as 1 kanal. LDA will provide these services free of charge for the first two months in the covered areas before charges begin.
A New Tech Park Near Arfa Karim Tower
The meeting also approved development and marketing of commercial plots on 118 kanals of land along Ferozepur Road near Arfa Karim Tower, for a proposed LDA Tech Park. The project will offer commercial plots in three sizes: 1 kanal, 15 marla and 8 marla. The chosen location sits beside an existing, well established landmark: the Arfa Software Technology Park, a 17 storey, 106 metre tall building completed in 2009 and currently the tallest building in Lahore, built by the Punjab Information Technology Board as the country's largest dedicated ICT facility and named after Pakistani computer prodigy Arfa Karim. Positioning a new LDA Tech Park directly beside this existing IT landmark suggests the authority intends to build directly on Ferozepur Road's already established identity as Lahore's technology corridor.
Zoning Amendments and Other Approvals
The governing body approved amendments to the LDA Building and Zoning Regulations 2019, though the specific nature of these amendments was not detailed in the meeting summary. Separately, an allocation of Rs100 million was approved for initiatives aimed at making Lahore a child friendly city, undertaken in collaboration with UNICEF.
A Record Revenue Year Behind This Budget
Participants at the meeting commended LDA's Director General Tahir Farooq and his team for what was described as a record revenue year, with the authority achieving Rs32 billion in revenue in the previous financial year, the highest in LDA's history. This performance appears to be the direct backdrop for this year's considerably larger Rs47 billion revenue target and the expanded project pipeline approved alongside it. LDA itself, established under the Lahore Development Authority Act of 1975 as successor to the earlier Lahore Improvement Trust, holds broad statutory responsibility for planned development, construction permits and zoning across the city, the same authority underpinning this budget and all the projects approved within it.
What This Means for Buyers and Investors
The new Pine Sector represents a fresh entry point into LDA City for buyers interested in 1 kanal residential plots or commercial plots once the sector's specific location, pricing and application process are announced. The LDA Tech Park similarly opens a new commercial plot category along one of Lahore's established commercial corridors near Arfa Karim Tower, likely to draw interest from technology and office focused investors given the area's existing association with Lahore's IT sector. For existing owners in LDA Avenue 1, Jubilee Town and LDA Enclave, the maintenance charge pilot is no longer a proposal under consideration but an approved policy, with a confirmed two month free service period before billing begins, and owners in these three specific schemes should watch for formal notification of the exact start date and fee structure. Given the scale of this budget and the number of new projects launched alongside it, buyers evaluating any LDA scheme should treat this meeting as a signal of continued, well funded expansion, while still independently verifying the specific status, location and terms of any new sector or plot category directly through LDA before committing funds.
Sources
- Business Recorder, "LDA approves Rs88.6bn budget for 2026-27", 20 Aug 2026: https://www.brecorder.com/news/40435681/lda-approves-rs886bn-budget-for-2026-27
- Lahore Development Authority, official website: https://lda.gop.pk/
- Lahore Development Authority, official LDA City page: https://lda.gop.pk/ldaonline/ldacity.html
- Wikipedia, Lahore Development Authority, background on formation and mandate: https://en.wikipedia.org/wiki/Lahore_Development_Authority
- Wikipedia, LDA City, background on the housing estate's structure: https://en.wikipedia.org/wiki/LDA_City
- Wikipedia, Arfa Software Technology Park, background on the Ferozepur Road landmark: https://en.wikipedia.org/wiki/Arfa_Software_Technology_Park