US embassy to be asked to pay more for land
Saturday, 31 Oct, 2009
ISLAMABAD: The government is reported to have decided to increase the price of land being provided to the US embassy for its expansion.
The embassy would be told to pay more; otherwise, the size of the plot would be reduced from the originally earmarked 18.5 acres.
A source said that the Foreign Office had submitted a summary to Prime Minister Yousuf Raza Gilani suggesting that the rate for additional land should be revised from Rs15,000 to Rs80,000 per sq yard (about $100 per sq yard).
It said that before the allocation was promised to the embassy, the Capital Development Authority (CDA) had requested the Foreign Office to increase the price of land in the Diplomatic Enclave. It said other foreign missions had been asked to pay Rs80,000 per square yard, but the US was getting land at the old rate.
The source said that senior FO officials and Prime Minister Gilani were convinced that the rate fixed for additional land needed to be revised.
Land is given to foreign missions on a reciprocal basis, and there are reports that the US authorities had charged market rate for land purchased by Pakistan in Washington.
‘The US authorities have so far not been given offer letter and only the Foreign Office had been informed that the CDA will charge at the rate of Rs15,000 per sq yard for additional land,’ a CDA official said.
He said there was no harm in sending the offer letter to the US embassy after revising the price.
When asked if the US authorities would agree to pay more after funds had been allocated for embassy’s expansion, he said: ‘If they don’t… the CDA can reduce the plot size.’
The source said the US embassy had not yet paid for the land or submitted a site plan for expansion of the embassy.
‘All diplomatic missions will have to follow the procedure and process observed in construction of private and public premises in Islamabad. The US embassy would have to get the new building plan approved from the CDA before beginning construction,’ said the CDA official.