The real estate sector for any country holds immense importance. Likewise, Pakistan’s real estate has a major contribution to the state economy since people in Pakistan still believe property to be the safest and most profitable investment sector. This statement is based on the findings of the World Bank, according to which real estate has a major share of 60-70% in Pakistan’s economy.

This amount is equal to 300-400 billion dollars. Such a sector with this much contribution to the GDP needs strict regulation and monitoring. For this purpose, institutions like CDA, RDA, and LDA have been developed, and the role that CDA, RDA, and LDA have in the real estate of Pakistan is vital for the growth of this sector.

Capital Development Authority (CDA)

The Capital Development Authority (CDA) was established as a government institution under the CDA Ordinance 1960 and is managed by the Federal Government. General Yahya Khan was the first chairman of this body. 

Function of CDA

CDA is the key institution that has been planning, developing, and managing the land in Islamabad. It governs the type of land use in each area and the associated administrative and legal structure associated with each land use. CDA registers firms, businesses, and federations, as well as projects carried out in Islamabad. It develops public projects and monitors private projects to ensure that infrastructure development and planning meet the standard requirements. 

Obligations and authority of CDA

• Zoning: CDA has the responsibility to divide the Capital’s land into different zones and sectors, where each zone has a specific land use. This allows the CDA to carry out controlled and managed growth and development of the city.
• Infrastructure Development: CDA is responsible for constructing public projects such as housing societies and sectors. Apart from this, they develop road networks and other recreational spaces such as public parks, cycling tracks, and forests. 
• Municipal Services: In addition to providing development projects, CDA provides essential municipal services, which include waste collection, cleaning services, health and education services as well. 
• Providing Regulations: CDA generates the necessary rules and codes that need to be followed and met for every new development, as well as existing developments, in terms of planning, management, public safety, and environmental protection. These regulations cover even the most basic aspects of developments, such as size, area, height, and design of buildings. 
• Approval of Private Housing Schemes: CDA is responsible for evaluating the design and project details to determine if they meet the standard and legal requirements, after which it needs to issue the NO Objection Certificate (NOC) to the development. This NOC creates the authenticity and credibility of the project, after which it can attract investments. Some famous CDA NOC-approved projects include Capital Smart City, and DHA Ghandara Islamabad. 

Lahore Development Authority (LDA) 

Lahore Development Authority (LDA) was developed as a result of the LDA Act 1975 as a provincial body that manages the urban layout of Lahore. It provides planning and development in addition to NOC issuance to private projects.

Obligations and authority of LDA 

LDA carries out the following functions

• Granting Permits: Every developer for their projects has to apply for a permit from the LDA. This means that every residential and commercial project goes through an evaluation by LDA after which it issues a permit. This permit gives legality to the project and is then allowed to be continued. 
• Public infrastructure development: LDA develops and planes urban land of Lahore along with providing standardized green spaces and parks. This allows them to generate guidelines and protocols for other NOC seeking developers and to set a threshold to follow. 
• Municipal Services: LDA along with public project development also carry out the provision of important municipal services along with maintenance of public property and land. 
• Ensuring Transparency: LDA maintains transparency in Lahore’s real estate market through licence issuance and also ensures legality by keeping the general public informed about legal housing projects. LDA maintains a list of legal and illegal housing societies so that investors can verify the credibility of any project before investment. For instance, Etihad Town and Urban City are some famous societies enlisted in LDA’s list of legal housing societies.

Rawalpindi Development Authority (RDA)

Rawalpindi Development Authority (RDA) is a government body established in 1989. Like the development authorities of other cities, RDA also carries out development and management of cities infrastructure either itself or in public-private partnership with other developers. 

Obligations and Powers of RDA

• Planning: RDA plans different areas of Rawalpindi to meet the needs of the growing city in a way to make best possible usage of available resources.
• Development: It carries out construction of planned projects and other basic urban infrastructure including road networks, recreational areas and transportation corridors.
• Legal Management: RDA provides licenses and NOCs to private projects after determining that they meet required standards. Furthermore it also monitors if the development and execution is carried out with no legal issues. 
• Public Awareness: LDA maintains lists of both legal and illegal housing societies in Rawalpindi on their website for the public to be aware and for protecting their investment. For instance Saffron City, DHA RVN, DHA RVS are prominent societies in legal housing societies list of RDA.

Development authorities are regulatory bodies developed by the government for planning and development of cities. CDA, LDA and RDA are all three reputable authorities managing the existing urban layout of their cities and providing new projects along with a standard legal framework.yout.