Revision Of Hiring Rates For Office Accommodation By the Federal Government Ministries /Divisions /Departments.
The Ministry of Housing and Works revised the Federal Government office accommodation hiring rates on 13 December 2024, setting station-wise rates per square foot for commercial and residential buildings and additional hiring conditions.
Overview
The Ministry of Housing and Works revised the hiring rates for office accommodation used by Federal Government ministries, divisions and departments through an Office Memorandum dated 13 December 2024. The schedule sets per-square-foot rates by city, area, building type and floor and provides additional conditions for hiring.
Key Highlights
- Revised city-wise rates per square foot apply to commercial and residential office accommodation.
- In the listed commercial zones of Islamabad/Rawalpindi, the revised rate is Rs. 113 per sq ft for basements and Rs. 180 for other floors.
- Ministries, divisions and departments may use a margin of up to 5% above the notified rates where necessary.
- An additional 25% rent is admissible for high-rise centrally air-conditioned buildings in all cities.
- The rates also apply to hiring or lending of buildings owned by Public Sector Entities.
- The revised rates apply with immediate effect from 13 December 2024.
Detailed Explanation
The Ministry of Housing and Works revised the hiring rates for office accommodation used by Federal Government ministries, divisions and departments through an Office Memorandum dated 13 December 2024. The schedule sets revised rates per square foot for commercial and residential buildings in Islamabad/Rawalpindi, Peshawar, Karachi, Lahore, Quetta and other cities. The revised rates apply with immediate effect from the date of the memorandum.
Key Highlights
- The revised schedule specifies existing and revised rates per square foot by station, area, building type and floor.
- In the listed commercial zones of Islamabad/Rawalpindi, the revised rate is Rs. 113 per sq ft for basements and Rs. 180 for other floors.
- Ministries, divisions and departments may use a margin of up to 5% above the notified rates where necessary.
- An additional 25% rent is admissible for high-rise centrally air-conditioned buildings in all cities.
- The rates also apply to hiring or lending of buildings owned by Public Sector Entities.
- Cases involving rent increases for already-hired buildings are to be processed on expiry of the lease under prevailing Government instructions.
Revised Office Accommodation Hiring Rates
The memorandum’s schedule expresses the rates in Pakistani rupees per square foot. The tables below reproduce the station-wise categories and the existing and revised amounts shown in the memorandum.
Islamabad / Rawalpindi
| Area / building type | Floor | Existing rate (Rs./sq ft) | Revised rate (Rs./sq ft) |
|---|---|---|---|
| Blue Area, Super/Jinnah Super Market, F-8 Markaz, F-10 Markaz, E-7, I-8 Markaz, New Blue Area, G-9 Markaz, G-10 Markaz, G-8 Markaz, G-11 Markaz, G-9 Mauve Area, G-8 Mauve Area and G-10 Mauve Area — Commercial | Basement | 50 | 113 |
| Same listed commercial areas | Other floors | 80 | 180 |
| Other areas — Commercial | Basement | 40 | 60 |
| Other areas — Commercial | Other floors | 60 | 100 |
Peshawar
| Building type | Floor | Existing rate | Revised rate |
|---|---|---|---|
| Commercial | Basement | 20 | 45 |
| Commercial | Other floors | 35 | 79 |
| Residential | Basement | 20 | 45 |
| Residential | Other floors | 25 | 56 |
All areas of Peshawar are included in the memorandum’s schedule.
Karachi
For Shahrah-e-Faisal, M.A. Jinnah Road, I.I. Chundrigar Road, Gulshan-e-Iqbal, North Nazimabad, Saddar, Clifton and PECHS, the commercial rates are:
| Building type | Floor | Existing rate | Revised rate |
|---|---|---|---|
| Commercial — listed areas | Basement | 35 | 79 |
| Commercial — listed areas | Other floors | 50 | 113 |
| Other areas — Commercial | Basement | 25 | 56 |
| Other areas — Commercial | Other floors | 35 | 79 |
| Other areas — Residential | Basement | 25 | 56 |
| Other areas — Residential | Other floors | 35 | 79 |
Lahore
| Area | Building type | Floor | Existing rate | Revised rate |
|---|---|---|---|---|
| DHA, Gulberg and Mall Road | Commercial | Basement | 35 | 79 |
| DHA, Gulberg and Mall Road | Commercial | Other floors | 60 | 135 |
| DHA, Gulberg and Mall Road | Residential | Basement | 30 | 68 |
| DHA, Gulberg and Mall Road | Residential | Other floors | 55 | 124 |
| Faisal Town, Model Town, Muslim Town, Sadar Cantt., Allama Iqbal Town, Main Sanda Road, Johar Town, Pine Avenue, Lake City and Valencia | Commercial | Basement | 30 | 68 |
| Same listed areas | Commercial | Other floors | 55 | 124 |
| Same listed areas | Residential | Basement | 20 | 45 |
| Same listed areas | Residential | Other floors | 45 | 101 |
| Ferozpur Road, Davis Road, Baghbanpura and Main Samanabad | Commercial | Basement | 25 | 56 |
| Ferozpur Road, Davis Road, Baghbanpura and Main Samanabad | Commercial | Other floors | 55 | 124 |
| Other areas | Commercial | Basement | 25 | 56 |
| Other areas | Commercial | Other floors | 40 | 90 |
| Other areas | Residential | Basement | 15 | 34 |
| Other areas | Residential | Other floors | 35 | 79 |
Quetta and Other Cities
| Station / building type | Floor | Existing rate | Revised rate |
|---|---|---|---|
| Quetta — Commercial | Basement | 25 | 56 |
| Quetta — Commercial | Other floors | 30 | 68 |
| Quetta — Residential | Basement | 20 | 45 |
| Quetta — Residential | Other floors | 25 | 56 |
| Cities other than the six specified stations — Commercial | Basement | 20 | 45 |
| Cities other than the six specified stations — Commercial | Other floors | 35 | 79 |
| Cities other than the six specified stations — Residential | Basement | 20 | 45 |
| Cities other than the six specified stations — Residential | Other floors | 30 | 68 |
All amounts in these tables are Rs. per square foot. Refer to the original schedule for the precise boundaries and area descriptions applicable to each rate.
Additional Conditions and Implementation
- Public Sector Entities: The notified rates also apply to hiring or lending of buildings owned by Public Sector Entities.
- 5% margin: Ministries, divisions and departments may hire office accommodation at a margin of 5% above the notified rates where necessary.
- High-rise air-conditioned buildings: An additional 25% rent is admissible for high-rise centrally air-conditioned buildings in all cities.
- Effective date: The revised rates apply with immediate effect from 13 December 2024.
- Existing leases: Cases of buildings or houses already hired and qualifying for an increase in rent on expiry of the lease are to be processed and decided under the prevailing Government instructions.
- Hiring above the notified rates: Proposals beyond the prescribed enhanced rates are to be referred to Finance Division after completion of the required procedural formalities, as set out in Finance Division O.M. No. 8(68)R-14/83-2001-452 dated 18 October 2001.
- Preconditions: The memorandum refers to Annex-IV for the preconditions for hiring commercial buildings and residential houses, including the O.M. on decentralization of hiring of office accommodation dated 16 August 2002 and the scale for hiring private office accommodation dated 17 September 2004.
Frequently Asked Questions
When did the revised office accommodation rates take effect?
The memorandum states that the revised rates are applicable with immediate effect. The memorandum is dated 13 December 2024.
Are the rates calculated per square foot?
Yes. The schedule identifies the revised rates as rupees per square foot and differentiates by station, area, building type and floor.
Can a department exceed the notified rate?
The memorandum allows a 5% margin above the notified rates where necessary. Cases proposed beyond the prescribed enhanced rate are to be referred to Finance Division after completing the required formalities.
Is an additional amount allowed for centrally air-conditioned high-rise buildings?
Yes. The memorandum allows 25% extra rent for high-rise centrally air-conditioned buildings in all cities.
Do these rates apply to buildings owned by Public Sector Entities?
Yes. The memorandum states that the rates also apply to hiring or lending of buildings owned by Public Sector Entities.
What happens to rent increases for buildings already under lease?
Cases qualifying for an increase on expiry of the lease are to be processed and decided in accordance with the prevailing instructions of the Government.
Related Guidance
- Hiring Of Private Properties For Office Accomodation By the Federal Government — related Finance Division instructions on prior approval for private office leases.
- General Financial Rules Volume II: Appendices And Financial Powers — additional government financial and property-management references.
Download the Original Memorandum
Download the 13 December 2024 Office Memorandum (PDF).
Official Ministry of Housing and Works copy: Revision of Hiring Rates for Office Accommodation (PDF).