The federal government has decided in principle to compensate buyers of One Constitution Avenue by refunding the amounts they originally paid, as part of efforts to resolve a long-running legal dispute.
A high-level committee formed on the instructions of Shehbaz Sharif is reviewing the matter and will propose a final settlement. The panel is headed by Azam Nazeer Tarar and includes Talal Chaudhry along with senior officials from relevant divisions.
Interim Relief for Residents
Authorities, including the Capital Development Authority, have been directed to avoid any enforcement action until a final decision is made.
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Dispute Background
The case stems from a 2005 land lease originally issued for a hotel project, which later faced payment defaults and prolonged litigation. The matter was escalated to the Supreme Court of Pakistan, which ordered financial recovery. The lease was eventually cancelled in 2023 after the developer failed to clear outstanding dues.
Despite restrictions, residential apartments were later constructed on the disputed land and sold to buyers.
Resolution Effort
The government’s decision to refund buyers marks a shift toward resolving the dispute and addressing the concerns of affected residents and investors.


