Fazaia Housing Scheme is a reliable real estate project in Karachi that offers apartments and bungalows. Experts suggest that apartments here have had a mixed response from investors, but bungalows have fared much better. Let’s check out why.
The project has two sites where development work is currently underway. Fazaia Housing Scheme Phase 1 is located along Karachi Northern Bypass near Gulshan-e-Maymar, and Phase 2 can be found 4-5 kilometres down the same road. The fact that it is very much within the main city is a definite advantage that the society enjoys.
Relatively low demand for apartments
Fazaia Housing Scheme Karachi has many things going for itself. The developer is a trusted name, associated with the Pakistan Air Force. Construction work on apartment buildings has just started. However, despite the many factors that should have made these apartments a hot commodity, demand has not been as high as it could be.
According to Shariq Iqbal of Iqbal Hassan Associates, one possible explanation for this low demand is that the developer has offered far too many apartments. The rates of these units never really took off and investors were cautious to make any big bets.
Upsurge in bungalow prices
The developer offered bungalows back in February this year, and got a good response from investors. Two ballots were held in May and August for 1,600 units, and since then the prices of these units have been going up.
The initial prices of bungalows here were:
- 125 sq. yd. double-storey bungalow – PKR 6,642,000
- 275 sq. yd. single-storey bungalows – PKR 9,204,500
- 275 sq. yd. double-storey bungalows – PKR 12,455,800
The payment plan had 30 bi-monthly instalments of PKR 208,000 to facilitate buyers.
Now applicants who were successful in the balloting process, have been selling these bungalows with some asking profit on top of the bi-monthly payments they have made so far.
The going asking profit
According to price trends, on a 125 sq. yd. bungalow, the asking profit is around PKR 450,000 – PKR 600,000, while on a 275 sq. yd. single-storey bungalow, it is around PKR 1,300,000 – PKR 1,600,000. Additionally, PKR 700,000 – 900,000 is the asking profit on a 275 sq. yd. double-storey bungalow.
Advice for investors
According to Shariq Iqbal of Iqbal Hassan Associates, Fazaia Bungalows are a fitting option for short- and long-term investments. Prices here have been observed to be steadily going up since the ballot, and experts suggest that they will continue to do so.
In the long run, the biggest factor that will give a boost to Fazaia Karachi is its proximity to the M-10 Motorway, commonly referred to as the Karachi Northern Bypass. Many important developments are planned along this road, according to the Karachi Strategic Master Plan 2020, including a transport and trade centre. This could make the real estate of this area much more valuable.
An option for homebuyers
The contract for construction of Fazaia Housing Scheme was signed last year with a Chinese construction company, Shaanxi Foreign Economic & Trade Industrial Group Co. Ltd. (SFETIC). Fazaia Housing Scheme envisages a top-notch living experience for its residents. Community clubs, educational institutes, medical facilities and expansive green spaces are all part of the development plan. Therefore, Fazaia Housing Scheme Karachi is expected to be a good place to live.
That is all we had from Fazaia Housing Scheme Karachi. Do you think the society has a better future ahead? Have you say in the comments section below.