Interesting situation: investment in BT phase-8 or DHA -4?

An interesting situation is being developed here. As i wrote here recently that dha acquired 3,500 kanal land from malik riaz, the approx location is in front of bt sector a and l, both sides of sawan river.

Now dha-4, a 10 marla, is more expensive than a 10 marla in sector l?. For making home and living, of course, bt is better than this part of dha-4 but for investment, it is a demanding question now!

A lot of people think that dha is safer and tension-free than bt but we know that valley gave a bad face to dha and keeping giving till they deliver some but dha--4 has been quite a success story, at least, block a,c,d.

Dha is keeping demanding their valley money but mr is skillfully keeping giving them land, first it was garden city ( which is now in shadows, though) and most recently, well not most recent but the thing was going on for quite some time, this 3,500 kanal.

Having askari, gulshan abad, adiala etc connected to this land, it is almost sure that the unfinished bridge at swan river near bt phase-8 block a will get attention of dha-4, has to be as it will be a money making machine for dha-4 to pour money to valley as well.

We all know that now valley development is fast and a big amount of earth moving machinery has already been deployed recently in valley/dha extension, it is evident that dha wants to deliver in actual sense now!

Mr better be bucked up to deliver the forgotten block in phase-8 and speed up his “ theme stuff” otherwise he is likely to add more pressures to his credit as story is taking a new twist all around his bt phase-8!

Sometimes i feel Bahria management wants to keep the prices of Phase-8 low due to unknown reason, may be my assessment is wrong. MR has done nothing in last three years to support its developed project i.e. Phase-8 which is against his nature and despite of starting any mega project here to boost the prices, he launched Orchard plots at low prices which everybody knows would further weaken the buyer’s confidence. A big push is overdue in Phase-8 as DHA prices in its surrounding are rising continuously. When it would happen, nobody knows but one thing is for sure, Bahria prices are much lesser in comparison to the facilities available. Things cant move in such manner for long time, market will ultimately adjust itself.

Dear Abdul Qayyum,

I am new to property world but a reader and learner from posts of many experienced people like you.

You have given my inside news but nothing seems materialising other than some cosmetic measures. What is stopping the bras to recover the money if MR hold something in Pakistan which i doubt he has then not many option left with other than winding up his business and people linked to MR.

Same situation seems to be true in case of Hammad Arshad of Eden in Lahore where he has swindled a big money from DHA in DHA City. There is no movement on that case as well.

Looks like looters and grabbers are at large in paradise country of beloved land Pakistan.

Sorry!

You have given many inside news

You’re right Abdul Qayyum sahib! We’re seeing too much inaction from Malik Riaz, most think that that’s how he is choosing to go but I wonder if he doesn’t have the capability any more … Although he’s active in Sindh but just not here in RWP/ISLD … What do you guys think?

The more we think the more we get convinced that MR manipulates to reduce prices and buy files only to sell when He wanted to sell. People are saying that phase-8 will revive with Pindi bypass or Pindi ring road and thats what He is trying to keep prices low!

This does not sound right to me, though!

There are good chances that Nawaz will make district chairman with the help of pindi's well known and "well recognised" figure , Taji Khokhar & group. If that does happen then sky is the limit for MR. Mr Taji been his man all along.

He could make phase-8 as the hottest part among all projects in the twin cities. But here also an irritant....Mr Taji, Gujrat chaoudries, Haji Nawaz Khokhar did a lot for MR being glued together but Ch Nisaar is a determined bad guy for this group!

Let's see who wins...I would rather district chairman as Nawaz is a road guy and He has to win next elections.

This practice of buying and selling files from the developer himself has been tried also in DHA-2. We know that most of the sold units of "World Trade Center" have been bought back by WTC for later selling!

@Abdul Qayyum. There is no doubt about the games that MR plays in his projects. Even then phase 8 is a special case. The size of this project is so huge that if prices were to go as high as say DHA, it would take 15-20 years to get decently populated. On the other hand, the current low price environment has driven out most of the speculators who are now busy in inflating DHA projects.

This has allowed genuine buyers to slowly gain a good entry in the market and right now, phase 8 is seeing a lot of house construction activity. Genuine buyers have seen in 2013 how the bahria market can quickly slip out of hand, so now whoever can manage is trying to get his plot for construction. Once it becomes decently populated enough, rest assured, MR will be back.

Well said Awais Sahab

Thoughtful approach!

Let us hope He comes back as you see him

Also I agree with the comment above that DHA will see a correction.

Mohammad Sahab

You are right that if brass wanted, He could be brought under reins but some brass itself was a part of this filthy deal, moreover those generals are not in the country!

Army seems to solve this matter silently and the fact that army respect is at highest and they are busy to straighten the country matters, they are handling it in their own way, just like they are handling our stupid mindless politicians.

Back to phase-8. All what you guys said above is well-taken, but one question still remains unanswered, why is Malik Riaz not developing the remaining sectors of phase-8 and why is it that phase-8 extension and phase-9, files of which have been sold long long time ago are not anywhere even on the horizons, not even a drama-type talk about them, as if they never were part of any plan or project. I am not sure how you guys perceive it or Malik Riaz is viewing this, but in my humble opinion this is affecting his credibility badly along with enclave-2. Does he think now that he is bigger than such “petty” matters, which I hope he is smart enough not to think as he’s gone up from below; or is it that he is not able to do it for whatever reason. Lastly, could he be gaining anything by delaying like this which is at least beyond my capability to comprehend. Buying back files at lower price to sell back later at higher price doesn’t make sense to me for someone at the level of Malik Riaz, especially if it is going to cost him his business name and reputation. Thoughts?

Musafar Sahab

When uninterrupted billions are flowing into the accounts, reputation is hardly a concern besides who else in our country cares about reputation?

Do our courts, our leaders, our organizations, our learned Islamic ulamaas, our media mind this?

So “ ye garam garam reputation ab Pakistan main naheen miltee”, sir!

MR has found many other venues to mint money from, development is a difficult job and He is having litigations, legal, possession problems all around, so phase-8/9 eventually will go to DHA with a profit sharing sort of deals, where there could be win win situation while possession/development headache will be on DHA. It has already been started…

Phass-8/9 poor souls would only be blessed with this " Theme veem" stuff. DHA will be player now....it seems, sir!

Abdul Qayyum sahib! Your analysis makes sense, but how long can he hand over to DHA like that and DHA is also taking only partially developed areas or areas which has a name already, what will he do once they finish. This is a short term strategy to pay back the money he took from Valley and face the situation currently with Ch. Nisar in power and GHQ headed by Gen. Raheel. This strategy can’t have longevity. Development is headache but that’s where money is and that’s what made Malik Riaz who he is today. He is minting money in Sindh because of favourable environment but I can’t believe he’ll forget RWP/Isld for ever, I think he is buying time till Ch. Nisar and Gen. Raheel are not in power any more, although only Allah knows whom they change to, when and what is the situation then … Malik Riaz business model standing on corruption and ghunda gardi is not a stable model anyway even his end-product is the best in the land. Times only will tell what happens but I personally don’t think investing in bahria’s files is a smart decision or for that matter in any files given our country’s situation with rule of law and stability, only areas with possession and some infrastructure should be bought

I visited bahria head office today . Trust me wahan paon rakhne ki bhi jagha ni thi … So much sale purchase was going on

Musafar Sahab

Your Realestate Bzness intellect is far better than mine. I only make 2 plus 2 four.

I only know one thing that BT earth moving machinery is more busy in valley than in phase-8. Heavy pressure of GHQ DHA wing.

Short term or long term, MR is avoiding giving money to DHA rather He is trying to give them problematic land and all DHA wanted at present is DHA valley’s some blocks handover. DHA know they are not capable doing faster and MR does know

Asad Sahab:

Nothing against phase-8, it is best place for living as whatever is done here shall sure suffice for a nice and aesthetic living.

Phase/8 can support itself with in house revenues. A little is required additional even if MR runs away or made to run away from the rest of phase/8. The developed part will keep increasing in value.

Today i received letter from Bahria Town to pay additional development charges (75000 rupees in installments) for my 5-Marla plot in M-block Phase-8. My brother received similar letter in 2011 as he had plot in F1 block, he paid those charges on time and got the possession in 2012-13. Usually, BT send such letters for only those blocks where development is about to complete. So, i assume that M-block possession would be given in 2016. Lets see if my assessment is correct or not

@abdul qayum bhai transfer rate of a house in phase 8 varies from 1.2 lacks to 1.9 lacks . If we take 1.7 lacks as an average and can guess 300 houses monthly get transfered. It makes almost 6 crore RS.

Add 6 crore from sale purchase of plots

add another 6 crore as maintenance charges from each house which ranges from 1500 to 2500.

This is just a guess work. MR is still earning alot from phase 8. Not even half of the total estimate would be given to its employes. Phase 8 is self sufficient for itself

You got to be right Asad Bhai. I think also in the same way you do.

Phase-8 future is shining from all aspects. I Personally think within 5 year time, phase-8 will be a commercial hub and may superseed saddar. DHA-2 will be equally good but is smaller then phase-8 and valley, gulberg would take longer to reach phase-8 level even being closer to capital.

Abdul Qayyum sahib! We’re students here, looking forward to people like yourself hoping to learn something, and sometimes give an opinion trying to widen the discussion, bring in more relevant aspects and keep it going. Your knowledge and ideas on the subject are brilliant, only time can throw further light. I do wish that other respected experts like Nadeem bhai, Sayeein, B.R. Malik, Mr. Khan, Saadi, Isloo and others were not so selective and graced the discussion here too sometimes … May Allah bless you

Thanks Musafar Sahab

We are learner here and expect good contribution from the learned member of this forum.

Allah Bless all of us. Aameen

How about B.T orchaids which is near block-F, any present and future thoughts about it?