Punjab proposes lower commercial rates to boost real estate

Lahore: The Punjab government has proposed lowering commercial rates and DC values, which is expected to invigorate the real estate sector and benefit business owners. Authorities indicated that approval and implementation of the plan will depend on cabinet consent. The decision could significantly impact development authorities, including LDA, which relies heavily on commercial fee revenues—80% of its new budget comes from this source. In the current fiscal year, LDA has already collected over Rs. 13 billion out of its Rs. 14 billion target. If the proposal is approved, real estate investors and businesses are likely to gain the most from reduced fees, while development authorities may face revenue shortfalls.