Govt halts action on One Constitution Avenue, forms high-level committee after lease dispute escalates

Prime Minister Shehbaz Sharif on Friday formed a high-level committee to review the dispute surrounding One Constitution Avenue, a high-rise residential complex in the federal capital, while also directing authorities to halt any immediate action.

The decision came a day after the Islamabad High Court (IHC) upheld the Capital Development Authority’s (CDA) move to cancel the building’s lease over alleged payment defaults by the company behind the project. The development triggered reports of eviction notices and a visible police presence at the site.

According to Radio Pakistan, the committee will be headed by Law Minister Azam Nazeer Tarar and include Minister of State for Interior Talal Chaudhry, the cabinet secretary, and the commerce secretary. It has been tasked with reviewing all aspects of the matter and submitting a report to the prime minister within one week.

Officials said all affected parties will be given an opportunity to present their position before the committee, which has been instructed to hear stakeholders without discrimination. Until a final decision is taken, the CDA and Islamabad administration have been directed not to take further action.

The dispute intensified after residents began vacating apartments on a voluntary basis earlier in the day, with belongings being moved out under heavy police presence. Videos circulating on social media showed law enforcement personnel inside the building, while some reports claimed late-night eviction operations, including forced entry into apartments.

Several prominent individuals are among the apartment owners, including PTI founder Imran Khan, Chaudhry Aitzaz Ahsan, Shandana Gulzar Aurangzeb, former minister Burjees Tahir, and former caretaker prime minister Nasirul Mulk.

Former vice chancellor of the Pakistan Institute of Development Economics, Nadeem Haque, who resides in the building, said armed police arrived at his residence at around 1am without presenting court orders or explanation.

PPP leader Nadeem Afzal Chan also posted footage of heavy police deployment at the site, while journalist Nusrat Javeed warned that investors in large residential towers in Islamabad may need to reassess risks.

Separately, Minister of State for Interior Talal Chaudhry defended the CDA’s actions, saying the authority had issued repeated notices over the years and ultimately established “state writ” against a company that allegedly evaded accountability for two decades.

He said the firm had originally been awarded a lease worth Rs4.8 billion for a five-star hotel and serviced apartments but failed to complete payments, including a Rs3.5 billion loan from the Bank of Punjab, which was later linked to alleged mortgage irregularities and a NAB inquiry.

Chaudhry further alleged that the project violated lease terms by constructing around 250 residential apartments instead of the approved commercial structure, leading to lease cancellation and legal proceedings that have moved through multiple courts, including restoration and conditional rulings by the Supreme Court.

He added that out of 253 apartments, 184 are currently vacant while 69 are partially or fully occupied, as the case continues to unfold under judicial and administrative review.