IHC moves CDA for reply on One Constitution Avenue residents’ appeals

The Islamabad High Court (IHC) on Monday issued notices to the Capital Development Authority (CDA) on intra-court appeals filed by 20 sub-lessees of the One Constitution Avenue project, seeking protection of their possession rights following the cancellation of the project’s lease.

A division bench comprising Justice Muhammad Azam Khan and Justice Raja Inaam Ameen Minhas directed the CDA to submit its reply by Wednesday while hearing the appeals.

The appellants include former Pakistan Cricket Board chairman Ehsan Mani and former air chief Mujahid Anwar Khan.

During the hearing, counsel for the apartment owners argued that paragraph 30 of a recent single-bench judgment had affected their rights, despite their possession and occupation being acknowledged.

The court was told that residential towers B and C were constructed according to the approved layout plan, and that after the lease cancellation in 2023, the CDA appointed its Director of Estates as administrator of the project.

It was further submitted that a residents’ management committee, formed under CDA supervision, was handling day-to-day affairs of the towers and that occupants were residing there under an arrangement approved by the authority.

The petitioners have sought declaration of their sub-lease rights as valid and enforceable, a restraint on CDA interference, and nullification of paragraph 30 of the earlier judgment.

Justice Azam Khan noted that notices were being issued and directed the CDA to appear with preparation on Wednesday.

Advocate Ali Raza, representing the residents, urged interim protection, stating that around 200 residents had paid for the apartments and could face eviction attempts after Eid without court relief. He also referred to a prime minister–formed committee reviewing the matter.

The bench observed during proceedings that the matter involved sensitive possession concerns, while counsel maintained that residents only sought protection of their homes and investments.

The dispute originates from a 2005 CDA lease to M/s BNP (Pvt) Limited for a five-star hotel project later converted into the One Constitution Avenue residential and commercial complex in Islamabad.

The lease was first cancelled in 2016, restored by the Supreme Court in 2019 subject to Rs17.5 billion in instalments backed by bank guarantees, and later terminated again over alleged non-compliance with payment and guarantee conditions.

Earlier this month, the IHC upheld CDA’s cancellation of the lease, ruling that apartment buyers did not acquire independent ownership rights without a valid underlying developer lease and that their remedies lie against the builder.

Following the decision, residents began voluntarily vacating apartments under police supervision as authorities took control of the complex.