Leasing of Pakistan Railway Land for Mix-Use Commercial Development in Islamabad

This tender invites bids for leasing Pakistan Railway land in Islamabad for mix-use commercial development including shopping plazas, corporate offices, hotels, healthcare facilities, 3-S dealership outlets, and retail outlets. The Railway Estate Development and Marketing Company (REDAMCO) is offering multiple sites with detailed terms for leasehold rights under a 21-year term, extendable for another 21 years. The project aims to unlock commercial value from railway land while ensuring public interest, safety, and sustainable revenue for Pakistan Railways. The successful bidder will be responsible for the design, financing, construction, operation, and maintenance of the leased site at their own risk and cost. The scope includes obtaining all necessary licenses, permits, and approvals from relevant authorities including OGRA and local government bodies. The site is located in Islamabad, requiring bidders to prepare detailed development plans and manage engineering challenges related to urban commercial construction. The lease includes an 8% compound annual increase in rent, with a 24-month grace period for permissions and construction. Bidders must be registered with tax authorities, active taxpayers, and not blacklisted. They must submit a bid security and tender processing fee, and meet minimum technical and financial criteria including experience in commercial and hospitality projects. The evaluation will be based on technical and financial bids, with the highest combined bid of upfront commitment fee and discounted annual rentals over 21 years being selected. Submission deadline is 02:00 PM on 27th April 2026, with technical bids opening at 02:30 PM the same day at REDAMCO's corporate office in Islamabad. Bids must be submitted in sealed envelopes following the Single Stage Two Envelope procedure. The physical address for submission is 1st Floor, Corporate Office, Service Road South, Sector I-11/1, Islamabad. Pro-Tip: Ensure strict compliance with bid security and tender processing fee requirements, as bids missing these will be rejected outright. Also, carefully review the integrity pact and affidavit requirements to avoid disqualification. Check the newspaper ad for any specific stamp duty or tax obligations that are often overlooked.