The Federal Constitutional Court (FCC) on Tuesday lifted the ban on converting residential plots into commercial and recreational use in Karachi, offering significant relief to builders, developers, and the real estate sector.
A bench headed by Justice Aamer Farooq disposed of the long-running case related to illegal constructions in Karachi and withdrew earlier restrictions on changing the status of residential plots for commercial activities.
However, the court made it clear that amenity plots such as parks, hospitals, schools, mosques, playgrounds, and graveyards cannot be converted into commercial or residential properties under any circumstances.
Court Refuses to Interfere in SBCA Affairs
During the hearing, Justice Aamer Farooq observed that the court would not interfere in the operational matters of institutions like the Sindh Building Control Authority.
He stated that if any institution violates the law, citizens and affected parties can approach the relevant legal forum or the high court for relief.
“If any institution violates the law, the relevant forum or the high court can be approached,” the judge remarked during proceedings.
Justice Farooq further said that parties dissatisfied with high court decisions also retain the right to file appeals.
FCC Emphasizes Enforcement of Existing Laws
The court noted that suo motu powers no longer exist in their previous form and stressed that existing laws already provide mechanisms to address illegal constructions and building regulation violations.
“We expect town planning institutions to work in good faith,” Justice Farooq stated.
The bench also clarified that earlier Supreme Court observations regarding plot category conversions would not obstruct the functioning of relevant authorities responsible for urban planning and approvals.
Meanwhile, Justice Arshad Hussain warned that officials violating the law would face legal consequences.
“Courts cannot make laws; they can only ensure their implementation,” Justice Aamer Farooq added.
Background of the Karachi Plot Conversion Dispute
The issue of commercial activities on residential plots has remained controversial in Karachi for years. Critics argued that unchecked commercialization damaged residential neighborhoods, worsened traffic congestion, and burdened civic infrastructure.
Last year, the Sindh Building Control Authority withdrew a notification that had permitted commercial activities on residential plots across Karachi.
The move came during proceedings in the Sindh High Court, where a petition had challenged the Sindh government’s decision to legalize commercial use of residential properties.
The petition was filed by Jamaat-e-Islami Karachi through City Council opposition leader Saifuddin Advocate along with nine town chairmen.
During the hearing, SBCA Director General Ishaq Khoro informed the court that the March 13 notification allowing commercial activities on residential plots had already been withdrawn.
After the submission, the Sindh High Court disposed of the petition.
Builders and Developers Expected to Benefit
The latest FCC decision is expected to benefit Karachi’s construction and real estate sectors, where developers have long sought flexibility in land usage policies.
Industry experts believe the ruling could increase commercial investments in residential areas, especially along major roads and densely populated neighborhoods where commercial demand remains high.
At the same time, urban planning experts warn that authorities must strictly protect amenity spaces and enforce zoning laws to prevent further pressure on Karachi’s already strained infrastructure.
The ruling is likely to trigger renewed debate between developers, city planners, and residents over the future of Karachi’s urban development policies.