LAHORE: Pakistan Railways has raised its annual lease revenue from 125 commercial godowns at Badami Bagh, Lahore, to Rs331.08 million following the completion of a competitive auction process.
According to a Pakistan Railways spokesperson, the department previously earned Rs72.2 million annually from the properties.
The new lease arrangement represents a 358.6 per cent increase in annual revenue.
Pakistan Railways will also receive Rs277.72 million as an upfront one-year security deposit.
As a result, total cash receipts from the godowns during the first year, including lease payments and the security deposit, will reach Rs608.80 million.
The department said this represented a 743.5 per cent increase over the previous year’s revenue.
The auction was carried out under directives aimed at improving the commercial use of railway assets and increasing revenue through transparent and competitive leasing.
Railways Minister Muhammad Hanif Abbasi said transparency and national interest remained key priorities in the management of railway assets.
He said the effective use of commercial properties would help strengthen revenue generation for the national exchequer.
Abbasi also congratulated the railway administration for conducting the auction in a professional manner.