
ISLAMABAD: The Capital Development Authority (CDA) has received a strong response from construction firms after relaxing stringent criteria for awarding road contracts, with 13 companies submitting bids for a Rs3.58 billion project to extend Margalla Avenue and link it to the Peshawar Motorway (M-1).
Read More: CDA approves PC-I of Margalla Avenue Extension project from N-5
The project also includes the construction of a cloverleaf interchange on GT Road. Technical bids were opened on Monday, while financial bids will be unveiled in the coming days after evaluation. Sources expect healthy competition to yield competitive rates.
The Capital Development Authority (CDA) has officially clarified that Islamabad’s new international cricket stadium will be constructed near Sector D-12. Addressing environmental concerns, officials confirmed the site falls within Zone III, remaining outside the protected… pic.twitter.com/Mr2OFfWpDJ
— Islamabad Now (@IslamabadNowpk) January 26, 2026
Among the bidders are joint ventures of Habib Construction Services and ZKB, Maksons, Elum KDC JV, Ikan Sarco JV, New Khan Builders, NPI Construction Engineering, TTC-Zarrar JV, Umer Jan Pro Built JV, Wintoos Builders, Asad Contractors, Fast Track Construction, Highways Construction, and Kamran Kundi & Co.
The CDA project spans 2.7 kilometres within Islamabad, while the National Highway Authority (NHA) is simultaneously developing a 2.5-kilometre portion in Rawalpindi, linking it to the M-1 near AWT Housing Society. NHA awarded this section, valued at Rs4.1 billion, to the National Logistics Cell (NLC).
Once construction begins, the CDA expects to complete the Margalla Avenue extension within eight months. The project, long under discussion for five years, had faced delays under previous governments. The plan includes a six-lane road with two-lane service roads and a cloverleaf interchange, offering commuters an alternative route between GT Road (N-5) and Islamabad.
Read More: CDA reviews progress on key Islamabad uplift projects
CDA officials said that maximum utility from Margalla Avenue would only be achieved once the road is connected to the M-1. Pending work includes fencing and acquisition of remaining areas along the alignment. Meanwhile, CDA plans to invite bids soon for a Kashmir Chowk underpass on Murree Road near the Islamabad Club.