Citi Pharma Limited has secured regulatory approval from the Securities and Exchange Commission of Pakistan for the reservation of the name CITI REIT Management Company Limited, paving the way for the establishment of a wholly owned subsidiary focused on real estate investment trust operations.
In a public announcement submitted to the Pakistan Stock Exchange, the company confirmed that the approval enables it to proceed with the incorporation of the REIT management entity and begin the formal regulatory process required for forming and launching a Real Estate Investment Trust. The initiative remains subject to obtaining the necessary licenses and regulatory clearances under applicable frameworks.
The proposed structure outlines the development of three real estate projects under the REIT platform. The first project is planned at Hali Road in Lahore. A second development is proposed on company-owned land located at Khayaban-e-Zafar, also in Lahore. The third project is expected to be undertaken near Islamabad International Airport, positioning the portfolio across high-potential urban and peri-urban corridors.
According to the disclosure, Citi Pharma intends to contribute land valued at approximately Rs7 billion as its investment into the proposed REIT management company. The valuation is expected to be realised progressively as each project moves from planning to execution. This phased monetisation strategy aligns with standard REIT development cycles, where asset value crystallises as construction milestones and leasing benchmarks are achieved.
Under the planned arrangement, Citi Pharma will be entitled to receive its proportionate share of annual dividends generated by the REIT management company. In addition to dividend income, the company stands to benefit from the appreciation and structured valuation of the land assets injected into the REIT vehicle.
The move signals a strategic diversification for Citi Pharma, traditionally known for its pharmaceutical operations, into Pakistan’s evolving real estate investment landscape. By establishing a dedicated REIT management subsidiary, the company positions itself within a regulated structure designed to facilitate pooled investment in income-generating and development-oriented property assets.
The REIT framework in Pakistan operates under the oversight of the SECP, requiring dedicated management companies to secure approvals prior to launching schemes. The reservation of the corporate name marks an early regulatory milestone, allowing Citi Pharma to advance toward incorporation and subsequent licensing stages. Further announcements are expected as the process unfolds, including updates on regulatory approvals, scheme structuring, and project execution timelines.
Market observers note that land-backed REIT structures can offer companies an avenue to unlock embedded asset value while providing investors with exposure to real estate returns within a formalised governance and disclosure environment. The proposed projects in Lahore and near Islamabad International Airport could potentially tap into demand for mixed-use developments, commercial spaces, or logistics-linked real estate, depending on final project configurations.
The estimated Rs7 billion land contribution underscores the scale of the planned initiative and suggests a sizable entry into the domestic REIT segment. As the incorporation, licensing, and launch processes move forward, stakeholders will be monitoring how Citi Pharma structures its offering and integrates the real estate vertical within its broader corporate strategy.
The company has indicated that additional disclosures will be made as regulatory milestones are achieved and as the REIT management company progresses toward operational readiness.
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