ICON HOUSING COLONY, SIALKOT

(PROPOSED)

PRESENTED BY:

ICON DEVELOPERS

Our mission is to transform the housing environment of the Sialkot and match it to the most modern, convenient and sophisticated environment found anywhere in Pakistan.
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The objective of the project is to construct state of the art residential houses in an aesthetically appealing and architecturally functional living environment.

SPONSORS OF THE PROJECT ARCHITECTURAL CONSULTANTS CONSTRUCTION COMPANIES FINANCIAL AND MANAGEMENT CONSULTANT PROJECT DETAILS
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Icon developer is a group of following highly motivated, forward looking and performance oriented businessmen having diversified experience of business management.

Mr. Jamil Choudhry Mr. Bilal Haider Agha Mr. Nadeem Anwar Quershi
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Mr. Jamil Choudhrys is the Chairman of the Saviour Group of Companies which is producing top range of sports ware in Pakistan. He is Director in the MGI Group and Teamwork Inc., companies incorporated under the corporate law of United States of America. In addition to the above, he is also on the board of directors of Sialkot International Airport Limited and Capital Insurance Company Limited. Mr. Jamil is also an active member of different business and social organizations of the City of Sialkot. Mr. Bilal Haider Agha, a prominent name in the business community of the Sialkot city. He is having an extensive business experience of 22 years. He is CEO of Technimen (Pvt.) Limited, exporting world class surgical instruments to all the corners of the world. Mr. Agha is on the board of directors of Sialkot International Airport Limited and Capital Insurance Company Limited. He is also involved in the operations of Dry Port Trust and Port Services Limited, Sambrial as a Trustee. In addition to this, his presence on different forums of educational, social welfare and charitable nature shows his commitment to contribute towards the betterment and well being of the community. Mr.Nadeem Anwer Quershi, CEO of Sigma Shoes (Pvt.) Limited, manufacturing world class leather products from last twenty years and exporting them the to the different parts of the world. Sigma Shoes (Pvt.) Limited also hold the Export Merit Trophy from Federation of Pakistan Chamber of Commerce and Industry in its category of business. He is also director of Capital Insurance Company Limited and Trustee in the Dry Port Trust and Port Services Limited, Sambrial. In addition to the business activities, he is holding different honorary positions in the social sector organizations of Sialkot. 6

The main responsibilities of architectural consultants will include the development of preliminary and detailed design, preparation of specifications & bills of quantities (BOQs), pre qualifications of the contractors, calling for bids, assisting in technical and financial analysis, scrutiny of tenders, checking of materials utilized and inspection of the construction work at all the stages of the project. To deliver the best quality in timely manner, Icon developers are planning to hire the services of the reputable national and multinational architectural consultants.

For the construction of durable and quality infrastructure and houses, reputable contracting firms services will be hired to perform their services in a timely manner.

Nouman Razaq & Co., Chartered Accountants, have been hired to provide assistance in the areas of financial and the risk management of the project. Mr. Nouman Razaq Khan, an Associate of the Institute of Chartered Accountants of Pakistan having working experience of more than eight years on the top management positions in local and international reputable organizations. His areas of expertise include accounting, financial & general management, taxation, risk management, human resource management and information system development.

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Site location Proposed Master Plan Land usage Salient features Proposed construction plan Project SWOT analysis Marketing strategy Project timeline Financial proposal
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The proposed land for the project is situated in Sialkot Cantt on Mudassar Shaheed Road with the available area of 67.50 acre approximately. The said location is ideally suitable for the development of housing society as all the basic civic infrastructure is available within five to ten minutes drive.

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Plot size in marlas

No. of Plots

Description Residential Residential Residential Commercial Mosque & Community Centre Roads & Parks Total

Total Marlas 2,870 3,220 2,000 204 320 2,186 10,800

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10 20 40 6 160

287 161 50 34 2

Roads & Parks 20%

10 Marlas 27%

Mosque & CC 3% Commercial 2%

40 Marlas 19% 20 Marlas 29% 14

Minimum 40 wide carpeted roads Mosque Underground electricity Sui Gas Telephone Indoor sports gymnasium Indoor swimming pool Community Centre

Security System Health care facility Transport Solid waste management Modern Commercial Center Landscaping Green belt and footpaths Independent cable network Independent water supply
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10 Marlas
2700sft Covered area 3 Bed room, DD, Living, Kitchen, One servant room, Terrace & Lawn

20 Marals
4000sft Covered area 4 Bed room, DD, Living, Two kitchens, Two servant rooms, Terrace & Lawn

40 Marals
5500sft Covered area 5 Bed room, DD, Two Livings, Two kitchens, Three servant rooms, Terrace & Lawn

Commercial
2200sft Covered area Marble flooring, Glass front, basement Bath room, Kitchen, Guard room
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Strengths
Ideally secure and peaceful area for housing Trustworthiness and goodwill of sponsors Modern and futuristic designs

Weaknesses
Higher price tag Title of land

Opportunities
Growing real estate market Citys maiden project of it nature Lack of proper housing facilities in the city

Threats
Other similar projects Delay in the completion due to unforeseen Economic downturn & negative impact of geo political environment
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The marketing plan is focused and depicts the vision on adding value to the target market segments. Icon Housing Society is located in Sialkot Cantonment which is one of the best residential areas of the city. The Sialkot Cantonment area bears much more peaceful environment, beautiful and secure surroundings. The said project will be minutes away from the central places of the city. The project has some competitive advantages that will ensure the success of this project. Firstly, the facilities and amenities which will be offered by the project have not been offered by any other project in the city. Secondly, the upward trend in the property market and demand situation in Sialkot due to improved economic scenario and huge influx of remittances by overseas Pakistanis. Thirdly, a separate maintenance ad security company will also be formed which will be responsible for the smooth running and maintenance of the project. The target market for this project is the city and surroundings of Sialkot having population of around three million people. Marketing of houses shall be primarily be focused on to the exporters community of the city, who are desperately looking for better living conditions and environment . The main marketing tools of the project will include media advertisement, personal contacts of sponsors with the exporter community and arranging on site events/festivities at the time of launching the project. 18

S.NO. 1 2 3 4 5 6 7 8 9 10 11 12

STAGE DESCRIPTION Completion of designing, documentation & Contractors pre-qualification Contract signing with Contractors & start of civil work Completion of standard house designs Initial marketing and launching of project Construction of first phase of houses Completion of land development work Construction of second phase of houses Completion of first phase of houses Construction of third phase of houses Completion of second phase of houses Completion of third phase of houses Completion of title transfers of all the units

MONTHS 4th month 6th month 6th month 7th month 11th month 15th month 18th month 21th month 24th month 28th month 35th month 36th month

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Project Financial Model Responsibilities Financial plan Sales rate per unit Estimated Cost per unit Other expenses Joint Venture summary Mode of payments Underlying assumptions
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The financial proposal is based on joint venture collaboration with the concept of project sharing partnership on equal basis. A Special Purpose Vehicle Company (SPV) will specifically be incorporated for the execution of the project. All the operations and management including legal and financial matters pertaining to the development of the project shall be handled through the SPV. The board of the SPV will consist of: 4 Directors from the Investors/ Developers. 2 Directors from the Land Owners The decision of the Board shall be final for the proper execution of the project.
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ICON DEVELOPERS
Architectural & Engineering design development Contract management & documentation work Execution & construction management of the project Arrangement of principal capital & running financing from its own sources Marketing & Sale of the project Efficient project management

PAKISTAN ARMY
Arrangement of the transfer of land in the name of buyers after receiving full payment Removal of any potential impediment from regulatory bodies Authorization of SPV for the launching, marketing and development of the project

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Rupees
Net Sales value of residential and commercial units
Cost of the land payable to the owner of the land Cost of land development including Mosque & CC Construction cost of residential and commercial units Administration, Selling & financial expenses

4,482,750,000
540,000,000 373,230,000 1,520,610,000 582,757,500

Total cost of the project - estimated

3,016,597,500

Net Profit before tax available for distribution

1,466,152,500
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DESCRIPTION Residential unit of 10 Marals Residential unit of 20 Marals Residential unit of 40 Marals Commercial unit of 6 Marlas

RUPEES 5,970,000 10,500,000 18,150,000 5,040,000

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DESCRIPTION Residential unit of 10 Marals Residential unit of 20 Marals Residential unit of 40 Marals Commercial unit of 6 Marlas

RUPEES 2,160,000 3,600,000 5,225,000 1,760,000

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EXPENSE DESCRIPTION

%AGE TO SALES

RUPEES

Administrative expenses Selling & Marketing expenses Financial expenses

3% 5% 5%

134,482,500 224,137,500 224,137,500

Total

582,757,500

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This Joint Venture will be based on the profit sharing on equal basis. Tax implications are not considered and will be worked-out upon the finalization of the SPV structure.

Rupees
Net Profit before tax available for distribution Pre Tax share of 50% for the land owners Pre Tax share of 50% for the Investors/Developers 1,466,152,500 733,076,250 733,076,250

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The initial value of sellable land of 8,294 marlas has been estimated at Rs.65,107 per marla or Rs.540.000 million for the whole land. Rs.27.000 million will be paid to the landowners upon signing of agreement. 20% Of the gross receipts from sales will be paid to the land owner on a quarterly basis starting from the launch of the project till the full payment of the balance amount of Rs.513.000 million. The profit will be distributed among the parties at the successful completion of the project. Note: The title of land shall be transferred in favor of SPV upon the completion of payment of the assessed amount of Rs.540.000 million to the owner.
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Booking will start from the seventh month. The total project will be booked in the 24 months from the inception of the marketing. The project will be completed in thirty six months including marketing period. Payment schedule for customers: Down Payment 20% of sales price First quarterly installment 35% of sales price Second quarterly Installments 35% of sales price Balance payment at possession 10% of sales price Title will be transferred to the customers after receiving full payment. No default in the payments has been accounted for keeping in view the hike in prices of the houses. Cost of inflation, contingencies and unforeseen has already been accounted for in the relevant expenses. The developer is intending to invest in the first year without keeping any reliance on pre sales. Any improvement in this scenario, will reduce the financial cost and increase the profit of the project.
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