Authorities have announced that a Development Index will be integrated into the next phase of commercial land guidance valuation, signaling a major shift toward more scientific and structured pricing methods. The Development Index will consider key parameters such as infrastructure availability, connectivity, civic amenities, and operational readiness. This approach aims to differentiate between high-potential, fully serviced areas and those that are still under development. By incorporating these factors, guidance values will more accurately reflect the true usability and investment attractiveness of commercial plots. This is expected to create a fairer, more transparent land valuation ecosystem.

The Development Index will be calculated using standardized metrics such as proximity to highways, availability of public transport, power and water supply reliability, and environmental clearance status. Zones scoring higher on the index will command premium guidance values, while areas with poor infrastructure support will be priced more conservatively. Authorities believe this move will incentivize better urban planning and faster completion of essential services in commercial corridors. Developers and landowners are being encouraged to improve infrastructure to gain favorable index scores and higher land valuations. Real estate analysts expect this methodology to bring more predictability and stability to commercial land markets.

This reform highlights a critical evolution toward performance-based commercial land valuations rather than speculative or blanket pricing models. It ensures that infrastructure development is rewarded directly through enhanced land value recognition. Investors will be able to make more data-driven decisions, focusing on zones with strong Development Index rankings for higher returns. For policymakers, this will help channel investments into genuinely growth-ready areas, boosting overall urban development. In the long term, integrating the Development Index into guidance valuation will foster more sustainable, well-planned, and globally competitive commercial real estate ecosystems.