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Published : 11 Jan 2026, 01:43 AM
City Bank has decided to buy a plot next to its headquarters in Dhaka’s Gulshan at a premium price, with total spending on land purchase and construction estimated at Tk 12 billion.
The listed private bank agreed to purchase the 20-katha plot (33.06 decimals or about 14,400sqft) for Tk 3.45 billion after negotiations and received approval from Bangladesh Bank for the acquisition.
The bank also planned to invest Tk 8.55 billion to construct a 28-storey building, its Managing Director Mashrur Arefin said.
Once completed, the new structure will stand on a combined 40 kathas (66.12 decimals or about 28,800sqft), including the newly-acquired land and the existing plot where the bank’s current headquarters is located, he added.
City Bank has operated its head office since 2009 from an eight-storey building on Plot 11 in Block CEN(C) of Gulshan Avenue.
Explaining the high land price, Arefin told bdnews24.com that the bank assessed the market and obtained valuations from multiple firms before finalising the purchase. The average land price in the area ranged between Tk 160 million and Tk 180 million per katha, he said.
He also said the proposed price was physically verified by the central bank representatives before approval was granted.
Arefin said land prices in Gulshan-2 were higher than in Gulshan-1 and that several buyers had shown interest in the plot. Its proximity to the bank’s existing headquarters, however, made the location strategically important.
“Because the land adjoins our head office, the purchase was finalised after negotiation,” he added. “The board reviewed both the land valuation and the construction cost, considering the need for a functional and visually appealing building.”
In a disclosure to the Dhaka Stock Exchange on Thursday, City Bank said it received Bangladesh Bank’s no-objection on Jan 6 for the land purchase.
Approval for construction will be sought separately before obtaining clearances from other authorities, it added.
The bank said it obtained valuation reports from two firms. City Engineering Inspection Company assessed the land value at Tk 175 million per katha, putting the total price at Tk 3.5 billion.
Another firm, Nandanick Bangladesh, valued the land at Tk 178.2 million per katha, estimating the total at Tk 3.56 billion.
City Bank agreed to buy the land at Tk 172.5 million per katha. An additional Tk 150 million was allocated to complete the land transfer process.
Previously, another private lender, Dutch-Bangla Bank, faced criticism over plans to buy a building at a high cost.
The central bank rejected Dutch-Bangla Bank’s proposal to purchase the entire building it currently occupies in Motijheel for Tk 10.16 billion.
The bank operates from several floors of a 21.5-storey building on Plot 47 near Shapla Chattar, Motijheel.
The proposed purchase covered a total area of 207,340sqft, including 176,300sqft of floor space and 31,040sqft of basement area.
After the plan was disclosed on the DSE website, the proposal drew criticism over its cost.
The Bangladesh Securities and Exchange Commission raised objections and wrote to Bangladesh Bank, following which the central bank scrapped the proposal.
