Mashhad Investment: Comprehensive Construction Incentives
The Mashhad Municipality has drafted a Comprehensive Construction Investment Incentives Bill for the first time.
Moreover, the bill aims to attract investors and foster balanced urban development across all districts.
In addition, it seeks to encourage projects that serve health, culture, sports, and commerce needs in underserved areas.
Discussion Panel Overview
Recently, a discussion panel on “Comprehensive Construction Investment Incentives” was held at Khorasannews.
The panel included members of the Islamic City Council and a private-sector expert.
During the session, participants reviewed the bill’s details, objectives, and expected outcomes.
- Ahmad Nowruzi – Chairman of the Economic, Investment, and Partnerships Commission
- Dr. Mohammadhadi Mahdinia – Chairman of the Construction and Urban Planning Commission
- Reza Ahadian – Chairman of the Khorasan Razavi Development and Construction Association
The Role of Mashhad Municipality in Guiding Investments
At the outset, Mr. Nowruzi highlighted the uneven distribution of private investment.
In fact, he described the bill as a form of urban diplomacy.
Therefore, the municipality guides investments toward areas with high social demand.
As a result, multi-purpose projects are encouraged where they are most needed.
Special Privileges for Investors
The bill was developed using research, expert consultations, and global experiences.
Therefore, investors building beyond standard commercial or residential uses may receive concessions.
Additionally, municipal fees can be reduced or waived entirely in certain cases.
Mr. Nowruzi noted that projects like sports or cultural centers may seem unprofitable initially.
However, they create long-term social value.
Consequently, these developments enhance Mashhad’s urban life.
Urban Development Through Incentives
Dr. Mahdinia explained that the bill applies to large projects—over 10 floors or more than 5,000 m².
However, service-oriented projects are often delayed due to low short-term profitability.
Therefore, the bill offers higher discounts for projects that meet community needs.
Moreover, global trends favor mixed-use developments, combining commercial, cultural, and recreational functions.
Ultimately, these projects help Mashhad become more vibrant and sustainable.
Challenges in Implementation
Investor Reza Ahadian praised the municipality but highlighted challenges.
For example, conflicting decisions by government and municipal agencies can discourage investors.
Meanwhile, lack of coordination leads to delays and financial losses.
“When ministries or governors make conflicting decisions, investors may lose billions,” Ahadian said.
“Unified decision-making is essential for successful investments.”
Integrated Management for Balanced Development
Mr. Mahdinia agreed that the absence of integrated management is a major barrier.
In comparison, Germany and France use city councils to finalize decisions under public supervision.
Thus, management becomes more efficient and transparent.
He criticized outdated construction restrictions in Mashhad.
For over three years, new regulations were delayed.
As a result, rigid limits increase violations and corruption.
In conclusion, learning from international models is essential for Mashhad’s sustainable development.
Additionally, these incentives ensure fair urban growth and attract more private investment.
For more details, visit Mashhad Municipality Official Website or see our Investment Incentives Overview.