Dhaka's Dhanmondi, Uttara Projects Spark Resident-Developer Clash

Plans for new housing complexes and commercial towers in Dhaka’s Dhanmondi and Uttara neighbourhoods have run into a wave of community opposition this month, as residents voice concerns about congestion, green space, and quality of life. The developers, however, say the city’s growing population and economic ambitions leave few alternatives.

The debate comes at a critical juncture for Dhaka. With Bangladesh’s capital continuing to draw thousands of new residents each month, urban planners face the challenge of accommodating a surging population while keeping neighbourhoods liveable. The Dhaka North City Corporation (DNCC) and Dhaka South City Corporation (DSCC) both unveiled ambitious new zoning proposals in June, covering everything from high-rise apartment blocks along Mirpur Road to multi-use commercial sites near Uttara’s Sector 13.

Residents Worry About Overcrowding and Services

For many long-term residents, such as those living along Dhanmondi Lake Road and in Basundhara residential area, the recent surge in construction projects triggers fears of lost green spaces and greater strain on public amenities. Local advocacy groups in Dhanmondi point to the planned 24-storey business hotel on Satmasjid Road as a particularly contentious project. Neighbours have cited worsening traffic on Satmasjid Road and increased pressure on water supply infrastructure, which already struggles during the city’s frequent power outages. The Dhanmondi Residents’ Welfare Society submitted a petition to the DSCC in late June, urging officials to consult more closely with communities before approving high-rise permits.

In Uttara, the dynamic is similar. Residents from Sector 9 and Sector 13 have raised red flags about the large multi-phase development proposed for a 3-acre plot off Sonargaon Janapath. Some worry about the loss of small businesses and the fate of old banyan trees targeted for removal. Others fear that heavy machinery moving in and out of the area will make daily commutes even longer on already congested routes like Shahjalal Avenue.

Developers and Authorities Cite Urgent Housing Need

Developers leading the new projects argue that urban growth in Dhaka leaves little choice but to build upward and increase density. The Real Estate & Housing Association of Bangladesh (REHAB) has cited a homeownership rate of just under 20% in Dhaka, leaving a significant portion of families renting flats or doubling up. In 2025, the city officially surpassed 22 million residents, according to the Bangladesh Bureau of Statistics, with estimates suggesting at least 500,000 new arrivals annually. Dhaka’s average apartment price rose above BDT 14,000 per square foot last year, putting ownership further out of reach for many.

Officials from DSCC say that well-planned mixed-use developments-combining flats, commercial space, and community amenities-can relieve pressure on housing supply and even free up room for public spaces. They stress that zoning reforms approved in June will enforce stricter requirements for setbacks, open areas, and traffic impact studies, particularly for projects along major arteries like Mirpur Road and Airport Road.

Community activists counter that these changes do not guarantee genuine consultation or safeguard for established residents. Supporters of new development, on the other hand, argue that resisting higher-density projects may simply push up rents and worsen shortages.

For Dhaka residents following the latest planning battles, public hearings are scheduled throughout July at Nagar Bhaban and Uttara Community Centre. City officials have encouraged written submissions and feedback through ward councillors. Developers and advocacy groups alike say they are watching closely, knowing that the outcome of these projects could set the tone for urban growth in some of Dhaka’s most sought-after neighbourhoods.

This article is general information only and is not personal financial or investment advice. Consider your own circumstances and seek licensed professional advice before making financial decisions.