Public-Private Development Strategy for Dhaka’s Mohakhali Bus Terminal

The World Bank engaged HR&A to leverage a public-private partnership (PPP) for the development of the Mohakhali Bus Terminal in central Dhaka, aiming to transform it into a state-of-the-art mixed-use transportation hub. With its strategic location and significant potential, this project is designed to enhance transportation options for North Dhaka, integrating inter-city buses and future bus rapid transit services, thereby catalyzing broader neighborhood development.

Located on over eight acres of prime land, the Mohakhali Bus Terminal has the potential to serve as a key transportation interchange amid Dhaka’s rapid economic growth. Recognizing the need for an innovative approach to funding and operations, the World Bank’s “Improving Private Sector Participation in Dhaka Public Transport” project aims to create a transformational model for urban infrastructure. HR&A’s objective was to develop a market-supportable mixed-use program that maximizes the site’s value while accommodating both current and future transportation needs.

To achieve this, HR&A conducted a comprehensive assessment of the site’s existing conditions, accompanied by a real estate market analysis to identify feasible land uses. Engaging with local developers and stakeholders, we highlighted key risks and opportunities for the project. This foundational analysis informed the development of various mid- and long-term real estate development scenarios, allowing us to project future revenues from land sales or leases that could fund the terminal operating costs .

Additionally, we proposed a range of public-private partnership structures for both terminal operations and the mixed-use development, clarifying roles and responsibilities for the Dhaka North City Corporation (DNCC) and private entities, along with projected financial outcomes for each model.

As a result of our work, DNCC and the World Bank initiated next steps to foster dialogue with municipal and national leaders to build consensus around Mohakhali’s transformative potential and the PPP model as a catalyst for rapid infrastructure development in Bangladesh.