Sharif, who retired from the post of the army chief in November, has been allotted 50 acres land in capacity of a four star General and remaining 40 acres for being the army chief in Bedian Road area, media reports said.
Citing a security establishment official, Dawn said there was nothing unusual about the allotment.
"Over the last few years, the Bedian Road stretch, around where Gen Raheel's land is located, has turned into a favourite haunt of the moneyed people looking for a privileged farm-house living away from the humdrum of the city. This has sent prices skyrocketing there," it said.
As per rules, such allotments to army officials are decided at the General Headquarters and conveyed to the Border Area Committee concerned, it added.
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Gen Raheel Sharif was allotted the land "in accordance with the existing rules and purely on merit," the paper quoted the official as saying.
"It is agricultural land and will be used for this purpose alone. It will not be used for commercial purpose as is the impression being created by some," the official said.
Punjab Law Minister Rana Sanaullah said that it is the Border Area Committee which secures the land in the radius of 5km of the border and it is allotted to the army martyrs and officials.
"It is not the discretion of the Punjab government to allot this land to any one," he added.