A shopping-cum-residential complex of the local Auqaf in Aloosa village of Bandipora district was gutted Sunday night.
Witnesses said the fire started around 2 am and spread to the entire complex, which included six shops and four residential rooms.
Locals said before the Fire and Emergency Services could reach the spot, the blaze had already reduced the property to the ashes.
One of these shopkeepers, Ghulam Muhammad said property worth lakhs of rupees had been damaged in the blaze.
The gutted shops included a pathology laboratory, an embroidery shop, a computer service and accessories shop, a hosiery shop and departmental stores.
The cause of the fire was not known immediately.