No takers for commercial sites, govt mulls easing norms

SHIMLA: With not even a single bid from entrepreneurs for taking up the five commercial sites advertised by the Department of Tourism and Civil Aviation, the state government is contemplating giving some relaxations, including reduction in the lease amount.

Pratibha Chauhan

Tribune News Service

Shimla, June 28

With not even a single bid from entrepreneurs for taking up the five commercial sites advertised by the Department of Tourism and Civil Aviation, the state government is contemplating giving some relaxations, including reduction in the lease amount.

The Tourism Department had invited bids for leasing out the five sites at Suketi (600 bighas), Jhatingiri in Mandi (60 bighas), Shoja in Kullu (3 bighas), Bilaspur (six bighas) and Baddi in Solan. Though many investors expressed interest in these sites none of them sent in their bid documents.

“We did receive two bids for the site at Shoja in Kullu but this was after the last date for sending the bids was over. Now we are planning to re-advertise these sites again,” said VC Pharka, Chief Secretary, who is looking after Tourism and Civil Aviation.

Keen to open its doors for private players for developing golf courses, health resorts, spas and seven star properties to attract high-end tourists, the state government could give some further relaxation in the condition. “Since the markets are very sluggish, there is a possibility that the state government could reduce the minimum lease amount fixed for these five sites,” said sources.

The minimum lease amount fixed in case of Baddi and Suketi was Rs 50 lakh each, Jhatingiri was Rs 20 lakh and Rs 10 lakh each for the Shoja and Bialspur site. It was being felt that since the lease period was 99 years with a clause for renewal, the investors should have come forward.

The last date for receipt of bids for the five commercial sites was May 16, 2016 and not even a single investor had shown interest. The Cabinet had granted approval to the Department of Tourism and Civil Aviation on August 18, 2015 to lease out these five sites in the state on a long term basis of 99 years.

The failure of the offer in attracting investors comes close on the heels of there being no takers for the three aerial ropeways, including the Toba-Nanina Devi which have been advertised on four occasions with not even a single response. However, the HP Infrastructure Development Board has now invited bids for the Bijli Mahadev aerial ropeway in Kullu and the Bashal Kanda near Sarahan in Shimla district.