Despite previous indications of hope from corporation officials about reviving the project, the outlook has become increasingly bleak. The city corporation is currently grappling with multiple projects within its jurisdiction, making it hesitant to allocate funds for a project situated in a panchayat area. Mayor Arya Rajendran confirmed to the Times of India that while the project is currently on hold, it could potentially be revived if circumstances change favorably.

A source closely associated with the project noted that with only a year left in the current governance term, reaching a consensus among councillors and securing the necessary funding is becoming increasingly difficult. The project was initially stalled after tenders were invited, but with no further progress, the validity of those tenders has now expired.

Last year, Chief Minister Pinarayi Vijayan laid the foundation stone for the first phase of the project, but so far, only preliminary works such as constructing compound walls, clearing the ground, and laying internal road networks have been completed. The proposed 36-acre township was intended to feature residential towers, multi-storey apartments, a convention center, and various amenities aimed at enhancing community living.

As discussions around the project continue, stakeholders are left wondering if the ambitions of revitalizing Vilappilsala will ultimately come to fruition or remain a dream unfulfilled.