Hyderabad ceased to be the common capital of Telangana and Andhra Pradesh, effective from Sunday, which raised uncertainty regarding the fate of the buildings allocated to Andhra Pradesh in Hyderabad. It was mentioned that as per Section 5 of the AP Reorganisation Act, 2014, Hyderabad would be the common capital of Telangana and Andhra Pradesh for a period not exceeding 10 years from June 2, 2014. After the expiration of this period, Hyderabad would become the capital of Telangana.

During this 10-year period, it was specified that Andhra Pradesh could operate its administration and assembly proceedings from Hyderabad until it established its own capital city. According to the agreement, a portion of the Secretariat complex and some buildings in Hyderabad were allotted to Andhra Pradesh for administrative purposes.

Additionally, it was noted that the Lake View Guest House, situated near Raj Bhavan at Somajiguda, had been allotted for the camp office of the Andhra Pradesh chief minister.

Following the bifurcation of the combined state, for about a year, the Andhra Pradesh administration functioned from Hyderabad. However, the then chief minister, N Chandrababu Naidu, decided to build a new capital city at Amaravati, considering it inconvenient to administer Andhra Pradesh from the neighboring state, despite Hyderabad being the common capital for 10 years.

Without waiting for the completion of the new capital city, Naidu opted to relocate the administration to Vijayawada and parts of Guntur. Within a year, he had the state secretariat constructed at Velagapudi in Amaravati and transferred the administrative setup there. Subsequently, the state assembly was relocated, and a few years later, even the high court was moved to Amaravati.