Government Clears PPP Redevelopment Of Ashok And Samrat Hotels
ECONOMY & POLICY

Government Clears PPP Redevelopment Of Ashok And Samrat Hotels

The central government has proposed the redevelopment of two brownfield hotels in New Delhi under the National Monetisation Pipeline 2.0, according to a NITI Aayog report. The private sector investment attributable to the projects will be counted towards monetisation proceeds. The combined investment has been set at Rs 12,000 million (mn), with Rs 8,200 mn earmarked for The Ashok and Rs 3,800 mn for Hotel Samrat.

The redevelopment for The Ashok is expected to be the larger programme and is planned to be awarded in the initial period of NMP 2.0, with an award targeted in Financial Year 2027. A similar project for Hotel Samrat is expected towards the end of the NMP 2.0 period, with an award target in Financial Year 2030. Both asset classes are proposed to be implemented using a direct contractual method, predominantly through public private partnership contracts.

Monetisation value is expected to take the form of development investment by the private sector under these contracts and has been recorded as direct investment by the central government. The contractual arrangements will define risk allocation between the public and private parties and will include contractual performance obligations and benchmarks. The structure is intended to mobilise private capital and management expertise while retaining a defined term of obligation.

Built in 1956, The Ashok is a deluxe property located in the Diplomatic Enclave of Chanakyapuri and is owned and operated by the India Tourism Development Corporation (ITDC). Hotel Samrat, also managed by ITDC, is situated in central New Delhi and the corporation is a central public sector undertaking under the Ministry of Tourism. Both properties are brownfield assets within the national capital and their redevelopment is expected to contribute to the monetisation targets set under NMP 2.0.

The central government has proposed the redevelopment of two brownfield hotels in New Delhi under the National Monetisation Pipeline 2.0, according to a NITI Aayog report. The private sector investment attributable to the projects will be counted towards monetisation proceeds. The combined investment has been set at Rs 12,000 million (mn), with Rs 8,200 mn earmarked for The Ashok and Rs 3,800 mn for Hotel Samrat. The redevelopment for The Ashok is expected to be the larger programme and is planned to be awarded in the initial period of NMP 2.0, with an award targeted in Financial Year 2027. A similar project for Hotel Samrat is expected towards the end of the NMP 2.0 period, with an award target in Financial Year 2030. Both asset classes are proposed to be implemented using a direct contractual method, predominantly through public private partnership contracts. Monetisation value is expected to take the form of development investment by the private sector under these contracts and has been recorded as direct investment by the central government. The contractual arrangements will define risk allocation between the public and private parties and will include contractual performance obligations and benchmarks. The structure is intended to mobilise private capital and management expertise while retaining a defined term of obligation. Built in 1956, The Ashok is a deluxe property located in the Diplomatic Enclave of Chanakyapuri and is owned and operated by the India Tourism Development Corporation (ITDC). Hotel Samrat, also managed by ITDC, is situated in central New Delhi and the corporation is a central public sector undertaking under the Ministry of Tourism. Both properties are brownfield assets within the national capital and their redevelopment is expected to contribute to the monetisation targets set under NMP 2.0.

Related Stories

Gold Stories

Next Story
Resources

Schindler named among Forbes’ World’s Best Employers 2026

Schindler has been named among Forbes’ World’s Best Employers 2026, a global ranking recognising companies for their workplace environments.Compiled by Forbes in partnership with Statista, the ranking is based on independent employee feedback, including whether employees would recommend their organisation to friends and family.The company said the recognition reflected its focus on creating a workplace where employees can develop their expertise and build careers. ..

Next Story
Infrastructure Urban

India needs an export-execution mindset: Vishesh Jain

Interview with Vishesh Jain, Founder & CEO, EximpleWhat gaps in India’s global trade ecosystem led you to build Eximple, and what problem did you see businesses struggling with most?Eximple came out of a problem that all three founders had seen from different choke points in the trade ecosystem. India has millions of MSMEs and manufacturers, and many of them can make products that are genuinely competitive on quality. Yet only a small fraction is able to build meaningful international businesses. In our experience, the gap is usually not manufacturing capability; it is the ability to exe..

Next Story
Building Material

Nuvoco reports 13.5% revenue growth in Q2 FY27

Nuvoco Vistas Corp. Ltd. reported consolidated revenue of Rs 27.9 billion for Q2 FY27, up 13.5% year on year. Cement sales volume rose 9% to 4.7 million tonnes (MMT), while EBITDA increased 11% to Rs 4.11 billion.The company said it began its cement operations in 2014 with a 2.3 MMT per annum (MMTPA) operation at Nimbol. It now aims to reach 35 MMTPA of cement capacity by FY28, nearly 15 times its initial capacity. Its portfolio spans cement, ready-mix concrete and modern building materials.On sustainability and cost efficiency, Nuvoco partnered with CleanMax for a 46.4 MW wind-solar hybrid re..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code