‘Yashobhoomi’ Phase-2: Centre Explores PPP Investments For Advancing Mega Project After Phase-1 Triumph

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The Indian government is seeking private investments of around Rs 20,000 crore for the second phase of the India International Convention and Exhibition Centre (IICC) — ‘Yashobhoomi’ project.

According to officials familiar with the matter, this phase will include the construction of 3,500-room hotels and 4.50 million square feet of office and retail developments, reports Hindustan Times.

The first phase of the Yashobhoomi project — which includes extensive conference tourism infrastructure, was inaugurated by Prime Minister Narendra Modi on 17 September 2023.

The exceptional infrastructure introduced in the first phase has set the stage for the forthcoming phase, which carries an estimated budget of Rs 25,703 crore.

The showcased facilities are rendering the second phase highly attractive to private firms. The government will invite global bids in phases, in order to turn Yashobhoomi into a prominent international conference and tourism hub and create more than half a million new job opportunities.

The second phase of the project will involve the construction of eight hotels within the complex. These will include three five-star hotels, four four-star hotels, and two three-star properties, along with service apartments.

Besides the two exhibition halls constructed in the first phase, the second phase will have three additional halls.

Development Plan under Phase-2

As per the HT report, the three halls, could be kept outside private developments, he said.

“Private investors will be roped in to develop 4.50 million square feet office and retail developments,” the official added.

The government is considering awarding projects through bids under the public-private-partnership (PPP) mode.

It foresees the participation of both domestic and international companies, driven by the already established infrastructure and connectivity facilitated by roadways, metro systems, and airports.

Connectivity network with the Contention Centre.

Further, these revenue-generating elements like hotels, service apartments, retail, and office space will be utilised to fund the non-PPP components of the project, according to the official.

The International Convention and Exhibition Centre project is being promoted by a government-owned special purpose vehicle (SPV) called the International Convention and Exhibition Centre Ltd.

This SPV was established on 19 December 2017, with an initial authorised capital of Rs 2,100 crore. It is a wholly-owned entity of the union government through the Department for Promotion of Industry and Internal Trade.

The managing director and CEO of IICC, Sumita Dawra, has expressed her vision to create a self-sustainable mega infrastructure project in India.

“Now that Phase-1 has been successfully completed and showcased to the world, prospects of bidding for Phase-2 are bright,” she said.