Cabinet to decide plan for construction of hotel
The Union Cabinet is expected to take a decision on the Commerce Ministry’s mega proposal to lease out 3.7 acres of land at Pragati Maidan to private players for building a five-star hotel. The money raised will be used by the ministry’s trade promotion body India Trade Promotion Organisation (ITPO) to finance the Integrated Exhibition-cum-Convention Centre (IECC) project at Pragati Maidan.
To be noted, the government had okayed the Rs 2,254 crore plan of ITPO in January last year for redevelopment of Pragati Maidan by setting up of a world class IECC at Pragati Maidan.
The redevelopment of Pragati Maidan is envisaged in two phases. Phase-1 redevelopment is likely to complete by May 2019. Redevelopment will also include creation of a convention centre with a seating capacity of 7,000 persons, the ministry had said in a statement.
Many analysts are of the view that there must be stern safeguards and timelines for the private builders in case the Centre decides to give the land on a freehold basis.