Taj Group's luxury hub on course, Maha govt notification on land lease in Sindhudurg

Taj Group's luxury hub on course, Maha govt notification on land lease in Sindhudurg

Project was stuck for 25 years due to CRZ

Sanjay JogUpdated: Monday, July 27, 2020, 08:02 AM IST
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In a bid to promote the currently beleaguered tourism and hospitality industry amid the Covid-19 crisis, the Maharashtra government has taken the crucial decision to provide 54.45 hectares of government and privately acquired land to the Indian Hotels Company (Taj Group) on a 90-year lease, to set up five-star tourist centres, with luxury rooms and cottages at Mauje Shiroda Velagar, Tal-Vengurla, in the coastal district of Sindhudurg. The company proposes to invest Rs 150 crore in this project. On June 9, the state cabinet had approved the allotment of land on long-term lease to the Indian Hotels Company. However, the notification was issued this week by Tourism Secretary Valsa Nair Singh.

The Indian Hotels Company had submitted a proposal as far back as 1994, for providing the government land through the state-run Maharashtra Tourism Development Corporation (MTDC) for the construction of the beach resort. However, the project could not take off for over 25 years because it was mired in Coastal Zone and other procedural regulations.

The allotment of land comes with a rider: the Indian Hotels Company cannot sell, sub-lease or mortgage the land to any party during the lease agreement period. The company is also prohibited from transactions that entail the provision of awarding legal rights.

The land acquisition was done in phases till 1998, by the MTDC. Of the 54.45 hectares, the Indian Hotels Company has paid the land price and administrative cost for 52.64 hectares of private land acquired by the MTDC through the Sindhudurg district collector. The state cabinet also cleared the allotment of the remaining land to the company. The land will be leased at Re1 rent and a one-time premium of 110% of ready-reckoner rate.

An official of the tourism development department said, the company cannot construct on the part of the land that comes under CRZ-I. However, in the rest of the space, the company can construct cottage-type structures.

Former president of the Hotels & Restaurants Association Western India Dilip Datwani, said it was long overdue, as the organised sector could now come up with tourist friendly accommodation along with the recreation facilities. "This will develop the domestic tourism sector in Maharashtra and also international tourism. Currently, Goa is not preferred by tourists for various reasons. When the Taj Group sets up its facility, they employ locals, which will be a boost for the local economy. They also encourage local culture in their eateries, which will promote the culture and eco-friendly development of the area,’’ he noted.

Further, Datwani said, visitors coming to the hotel would generate income for the locals.

The state government notification comes close on the heels of its recent approval to give out seven MTDC properties on lease or for JV, for 90 years. The government has also cleared the setting up of eco-friendly beach shacks at eight beaches.

Tourism Minister Aaditya Thackeray said these decisions will help the state with increased revenue and most importantly, build a world-class tourism hospitality sector, in partnership with the best hotel brands in the world. Further, the development of beach shacks will be a major tourists attraction. The government has laid down the condition of a workforce which wil be 80 per cent local.

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