A mix of retail, office, and hospitality developments in 30 acre area near Connaught Place, at the heart of national capital will help Indian Railways in redeveloping the New Delhi railway station, second busiest of the country.
The Rail Land Development Authority (RLDA) has invited online bids from private players to redevelop the station at the estimated capital expenditure of Rs 6500 crore.
The concessionaire will earn revenues from several components including passenger handling fees collected from passengers, ticket sales, revenues from passenger facilities within the station such as retail areas, lounges, parking, advertisement spaces, and income from the development and lease of the commercial real estate.
The developer is expected to give an annual concession fee (ACF) to the authority along with a fixed upfront premium.
“New Delhi Railway Station will be transformed into a world-class, one-stop destination for retail, commercial and hospitality business. The development will boost the tourism potential and accentuate real estate as well as investment prospects in New Delhi and surrounding regions,” said Ved Parkash Dudeja, Vice Chairman, RLDA.
Connaught Place, one of the most expensive retail and office destination of the country will have 2.5 million sq ft of commercial real estate as part of the redevelopment as it will free up the sprawling piece of land.