Ashok Beach Resort to be leased for Rs 120 crore

Puducherry: The Puducherry government has mooted a proposal of jointly leasing the Ashok Beach Resort currently managed by the India tourism development corporation (ITDC) and Pondicherry Industrial Promotion Development and Investment Corporation (Pipdic) in the Union territory of Puducherry. The Puducherry government mooted the idea after the Union government decided to disinvest its shares in eight hotels and properties of ITDC.

“After careful analysis the Union government is convinced that running hotels is not government business. We have examined several choices and proposals of disinvesting Ashok Beach Resort managed jointly by ITDC and Pipdic. We have proposed to jointly lease the property,” said Puducherry chief secretary Manoj Parida. The decision was conveyed to the Union government, which has constituted a two member-team – secretary (tourism) and secretary (disinvestment) – to hold talks with Parida in finalizing the proposal to jointly lease the property. “An expert team assessed and fixed the value of Ashok Beach Resort at Rs 120 crore,” Parida said. Ashok Beach Resort is located on a sea-facing 65-acre site on the east coast road 10km from Puducherry town. The Union government holds 51% equity while the Puducherry government 49%. The revenue generated through joint lease will be shared by the two governments. The Union government has approved the disinvestment of three of the eight hotels managed ITDC solely or in partnership with the state governments — Hotel Lake View Ashok, Bhopal, Hotel Brahmaputra Ashok, Guwahati and Hotel Bharatpur Ashok, Bharatpur.

The Centre decided to give the three properties to the states concerned after fair valuation.

ITDC will disinvest its shares in the hotels at Bhopal and Guwahati while the hotel at Bharatpur which was solely managed by ITDC will be given to the state government after fair valuation.


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