Convention centre near new airport has only one bidder

Convention centre near new airport has only one bidder

Sharath S. Srivatsa

Poor response though deadline was extended following request from bidders

The project is coming up near the new airport

Technical evaluation of bidder completed

BANGALORE: Even as some of the leading consortiums in the country had evinced interest in developing the nearly Rs. 1,000-crore Mega International Convention Centre (MICE) near the international airport at Devanahalli, the Tourism Department has received only one proposal for its mega project after the final round of bidding.

The international convention centre has been proposed on 35 acres by the Tourism Department, and is expected to have a seating capacity for 6,000 persons, several hotels in star as well as budget categories besides an entertainment area, an exhibition centre and a banquet hall. Though the Tourism Department estimates the cost to be around Rs. 500 crore, Tourism Department sources said that the investments could be close to Rs. 1,000 crore.

It is learnt that a consortium led by Soma Enterprises is the only one that has evinced interest in the final round of bidding for the mega project. “Technical evaluation of the bidder has been completed and it will be placed before the steering committee headed by the chief secretary, for approval,” the sources said.

The project would be handed over on build operate transfer basis, and the convention centre would be ready within three years of commencement of work,” the sources added.

The sources said that the Tourism Department, to leverage the potential for MICE tourism in and around Bangalore, wants to develop the convention centre near the international airport. It is learnt that the convention centre has been proposed in line with the Union Government notification in 2005, which aimed at setting up mega convention centres to be developed in Delhi, Mumbai and Bangalore. Following this, the Tourism Department invited request for qualification, the first stage in bidding process, from interested parties in August 2006.
12 consortiums

The sources said that 12 leading consortiums, including Consortium of Reliance Energy, Reliance Infrastructure and Bharath Hotels, Consortium of Soma Enterprises, Sunway Construction and Sunway City, Consortium of Simplex Infrastructure, Consortium of Emaar Properties, Consortium of DLF Ltd. and Hilton International, Consortium of L & T and Sterwood Hotels and Resorts, and THDC Ltd. & Indian Hotels Co Ltd., participated.

The sources said the last date for submitting the request for proposal was extended till February 15, 2008 following a request from the bidders.

It is learnt that though seven consortiums of the 12 that had participated in the first stage were short-listed, the Consortium of Soma Enterprises, Sunway Construction and Sunway City were the only consortiums that evinced interest in the final stage of bidding.