Delhi Development Authority was surprised when it received just one bid from DLF showing interest in the project for building the country's largest international convention and exhibition centre, hotels and allied commercial facilities at Dwarka.
The real estate giant is the sole bidder for the project that will involve investments amounting to Rs 3000 crore.
The DDA has fixed the reserved price of the land at Rs 900 crore. Senior DDA officials admit the single bid has surprised them as they had expected many big names to join the fight for such a prestigious project.
On the lukewarm response to the project, in the run-up to the 2010 Commonwealth Games, vice-chairman Dinesh Rai said: "We had expected two to three bidders to come forward but only DLF has shown interest. I assume since the project is huge, it is only those who can handle it would come forward."
DLF is confident of bagging the project. "It will cost around Rs 3000 crore. We plan to create a world-class convention centre, a hotel and a mall besides other facilities," a DLF spokesperson said.
In the 35-acre area, DDA wants to build a convention and exhibition centre comparable to the world-famous Suntec Convention Centre in Singapore. The facility will have a mega convention centre with space for 12,000, an auditorium, banquet, exhibition halls, a hotel and a commercial complex with mall like facilities. With the kind of cost involved, if DLF wins this project, it would be the company’s first major deal after the recent public offer which was an IPO of Rs 9,187 crore. For DDA, too, it is the biggest project on the cards.
DDA will now scrutinise the technical bid and declare the outcome on July 9. IF DLF clears this stage, the financial bid will be opened. If that stage too is cleared on July 16, then DDA will move to allot the project work to the company. The developer will be responsible for conceptualising, planning, developing, operating and maintaining the facilities at the site.
According to vice chairman Rai, the vision behind the project is that it will in first help meet the immediate needs of the 2010 Games and also help position Delhi as an important MICE (Meetings, Incentives, Conventions & Exhibitions) destination.
Data available with DDA shows that the MICE industry is the fastest growing segment of tourism market, estimated to be US $ 280 billion. Asia Pacific is an important destination for MICE events and India currently ranks seventh in this region. It has the potential of becoming a leading MICE player. Delhi has 30% share of the Indian MICE market.
An integrated, state-of-art convention and exhibition centre is expected to provide the required impetus to help the market grow further.
DDA is clear on why Dwarka was chosen for building the international facility. For one, DDA sees Dwarka as a fast growing urban area in South-West Delhi which has been envisaged as a model sub-city of the 21st century. Secondly, connectivity is a big factor that makes Dwarka the most viable option. "Organised green spaces, a well-integrated mass rapid transport system and connectivity to the airport, Gurgaon and the hub of activity, South Delhi," point out DDA officials.
- Times of India
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