GIFT City plans maiden ultra-luxury hotel in domestic tariff area, invites bids

MUMBAI: The Gujarat International Finance Tec-City Company Ltd (GIFTCL) has invited bids to build the first ultra-luxury hotel in the domestic tariff area of ​​GIFT City with at least 300 keys and development rights for at least 500,000 sq. ft. The development tracks the Gujarat government’s recent decision to exempt GIFT City from a 63-year-old liquor prohibition law in the state to attract foreign companies to invest in the city.

GIFT City currently has a hotel and a club designated in the five-star segment. However, the proposed development will be the first to cater to the ultra-luxury segment.

Apart from meeting technical and financial qualifications for the project, a potential bidder is expected to have an alliance with one of the global luxury hospitality brands such as Ritz Carlton, JW Marriott, St. Regis, Grand Hyatt, and Kempinski, according to the request for proposal.

The bidder would also be expected to have completed commercial, residential, institutional, or mixed-use buildings with at least one single project of at least 200,000 sq. ft and multiple projects with cumulative built-up area of ​​600,000 sq. ft built-up area as per occupancy certificate, building use permit, or completion certificate.

The period for satisfying this minimum technical experience has been set as the previous six years prior to the bid due date. The base price for allotting development rights has been finalized at Rs 1,600 per sq ft for the proposed 500,000 sq ft. The bids are expected to be submitted online by February 20 and physically by February 21. The bidder is also required to have built a hotel of five-star category or above with at least 250 rooms. It is also required to submit an undertaking that the ultra-luxury hotel will be operated and managed by brands mentioned by GIFTCL in the request for proposals. In terms of financial capability, the bidder is expected to have average annual revenue from building construction and development of at least Rs 50 crores during the last three consecutive financial years of bid due date. It is also required to have a net worth of at least Rs 25 crore as at the end of FY23.

GIFT City has recently invited bids to develop social infrastructure including an entertainment, recreational and retail zone spread over 20.5 acres along with a large ferris wheel, GIFT Eye. This will be spread over at least 1.5 million sq ft including retail space, entertainment area with attractions such as a large ferris wheel, fountain show etc. adjacent to riverfront, which will be the entertainment zone. The proposed ultra-luxury hotel will be developed in line with this social infrastructure to be developed here.

ET reported recently that the master plan for the expansion of the GIFT City to over 3,300 acres along with vibrant social infrastructure from its current size of 886 acres is in the final stages of completion.

The development plan is expected to further the efforts to develop GIFT City, included among Prime Minister Narendra Modi’s dream projects, in a global financial activity hub.

The second phase development plan with town planning schemes around the GIFT City is expected to be unveiled after the state government’s review and feedback from the public as per the statutory requirements.