Govt. Of Tripura Signs MoU with IHCL of Tata Group to Transform Pushpavanta Palace into Luxury Hotel: A Historic Moment
In a historic moment Govt. Of Tripura Signs MoU with IHCL of Tara Group to convert the iconic Pushpavanta Palace into a star-category heritage hotel, marking a new chapter in the state’s tourism growth.
Photo shared by CM, Prof.(Dr.) Manik Saha in his X post.
Govt of Tripura signs MoU with IHCL. Tripura Govt & Tata’s IHCL Join Hands to Transform Pushpavanta Palace into Star Hotel.
In a landmark step towards boosting heritage tourism and luxury hospitality in Tripura, the state government has signed a significant Memorandum of Understanding (MoU) with Tata Group’s Indian Hotels Company Limited (IHCL). The agreement will pave the way for converting the historic Pushpavanta Palace in Kunjaban into a star-category hotel — the first of its kind in the state.
Tripura signs MoU with IHCL during a formal ceremony held at the official residence of Chief Minister Dr. Manik Saha on May 20, 2025. The event saw the presence of Tourism Minister Sushanta Chowdhury and senior IAS officials Kiran Gittye and Uttam Kumar Chakma, alongside IHCL representatives.
Dr. Manik Saha and Minister Chowdhury both emphasized the strategic importance of this partnership, calling it a “game-changer” for Tripura’s tourism sector. The upcoming luxury hotel is expected to significantly elevate Tripura’s ability to host national and international events, drawing attention from global travelers and investors alike.
Tripura signs MoU with IHCL: What’s in the Deal?
Under the terms of the MoU:
- The Tripura government will provide a 30% capital investment subsidy, capped at Rs 40 crore.
- Additionally, 100% GST reimbursement will be offered for 15 years, up to a ceiling of Rs 250 crore.
- While modern accommodation facilities will be constructed outside the heritage building, select royal suites will be developed inside the palace to preserve its historic charm.
- IHCL will pay a lease rental to the tourism department.
- Priority will be given to local recruitment, especially for non-executive roles, providing employment opportunities to residents.
This partnership is expected to blend heritage preservation with modern luxury, giving travelers a royal experience while creating new revenue streams for the state.
Disclaimer: This blog post is based on information available as of May 20, 2025 from sources. For updates or changes, please refer to government notifications or official IHCL announcements.
