The Delhi government is considering leasing the former Chief Minister's official residence at 6 Flagstaff Road, referred to by the BJP as "Sheesh Mahal", to a luxury hotel or hospitality operator as part of a plan to generate revenue from the Civil Lines property, officials said.
The sprawling residence will, however, remain available for government functions, meetings and conferences. When it is not required for official use, the private operator could rent it out or use it for commercial events.
At the same time, the Public Works Department, or PWD, plans to complete the unfinished camp office next to the residence. The building will be used for government meetings, conferences and state functions, and could be opened to private entities when vacant.
Government Events First, Private Bookings Later
The PWD is preparing a detailed proposal setting out how the property will be operated, maintained and commercially used, officials familiar with the discussions said.
Under the initial plan, an established hospitality company could be brought in to professionally manage the main residence. The government is also examining whether the property could be operated under Delhi's bed-and-breakfast, or B&B, policy.
Government requirements will take priority.
The residence will remain available whenever it is needed for official conferences, functions or meetings. During vacant periods, it could be rented out for private programmes, allowing the government to earn revenue while reducing its maintenance expenditure.
Delhi PWD Minister Parvesh Verma said the government was exploring a partnership with companies experienced in managing high-end hospitality properties.
"We are thinking of tying up with established companies that are in this business so that the property's maintenance can be managed professionally," Mr Verma said.
"At present, we spend a lot of money on its maintenance, which is an unnecessary expense for the government. If the same property can be used by the government to generate revenue, it would be a better option," he added.
A senior official said the proposal would allow the government to retain control of the property without leaving it underused.
"The initial proposal is to make the property available for government functions and conferences. When it is vacant, it could be rented out," the official said.
The proposal remains at an early stage and will require the necessary government approvals before it can be implemented.
From State Guest House To Luxury Hospitality Plan
The move is the BJP government's latest attempt to decide the future of one of Delhi's most politically controversial government properties.
Several options had earlier been discussed.
One plan was to convert the 6 Flagstaff Road complex into a state guest house. Another proposal was to turn it into a cultural centre.
The government had also examined the possibility of transferring the property entirely to the Centre. In exchange, the Delhi government would have received multiple residential properties from the central pool.
The latest proposal takes a different route: retain the property with the Delhi government, reserve it for official use and commercially operate it whenever it is vacant.
Unfinished Camp Office To Be Revived
The government has also decided to complete the adjoining camp office, where construction stopped after an inquiry was ordered into alleged irregularities connected to the renovation of the former Chief Minister's residence.
The two-storeyed structure stands on a plot measuring nearly 1,500 square yards. It was constructed during 2021-22 and was originally intended to function as the Chief Minister's camp office.
According to information previously shared by the Delhi government in the Assembly, around Rs 25 crore had already been spent on the structure before work was halted.
The project's total cost was estimated to rise to approximately Rs 60 crore upon completion.
Officials said the PWD will now finish the remaining construction and bring the building into regular use. It will host government meetings, conferences and other state functions.
Like the main residence, the camp office could also be made available for private events when it is not needed by the government.
The 'Sheesh Mahal' Political Storm
The 6 Flagstaff Road residence became a major political issue after the BJP accused the previous Aam Aadmi Party government of spending heavily on its renovation.
The BJP dubbed the property "Sheesh Mahal" and alleged that between Rs 45 crore and Rs 52 crore of public money had been spent on luxury interiors, expensive fittings and renovation work.
Allegations of financial irregularities and violations of building norms subsequently led to inquiries by multiple authorities and agencies, including those initiated by the Lieutenant Governor, the Central Vigilance Commission and the Central Bureau of Investigation.
The AAP rejected the allegations and accused the BJP of using inflated expenditure figures to create a political controversy.
The party maintained that the complex was developed as the official residence of Delhi's Chief Minister and was not built as a personal house for former Chief Minister Arvind Kejriwal.
It also argued that the property would have remained an official government residence available to any future Chief Minister allotted the premises.
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