KOZHIKODE: Even a decade after launching the KSRTC bus terminal complex project, the Kerala Transport Development Finance Corporation (KTDFC), which completed the construction of the building complex years back, yet to lease out the building, causing much financial loss to KSRTC. It is learned that the tender proceedings are caught in legal wrangles.
Located in the heart of the city, the building complex was constructed on Build-Operate-Transfer (BOT) basis with a 2,18,716.23 sq ft commercial space. The bid for the lease was won by MAK Associates, based at Mukkam near here, which was ready to remit an amount of Rs 50 crore as non-refundable deposit for a period of 30 years and also was ready to pay an amount of Rs 50 lakh as rent.
But citing lack of clarity in the procedures, another participant of the bid approached the High Court which is yet to be cleared and settled.
Prior to 2009, KSRTC had been earning a significant sum as rent from the shops in the old building complex.
A KSRTC official, who preferred anonymity, told DC that KSRTC incurred huge losses as it lost the revenue from the then rented shops.
Started at an estimate of Rs 53 crores, with a main building with two towers, the estimate later crossed upto Rs 90 crore, it was pointed out.
The fire and safety officials, who had examined the building earlier, had expressed displeasure over the violation of various safety parameters. Some repair works and structural changes also were suggested for granting licence for the building which is yet to be conducted.
