AP Approves Rs 140-Crore ITC-Branded Four-Star Hotel Project In Nellore
The project, approved under the Andhra Pradesh Tourism Policy 2024-29, is expected to generate 140 direct jobs and strengthen tourism and hospitality infrastructure in the district.
Nellore: The Andhra Pradesh government has approved a Rs 139.92-crore investment by M/s DSR Hospitality Services to establish a four-star hotel under the ‘Welcomhotel by ITC’ brand at Akuthota in SPSR Nellore district.
The project, approved under the Andhra Pradesh Tourism Policy 2024-29, is expected to generate 140 direct jobs and strengthen tourism and hospitality infrastructure in the district.
The hotel will be developed on 2.075 acres of privately owned land. The proposal was cleared by the State Investment Promotion Board (SIPB) following recommendations from the State Investment Promotion Committee (SIPC).
Recognising it as a large-category tourism project, the government has approved a package of incentives, including 100 per cent reimbursement of net SGST for 11 years or until the project recovers its fixed capital investment, whichever is earlier. It has also sanctioned a 10 per cent fixed capital investment subsidy, capped at Rs 10 crore, to be released in five equal annual instalments after the hotel commences commercial operations.
Other incentives include electricity at industrial tariff for five years, reimbursement of electricity duty, 100 per cent reimbursement of stamp duty on land lease, mortgages and hypothecation, reimbursement of land-use conversion charges, and industrial rates for property tax, water supply and sewage charges, subject to approvals under the state's single-window clearance system.
SPSR Nellore district tourism officer S.K. Ali Azgar said the government had authorised the Andhra Pradesh Tourism Authority to take further steps for implementation of the project. He said the hotel is expected to strengthen Nellore’s hospitality sector and support the state's efforts to promote world-class tourism infrastructure through private investment.
Ali Azgar said the Tourism Department requires promoters of such projects to have at least 10 years of experience in the hospitality sector. He added that DSR Hospitality Services had partnered with the Welcome Group to meet this eligibility criterion.
