Rlys lists 75 spots for multi-functional complexes

The railway department has drawn up a list of 75 more multi-functional complexes (MFCs) on land adjacent to stations and hopes to earn, through private participation, around Rs 1,000 crore this fiscal.

The Rail Land Development Authority (RLDA) initiated the bidding process for the commercial complexes, which would include food stalls, restaurants, book stalls, ATMs and parking lots, said a senior ministry official.

According to the official, Dehradun, Ujjain, Vasai Road, Anand, Somnath, Lokmanya Tilak Terminus, Gulbarga, Vijayawada, Amritsar, Amethi and Chandigarh will have the MFCs.

The RLDA is holding meeting in Hyderabad on Thursday to invite bids for commercial development of the MFCs at eight stations in cities of tourist and religious interest of Andhra Pradesh that include Dharmavaram, Karimnagar, Kurnool Town, Nellore, Nizamabad, Vijayawada, Zahirabad and Kacheguda.


Rail authority to soon bid for commercial use of land

Having got the Cabinet’s nod to go ahead with leasing land, the Rail Land Development Authority (RLDA) is all set to invite bids over the next few days to garner revenues from commercial use of land.

RLDA will follow three models of commercial utilisation, either directly or through joint ventures.

These are: multi-functional complexes (MFCs) , over 40 of which will be developed with Ircon and RITES, commercial sites and modernisation of five stations.

In the current fiscal, the authority expects to receive Rs 400 crore from commercial use of land.

But, out of this, Rs 330 crore is expected from Parsvnath Developers, from a contract awarded to it, a few years ago.

The Indian Railways’ land lease activities had come to a standstill after a Cabinet circular in 2011 had barred all Ministries from leasing land.

MFCs and commercial sites will be offered to developers on a 45-year lease period. In this model, the developer is required to make available facilities for rail users on at least 200 square metre land within the first nine months. On the remaining land, which could be 1,000-3,000 square metre in size, the developer is free to build shops, restaurants, book stalls and budget hotels.

During the demand survey, retail brands such as Pantaloon, Cafe Coffee Day, The Loot, Woodland, WH Smith (Travel News Services) had evinced interest to set up shops at the MFCs. RLDA has lined up 60 new MFC sites and six stand-alone sites for which the bidding process is being initiated in phases. Some of the MFCs will be bid out in joint venture with RITES and Ircon.

“Commercial sites will be offered at six locations – Katra, Amritsar, Chennai, Visakhapatnam, Vijayawada and Bangalore – with a 45-year lease. In commercial sites, we are not dictating the end-use of the land. For instance, we do not specify whether a hotel should be built or office space should be built,” an RLDA official said.

The authority has also been entrusted by the Rail Ministry for modernising five stations at Chandigarh, Anand Vihar (Delhi), Bijwasan (Delhi), Habibganj (Bhopal) and Shivajinagar (Pune).

These stations are being developed through the Indian Railway Stations Development Corporation, a joint venture company created by Ircon and RLDA in which the former is the majority partner.


Railway seeks pvt help to develop 93 stations

KOLKATA: The Indian Railways has invited bids from private developers for creating multi-functional complexes (MFCs) in 93 railway stations across its entire network. With operating revenues under severe strain, the move is in step with the railways’ efforts to open up new revenue streams by generating cash from non-core assets.

These include three stations each under East Central, North Central and North Eastern Railway, including Gorakhpur, four stations under West Central, Central railway (like Gulburga, Wardha), South and North western, five under East Coast and South East Central Railways, six in Northern Railway and Western Railway (like Vasai Road and Lokmanya Tilak Terminus), seven under North EastFrontier (Agartala, Dibrugarh town), Southern Railway and South Eastern railway like Tatanagar, Jhargram, Bishnupur, and nine under South central.

The single largest chunk of MFCs —some 17 of them — are due to come up under Eastern Railway alone. This includes Asansol, Kalyani, Murshidabad, Malda Town, Ballygunj, Dhakuria.

The railways have asked Rail Land Development Authority (RLDA) to develop the MFCs. RLDA, which is a separate arm under the ministry of railways and develops railway land for commercial use, will choose plots out of railway land pool and develop these plots on a long-term lease basis. The prospective partner or the developer will have to design, finance, construct, operate, market and maintain these MFCs. “This is the first time such an attempt is being made by Indian Railways to use space around stations,” a railway ministry official said.

These MFCs are supposed to provide railway users facilities like shopping, food stalls and restaurants, book stalls, PCO booths, ATMs, medicine shops and variety stores. Additionally, budget hotels, parking and other amenities will also be made available at these spaces.

The railways have invited expressions of interest (EoIs) from prospective developers either on their individual basis or in a consortium. Depending on the response, RLDA will decide the eligibility criteria, terms and conditions of the bidding and whether these MFCs could be developed through a clustering of stations.

RLDA is in the process of identifying the location and plot sizes. Ideally, such plots will be located near stations that will ensure easy access and steady footfall. The plot sizes are expected to vary between 1000 and 3000 square metres. However, depending on the availability of land in and around stations, the plot sizes could also range from 200 sq m to a few hectares.