Tender forever…?
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Tender forever…?

April 11, 2026

The Lalitha Mahal Palace is back in the news… again.  The Karnataka Cabinet has once more decided to invite private players to repair, restore and manage the Lalitha Mahal Palace Hotel.

It sounds promising. It always does. The same decision was announced in 2024 and several times before and several years prior and nothing came of it.

Which raises the obvious question: When will the Lalitha Mahal actually be restored?

For years, Mysureans have harboured a quiet fear that by the time the Government finally acts, Lalitha Mahal will no longer be fit for restoration, only reconstruction.

But now, according to the latest tender notification, bidders must submit an Earnest Money Deposit (EMD) of Rs. 25 lakh, while the tender value has been fixed at Rs. 3.76 crore per year. The hotel will be leased for a                                            period of 30 years.

On paper, it appears procedural. In reality, it raises eyebrows. The numbers seem modest for a structure of this grandeur, scale and fragility. This prompts an uncomfortable suspicion: Has the winner already been decided?

The more important question one must ask is, why is the bidder’s proven ability to restore heritage structures not the central criterion?

Lalitha Mahal is not merely ageing; it is deteriorating from within. This concern is not paranoia. Mysuru has seen this story before.

In 2012, the 130-year-old Lansdowne Building collapsed. In 2016, a portion of the 136-year-old Devaraja Market gave way. In 2022, parts of Vani Vilas Market and Maharani’s College followed.

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Each collapse was preceded by delay, indecision and official indifference. Lalitha Mahal has long felt like the next name on that list.

And yet, the indecision around Lalitha Mahal is almost two decades old.

In 2000, the late Arun Jaitley, then Union Disinvestment Minister, proposed offloading the property from ITDC (India Tourism Development Corporation). Nothing happened. 

Fifteen years later, in 2015, the then Union Tourism Minister Mahesh Sharma said, “We believe it makes little sense to let these hotels run in perpetual losses.”  Nothing happened.

Two years later, in 2017, the then State Tourism Minister R.V. Deshpande told the Karnataka Legislative Assembly that his Ministry would take back Lalitha Mahal Palace Hotel from ITDC.

Eventually, it did and that should have been the turning point. But alas. It wasn’t.

The Palace was handed to Jungle Lodges and Resorts, a Government body with expertise in jungle retreats, not luxury heritage hotels.

The Government called it a temporary arrangement, promising a global tender soon after. “Soon”stretched into years. Now, finally, we are told the Government is ready to act. One hopes this time it means it.

The Karnataka Government must choose wisely who gets Lalitha Mahal, because it is not just another Government asset. It is central to Mysuru’s identity. As the city’s second-largest Palace, its revival holds immense potential for tourism and branding.

A heritage Palace hotel is not merely accommodation; it is an experience. It allows visitors to inhabit history, not just observe it. Cities that understand this have reaped the rewards.

Jaipur’s Rambagh Palace and Hyderabad’s Falaknuma Palace are not just hotels; they are global showcases.

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When the Taj Group took over Falaknuma, it invested heavily, transforming a decaying structure into a crown jewel. Today, it draws high-value tourists and elevates the city’s global profile.

At the cost of repeating thyself, one has to say, a fully restored Lalitha Mahal Palace could do the same for Mysuru. But that requires clarity of intent.

The Government must prioritise expertise over expediency. Restoration of a Palace is not a cosmetic exercise; it demands deep pockets, technical competence and a demonstrated history of reviving heritage properties.

For nearly 50 years, Lalitha Mahal has waited for its renaissance. Governments have come and gone, each promising action, but each leaving it to decay a little more.

It is reported that the company that eventually takes charge of the hotel will undertake renovation work under the supervision of the expert committee appointed by the Government. 

We hope this committee does not end up causing more delays, in turn, causing more damage to the withering Palace.

This Government, like the previous ones, has an opportunity not just to restore a building, but to reclaim a legacy. But will it? More importantly, will it give to a deserving candidate?

One only hopes the process is fair, the intent is genuine and the outcome is not predetermined.

Lalitha Mahal, with every passing tender, has been getting structurally tender. It needs a decision, the right one and right now                             before it crumbles.

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