Process to engage concessionaire for Yoga & Wellness Centre at Mantalai likely soon

Operator to invest Rs 8.32 cr, pay upfront premium

*Tourism Dept completes investor outreach exercise

Mohinder Verma

JAMMU, Aug 28: The long-awaited process to engage a suitable private operator or concessionaire for the International Yoga and Wellness Centre at Mantalai in Udhampur district is likely to be started soon, with the Tourism Department having almost completed the exercise of showcasing the project's immense potential at recent tourism promotion events.

The initiative is aimed at giving a fresh lease of life to the ambitious tourism facility, which has remained virtually idle despite substantial public investment since May 2024, and transforming it into a major destination for yoga, wellness and spiritual tourism.

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Official sources told EXCELSIOR that Tourism Department has been actively promoting the Mantalai project before prospective investors and tourism industry stakeholders during recent events, particularly the Travel and Tourism Fair (TTF) held at Mumbai, where several parties reportedly evinced keen interest in taking up the project.

"With the promotional exercise nearing completion, the department is now expected to move ahead with the process for selection of a suitable operator-concessionaire for operation and maintenance of the International Yoga and Wellness Centre and its associated infrastructure", they said.

Developed under the Government of India's Swadesh Darshan Scheme, the International Yoga and Wellness Centre along with associated infrastructure was completed at a cost of Rs 89.90 crore in the month of May 2024.

The project components include the yoga centre, wellness spa and Ayurveda complex, tourist facilitation centre, eco-log huts, meditation enclaves, helipad, open-air theatre, sewage treatment and water-purification facilities.

However, despite completion of the much-awaited facility, its full-fledged operation has remained elusive for over two years. In March this year, Chief Minister Omar Abdullah, who also holds the Tourism portfolio, had informed the Legislative Assembly that fresh efforts would be made to outsource the centre after the Government failed to find a suitable operator earlier. He had further informed the House that relaxation of certain terms was also being considered to make the project more attractive to prospective private players.

The proposed Public Private Partnership arrangement is significant as the selected concessionaire will not merely operate the Government-created facility. The operator will also be required to undertake renovation and refurbishment estimated at Rs 8.32 crore besides making efforts to develop and revive the adjoining Aparna Ashram infrastructure, sources informed.

Under the proposed financial arrangement, the concessionaire will have to pay the Patnitop Development Authority a non-refundable one-time upfront development premium of Rs 2.80 crore. The operator will also be required to pay an annual revenue share of 10 per cent of gross revenue, subject to a minimum annual revenue share of Rs 2.51 crore. The minimum amount will escalate by five per cent annually on a compounded basis.

A one-year moratorium on the annual revenue share from the appointed date has also been proposed, providing the operator an initial period to undertake refurbishment, establish operations and build the business, sources informed, adding the operator/concessionaire will manage and operate the property strictly as a Yoga and Wellness Centre.

"The arrangement also provides for sharing of additional annual revenue over and above the prescribed minimum with the Patnitop Development Authority, enabling the Government to benefit from better-than-expected performance of the facility", sources further said and hoped that participation of experienced wellness, hospitality and tourism operators will bring professional management and fresh investment to the facility and help turn the under-utilised asset into a commercially viable tourism product.

It is pertinent to mention here that Mantalai carries a distinct advantage owing to its existing spiritual and tourism legacy. The area is associated with Aparna Ashram, established by renowned yoga practitioner Dhirendra Brahmachari, and has long been regarded as having considerable potential for yoga, meditation and wellness tourism.

The renewed push assumes significance as J&K is seeking to diversify its tourism offerings beyond conventional destinations and promote wellness, spiritual, adventure and off-beat tourism.

If successfully implemented, the Mantalai model could also provide a template for putting other completed but under-utilised Government tourism assets into productive use through private-sector participation.