Shimla, October 30, 2026 (Yes Punjab News)
The Himachal Pradesh government on Friday announced the successful completion of a competitive e-auction for granting licence rights to operate and manage the five-star Wildflower Hall Hotel in Shimla, securing a record revenue-sharing bid of 47.1 per cent of the hotel’s annual gross revenue.
The government said the bid was believed to be the highest-ever revenue-sharing offer in India for a transaction of this nature.
The arrangement is expected to generate substantial and sustained recurring revenue for the state exchequer, estimated at around Rs 3 crore per month, with an annual escalation of 3 per cent over the 35-year licence period.
The transaction is projected to generate total revenue of approximately Rs 2,000 crore over the licence period. In addition, the agreement includes an upfront licence fee of Rs 24 crore and a commitment to invest at least Rs 50 crore in the hotel property, the government said.
The achievement follows the conclusion of nearly 25 years of prolonged litigation, which ended with the restoration of the hotel property to the state government through judicial proceedings before the Supreme Court.
As a result, the state government has secured complete ownership and control of the hotel’s land and property, the joint venture company and its associated assets and rights. The government has also secured cash accruals of around Rs 400 crore.
The successful auction, conducted through a transparent and competitive bidding process, marks a significant step towards unlocking the economic potential of the iconic property while retaining full ownership of the hotel and its underlying assets with the state government.
Chief Minister Sukhvinder Singh Sukhu said the state government was committed to protecting the legitimate rights and interests of Himachal Pradesh in every major project and public asset.
He described the resolution of the Wildflower Hall matter after nearly 25 years of litigation as a significant achievement for the state.
Sukhu added that the government had consistently pursued Himachal Pradesh’s legitimate interests in several important projects.
He reiterated that the government would not compromise on the interests of the state and its people and would continue to pursue every matter firmly and transparently.
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