A five-star hotel project at Shirorda-Velagar in Maharashtra’s Sindhudurg district, pending since 1994, has moved closer to implementation with the signing of a tripartite agreement between the Maharashtra Tourism Development Corporation (MTDC), Indian Hotels Company Ltd (IHCL), operator of the Taj brand, and Shirorda-Velagar Landowners’ Co-operative Society Ltd.
The agreement was signed at Mantralaya in the presence of Maharashtra Chief Minister Devendra Fadnavis, Deputy Chief Minister Eknath Shinde, Tourism Minister Shambhuraj Desai and other state officials.
The project dates back to 1994, when private land was acquired by the Sindhudurg district administration on behalf of MTDC. Government land was subsequently added to the project, taking the total landholding to 54.40 hectares in the corporation’s name.
The project received fresh momentum following an in-principle approval for the proposed agreement in December 2025. The MTDC board subsequently approved the property at its 177th meeting on April 28, 2026, while the state government cleared the agreement with IHCL-Taj on June 30.
Landowners to receive ₹60 crore
Under the agreement, IHCL will pay ₹60 crore to the concerned landowners in three phases, at a rate of ₹1.44 crore per hectare.
For the 23.88-hectare Plot B-1, the first phase will involve a payment of approximately ₹34.41 crore.
The development is expected to provide a long-pending boost to tourism infrastructure in Sindhudurg, with the Taj Group set to anchor the proposed five-star hospitality project.
Employment and Skill Development Opportunities for Local Youth
The five-star hotel project is expected to provide a significant boost to tourism in Sindhudurg district while creating new employment opportunities for local residents. Priority will be given to the local community while providing employment opportunities to eligible project-affected persons. In addition, the Taj Group will undertake skill development and training initiatives, or provide necessary support, to enhance the employability of local youth.
New Impetus to Tourism Development in Sindhudurg
The project will play an important role in complementing the natural beauty of Sindhudurg district with modern and world-class tourism facilities. The five-star hotel will strengthen the district’s tourism infrastructure; help increase tourist footfall and provide an impetus to the local economy. The project will also create employment opportunities for local residents.
The tripartite agreement signed in the presence of Hon. Chief Minister Shri Devendra Fadnavis marks an important milestone in the tourism development of Sindhudurg. Under the leadership of Tourism Minister Hon. Shri Shambhuraj Desai, the Department of Tourism is accelerating tourism projects while giving priority to protecting local interests and generating employment. The Shirorda-Velagar project is expected to be significant in this regard.
The tripartite agreement was signed by Maharashtra Tourism Development Corporation Managing Director Hon. Shri Nilesh Gatne and Senior Manager Shri Sanjay Dhekne; IHCL – Taj Group Managing Director and Chief Executive Officer Shri Puneet Chhatwal and Executive Vice President Shri Rajendra Mishra; along with representatives of the Shirorda-Velagar Landowners’ Co-operative Society Limited.
The five-star project at Shirorda-Velagar will not be limited merely to the construction of a hotel. It will be an important tourism development project providing economic benefits to local landowners, employment and skill training opportunities to local youth, space for public amenities, and a wider platform to showcase Sindhudurg’s tourism potential.
Air Connectivity to Ensure Easier Access for Tourists
The five-star tourism project at Shirorda-Velagar will benefit from excellent air connectivity. The hotel will be located approximately 30–45 minutes from Sindhudurg Airport (Chipi) and around one hour from Manohar International Airport, Mopa (Goa). This will make Shirorda-Velagar more easily accessible to domestic tourists from different parts of Maharashtra and the country, as well as international tourists.
