CHANDIGARH: Amid mounting financial losses, eight hotels, restaurants and cafes of the Himachal Pradesh Tourism Development Corporation (HPTDC), including some prime tourism properties, will be outsourced to private players on an operate-and-maintain (ONM) basis.
Sources said that listing the eight properties of HPTDC which are proposed for outsourcing, the Managing Director of HPTDC has recently written a letter to the Principal Secretary (Tourism) confirming that the proposal has received approval from Chief Minister Sukhvinder Singh Sukhu. An officer of the rank of Deputy General Manager has been appointed as the nodal officer to coordinate with the Himachal Pradesh Infrastructure Development Board (HPIDB) for executing the outsourcing process.
These properties include Old Ross Common in Kasauli, Apple Blossom in Fagu, Sarvari in Kullu, Hotel Lakeview in Bilaspur, Hotel Mamleshwar in Chindi, Hotel Chanshal in Rohru, Hotel Shiwalik in Parwanoo and Giriganga in Kharapathar. Of these, Apple Blossom and Lake View are the largest units with 26 rooms each, followed by Hotel Sarvari with 18 rooms.
Sources said that this decision to outsource these properties to private players is outcome of a state cabinet approval granted on June 28, 2025, which initially cleared the outsourcing of 14 HPTDC properties. However, six properties were later removed from the list, including Kashmir House in Dharamsala, where the HPTDC headquarters was subsequently shifted.
Sources further added that this step taken by the government is in orders to reduce the financial burden on HPTDC which is in losses. Out of the 55 hotels, restaurants and cafes owned by the corporation, as many as 35 units are currently running in the red. The move is aimed at improving efficiency and reviving several tourism properties that have been struggling due to poor maintenance.
Earlier the HPTDC Chairman Raghubir Bali had urged the state government to reconsider the outsourcing plan. He had suggested that instead of handing over the properties to private players, the government should renovate and modernize the hotels, many of which are currently in a deteriorated condition. According to him, proper upgrades could help these properties attract tourists again while remaining under government control.