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State Focus Himachal Pradesh Tourism Economy & Banking Infrastructure & Transport

Himachal Pradesh leases out Hotel Wildflower Hall at Charabra on a 47.1 per cent revenue share

Himachal Pradesh has awarded the right to run Hotel Wildflower Hall at Charabra near Shimla to the Oberoi Group's East India Hotels Ltd for 35 years, through an e-auction. The winning bid gives the State 47.1 per cent of the hotel's annual gross revenue, which the government calls the highest share in India for a transaction of this kind. The State also receives an upfront licence fee of Rs 24 crore, and the operator has committed a minimum investment of Rs 50 crore in the property. The government puts the total revenue to the State over the 35 years at about Rs 2,000 crore. The State keeps full ownership of the hotel and its assets; only the operating rights are leased. The property came to the State after the Supreme Court ordered its transfer from East India Hotels in February 2024, ending about 25 years of litigation, and the State took possession on 31 March 2025.

Revenue share to State: 47.1% of annual gross revenue Lease period: 35 years Upfront licence fee: Rs 24 crore Expected total revenue: About Rs 2,000 crore
Why it matters for exams: A named asset and a figure: Hotel Wildflower Hall at Charabra, leased for 35 years at a 47.1 per cent revenue share with a Rs 24 crore upfront licence fee.
Kerala PSCUPSC
30 October 2026 Source: The Tribune

In plain words

EIHL East India Hotels Ltd — The listed company of the Oberoi Group that runs the hotel.

Charabra Charabra — A place near Shimla in Himachal Pradesh where the hotel stands.

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