New Delhi, Sept. 29 (PTI): The Tatas-owned Indian Hotels Company Ltd is likely to get an extension of three months to operate the Taj Mansingh hotel in posh Lutyens Bungalow Zone here after its lease expires next month.
Indian Hotels has been running the landmark property for the past 35 years, and its lease will expire on October 10.
The New Delhi Municipal Council (NDMC), which owns the property located at the heart of the national capital on Mansingh Road, is yet to come to any conclusion on auctioning the hotel as it is waiting for the opinion of the solicitor-general.
The NDMC had received the approval from the home ministry to auction the property earlier this month.
NDMC officials said the civic body was likely to extend the lease with IHCL for at least three months as it could not reach a decision on the issue until it got the opinion of the solicitor-general.
The decision to grant the extension is likely to be taken during the next council meeting to be held on October 7.
“The election code of conduct for the Assembly polls in Delhi is likely to be in place in a few days and it will become difficult to auction the property during that time,” an official said.
However, according to NDMC chairperson Jalaj Srivastava, the agency can approach the Election Commission for a “special permission” to auction the property.
“If the agency gets the solicitor-general’s opinion during the time when the code of conduct is in place, we can seek special permission from the Election Commission to allow us to auction the hotel,” Srivastava said.
The hotel has been caught in controversy since its lease ended in October 2011.
The property, constructed by the NDMC, was given to Indian Hotels in 1978 on lease for 33 years.
When the lease came to an end in 2011 and the NDMC was about to renew the lease, the urban development ministry intervened and asked it to auction the property.
As time was running out, NDMC gave a year’s extension to IHCL.
The NDMC then extended the lease for another year in September 2012.