Welspun Infratech has acquired 50% stake in ARSS Infrastructure owned – ARSS Bus Terminal Private Limited.
ARSS Bus Terminal – a SPV of ARSS Infrastructure is constructing a bus stand in Baramunda on a PPP basis with Orissa State Road Transport Corporation. ARSS Infrastructure Limited has already begun work on the Baramunda bus stand, which is being constructed on 14.43 acres for Rs105.73Cr.
The concession agreement has been signed for a period of 15 years. The up front license fees for the project is Rs56Cr and ARSS would be paying 5% of the up front license with 15% hike on every third year.
Besides, ARSS will get six acres of government land within the bus terminus site on 90 years lease which will be used to develop a residential complex, a budget hotel, a commercial complex and a shopping mall.
The state government intends to replicate the Baramunda model to develop 27 bus stands across the state.
Prasanta Patnaik