NESCO Ltd., a leading infrastructure development company, has marked a significant milestone with the signing of a domestic agreement for the development and operation of Wayside Amenities along the Bengaluru-Chennai Expressway Corridor Phase II. This partnership represents a substantial step forward for NESCO’s expansion in infrastructure development, further solidifying the company’s commitment to contributing to India’s growth.
NESCO to Develop and Operate Wayside Amenities in South Zone
The scope of work involves the development, operation, and maintenance of Wayside Amenities at three sites within the specified zone, which will be carried out on a lease basis with a 30-year contract period and an option for a 30-year extension. The project’s development period is expected to be completed within 10 months from the designated commencement date.
Rs 2.25 Billion Development Cost, Rs 3.50 Billion Annual Revenue Projected
The estimated development cost for the project stands at Rs 750 million per site, totaling Rs 2.25 billion for all three sites. Upon completion, NESCO expects to generate an annualised revenue of Rs 3.50 billion from the fourth year of operations across all three sites, with an annual lease rent of Rs 1690.60 million for the three sites, subject to adjustments based on the Wholesale Price Index (WPI) and Consumer Price Index (CPI).
Confidence in Timelines, Focus on User Experience
NESCO’s leadership expressed confidence in completing the project within the stipulated timelines and delivering substantial value to stakeholders. The company aims to enhance the user experience along the Bengaluru-Chennai Expressway by providing modern amenities, aligning with its vision of contributing to India’s infrastructure growth and creating long-term value for stakeholders.
Alignment with National Vision for Infrastructure Development
The project aligns with the National Highways Authority of India’s (NHAI) vision for enhancing infrastructure facilities and providing a seamless travel experience for users. This collaborative effort with NHLML, a 100 per cent owned SPV of NHAI, underscores NESCO’s commitment to India’s growth and its role as a key player in the country’s infrastructure development landscape.
