Capital Investment Subsidy for Establishment of Heritage Hotel where the Heritage Assets are obtained from Tourism Department on Lease

The Tourism Department, Government of Madhya Pradesh, has introduced a scheme titled "Capital Investment Subsidy for Establishment of Heritage Hotel where the Heritage Assets are obtained from Tourism Department on Lease". Its objective is to draw private participation in the upkeep and running of state-owned heritage properties by converting them into heritage hotels. This approach supports the protection of cultural assets while generating tourism-led economic activity.

Under the scheme, a capital investment subsidy of 15% of the fixed capital investment is available, with an upper limit of ₹5,00,00,000/-. Applicants must commit a minimum capital expenditure of ₹10,00,00,000/- for projects approved by the department. The Madhya Pradesh Tourism Board oversees the scheme’s implementation and operational support for investors.

Applications are submitted through the State Government’s Invest Portal, which serves as a single-window facility for prospective investors. The programme aims to attract substantial private investment, utilise heritage assets for tourism, and foster lasting economic prospects within Madhya Pradesh.

• Step 1: Register on the Invest Portal. Begin by accessing the Madhya Pradesh Government's Invest Portal (https://sws.invest.mp.gov.in/) and start the registration process, choosing the category "Vendor / Investor." Provide the necessary basic details, picking the correct "Type of Organisation" (such as Public Limited Company, Private Limited, LLP, Proprietorship Firm, Partnership Firm, Cooperative, Trust, FPO, or Individual). Ensure the firm/company and authorised person names are entered correctly, along with a working email address and mobile number for all future correspondence. After submission, a User ID and password will be sent to the mobile number you provided.
• Step 2: Finish Your Profile and Obtain Permissions. Log in with the credentials you received, then complete your profile to finalise the registration. Next, apply for and obtain all required permissions through the online single-window system within the prescribed deadlines. Finish building your heritage hotel, making sure the minimum capital expenditure of ₹3,00,00,000/- is achieved, and start commercial operations, keeping evidence like the first lodging or catering bill.
• Step 3: File the Capital Subsidy Application. Submit the capital subsidy application online within one year of the date commercial operations begin. Attach all necessary documents in the required formats (for instance, JPG for photographs).
• Step 4: Verification and Payment. The Tourism Department/Board will review your application and the supporting paperwork, then process the subsidy claim for release.

The Madhya Pradesh Tourism Department/Board examines each application and its accompanying paperwork in detail. After confirming that every condition, such as the minimum capital expenditure and the start of commercial operations, has been fulfilled and certified, the department proceeds with the subsidy claim. Further checks, which may involve site inspections or reviews of documents, are carried out to verify that the business has operated continuously for the required duration.