Lulu land restored, Mall to come up in Vizag!

In a major push to attract global investment and economic growth in Andhra Pradesh, the Chandrababu Naidu-led government has officially restored 14 acres of prime land along RK Beach Road in Visakhapatnam to Abu Dhabi-based Lulu Group International. The move, announced on Wednesday, revives a long-stalled Rs 2,200 crore commercial project, expected to transform Vizag into a major business and tourism hub.

The land, located at Harbour Park and widely referred to as “Lulu Land”, was originally allotted to Lulu Group in 2018 during Naidu’s previous tenure as Chief Minister. The project aimed to include:

1. A world-class shopping mall
2. A 6 lakh sq. ft international convention center
3. A 2 million sq. ft multiplex
4. A five-star deluxe hotel

Employment opportunities for 7,000 people

However, after YSR Congress Party (YSRCP) came to power in 2019, the government led by Y. S. Jagan Mohan Reddy canceled the land allotment, alleging that the Rs 4 lakh per acre valuation was far below its market worth of over Rs 700 crore. The YSRCP later attempted to auction the property at a reserve price of Rs 107 crore per acre, but the move failed to attract bidders.

The revival of the project gained momentum after a September 2024 meeting between Lulu Group Chairman Yusuff Ali, Executive Director Ashraf Ali M. A., and Chief Minister Naidu, where the company expressed its commitment to resume the project.

The State Investment Promotion Board (SIPB), chaired by Naidu, granted formal approval, underscoring the government’s focus on global investments. The Andhra Pradesh Industrial Infrastructure Corporation (APIIC) is now reviewing Lulu Group’s revised proposal before finalizing the allotment terms.

Economic boost for Vizag

A senior official involved in the process called the decision “a game-changer” for Visakhapatnam, stating: “This project not only fuels economic growth but also positions Vizag as a global business and tourism destination.”

Local business communities and industry leaders have welcomed the move.

The decision marks a significant step in Naidu’s broader economic vision, with the Lulu project expected to set the stage for further large-scale investments in Andhra Pradesh. The government and Lulu Group are now working to finalize project timelines, with construction and completion details expected soon.