Project Information Memorandum - Jharkhandjuidco.jharkhand.gov.in/MIS/Home/cirfiles/PIM Mango.pdfJharkhand Urban Infrastructure Development Company (JUIDCO) Ltd. Re-development / Renovation

Jharkhand Urban Infrastructure Development Company (JUIDCO) Ltd. Re-development / Renovation of Bus Stand at Mango (NAC) Jamshedpur in Jharkhand

Delhi Integrated Multi Modal Transit System Ltd. 1

JHARKHAND URBAN INFRASTRUCTURE

DEVELOPMENT COMPANY LIMITED

(JUIDCO LTD.)

Urban Development & Housing Department

Government of Jharkhand

Preparation of Detailed Project Report and Project Management Consultancy Services for Re-development / Renovation of Bus Stand at Mango NAC

(Jamshedpur) in Jharkhand

Project Information Memorandum



Project Information Memorandum

Project Background

Due to rapid industrialization and growth in the state of Jharkhand during the last decade, there has

been a tremendous increase in the number of public vehicles. There are several large scale industries

located in Jharkhand and other neighbouring states due to which there are frequent movements of

passengers, goods and vehicles from one city to the other. This high influx of economic and tourist

activities has a direct influence on the travel demand. This put immense pressure on the existing

transportation infrastructure. Well-organized transport infrastructure including public transport buses,

bus terminals, bus stops, roads and intelligent transport systems is one of the crucial components to

meet the travel demand needs of a city.

Considering that Bus Stands are the interface between passengers and the public transport system,

an organized system is always advantageous both from the economic point of view as well as

passenger safety. It also depicts a positive image/outlook of a city and its infrastructure. The town has

stands which are located at major locations but bear the look of being congested and unorganized.

The need for upgradation of these existing bus terminals is impending and can be logically justified on

the basis of the following considerations:

Lack of proper passenger amenities

Lack of organized bus circulation, parking areas for buses and boarding & de-boarding

arrangements for passengers resulting in passenger-vehicle incongruity

Increased journey time owing to traffic congestion within the premises

Lack of connectivity with other transit infrastructure viz., personal vehicles (4-wheeler, 2-

wheeler), autos, etc.

The existing facilities of these Bus Stands have been proposed by JUIDCO to be upgraded along with

development of additional bus bays, organized bus circulation and parking zones, auto-rickshaw lane,

parking for transit vehicles (4W & 2W), passenger entry/ exit, terminal building consisting of passenger

circulation and waiting areas, ticket/ reservation counters, cloak room, first-aid room, waiting rooms,

passenger amenities like drinking water, Pay & Use Toilets, Yatri Nivas etc., restaurant, shops, kiosks

and administrative offices, crew restrooms, parcel office and other facilities.

Purbi Singhbhum district is situated at the south-east corner of Jharkhand. It has been formed after

isolating nine block from old Singhbhum on 16th January 1990. From the industrial growth and mining

quarrying point of view this district has leading position in Jharkhand. Before independence the entire

area of Purbi Singhbhum district was part of old Manbhum district and old Dhalbhum estate. After

independence it has been merged with greater Singhbhum. The total geographical area of district is

about 3533 sq. kms, which is about 2.03% of the whole state.



Figure Error! No text of specified style in document.-1: Highlighted in red is the District

of Purbi Singhbhum1

Jamshedpur is one of the oldest and the largest existing company town in the world. It was the

benchmark of development for post independent Indian industrial cities such as Bhillai, Rourkela and

Durgapur, which were established in completely rural areas. A city founded by the late Jamshedji

Nusserwanji Tata, Jamshedpur then known as Sakchi was home to the first private 2Iron and Steel

Company of India. The Jamshedpur Block was established in the 1952 and constitutes of rural & urban

areas having one Municipality and two Notified Area Committees namely Jugsalai Municipality,

Jamshedpur Notified Area Committee and Mango Notified Area Committee. Tata Nagar was the sole

urban node for many decades till villages within its vicinity transformed into urban agglomerations.

Jamshedpur is 3located in a hilly region, and its terrain is quite uneven. Jamshedpur occupies about

2.03% of the total area of Jharkhand. Total geographical area of Jamshedpur is 230.59 sq. km.

Administration

The civic administration of the city is under multiple hands. They are

Jamshedpur Notified Area Committee (JNAC)

Jamshedpur Utilities and Services Company (JUSCO), a Tata Steel subsidiary

Mango Notified Area Committee (MNAC)

Jugsalai Municipality (JMC)

1 1 https://en.wikipedia.org/wiki/East_Singhbhum_district#/media/File:JharkhandEastSinghbhum.png

2 https://jharkhandtourism.wordpress.com/2009/03/23/jamshedpur/

3 http://www.floodmap.net/Elevation/ElevationMap/?gi=1269300



Adityapur Municipal Corporation (AMC) and

Gamharia Nagar Panchayat

JNAC is divided into two parts, one is the Tata lease area while the other is the non-Tata lease area.

The leased area which is 41 sq. km is managed by JUSCO while the rest is managed by JNAC itself.

MNAC looks after the residential regions of Mango and Pardih, 18 sq. km in area. AMC looks after the 49 sq. km of Adityapur region comprising the residential as well the industrial belt.

Mango is a suburb of Jamshedpur city. It is situated across the Subarnarekha River and is connected

via two bridges laid side by side. It is a huge and growing residential area. Once a suburb, it is now a

real estate hotbed. Mango has the status of a 'city' according to the government though being part of

the main city Jamshedpur. It is a notified area and is run by its own notified area committee, namely,

Mango Notified Area Committee (MNAC). 4

Figure Error! No text of specified style in document.-2: Location of Mango in

Jharkhand5

The electricity services are provided by state run electricity board, JSEB. There is no household water

delivery system presently but MNAC has recently entered into an agreement with JUSCO to provide

tap water services to the area. It is primarily a residential area and is now witnessing a real estate

boom.

Many developers are developing residential colonies in the area. It has two hospitals, namely, MGM Medical hospital and the newly opened Brahmananda Hospital. The MGM Hospital also has a college associated with it. Two new private engineering colleges have also been set up in the area.

4 http://www.nacmango.com/

5 www.mapsofindia.com



Site Appreciation

Mango Bus Station is located at Gandhi Ghat on the bank of River Subarnarekha and opposite Sakchi

Water Treatment Plant. It comes under the jurisdiction of the JNAC and is a prime location for

commutation within and outside Jamshedpur.

It is divided into two parts:

i) Jamshedpur Bus Stand: It operates the interstate and intercity buses of different State Transport

Undertakings.

ii) JP Setu Bus Stand: It operates the privately owned interstate and intercity buses. The JNAC has

decided to redevelop and re-design this stand as per the requirements of the city.

Figure Error! No text of specified style in document.-3: Mango Bus Stand Site

Location

The JP Setu Bus Stand is a fully operational site and has an approximate area of 2.3 acre.

Existing Site Infrastructure

The various infrastructure facilities available at the site:

- Idle bus parking area

- Administrative block

- 2 public toilets (Sulabh Shauchalaya)



- Ticket counters

- Shops

- 1 electrical room

- Boundary wall

- Workshops

The boundary wall, pavements and toilets are not maintained and are in poor condition. Hawkers and

local vendors occupy most of the site area. The area after entering Gate no. 3 is not being utilized

properly and is abandoned.

There is a 25-30 m wide drain that runs along the rear-side of the Mango Bus Station.

Concept Plan

The Government of Jharkhand has proposed an Interstate Bus Terminal (ISBT) at NH-33 in Mango.

In this case all the Interstate and intercity buses shall ply from the proposed ISBT and the existing bus

stand shall be meant for the local buses only. Hence the existing bus stand is to be re-developed as

“City Bus stand.”

Considering this fact, the concept plan was developed for the City bus stand facilities with the proposal

of commercial establishment within the project site also. This commercial establishment tends to make

the project on Public Private Partnership (PPP) mode. The detailed financial structuring was studied

and found that the existing bus stand may be redeveloped on PPP mode. In this scenario the project

site would include not only the bus stand facility but the depot facility and commercial establishment

also.

In order to determine the capacity of bus stand, the present traffic scenario has been analysed and

forecasted accordingly. These analysis shows that total number of 6 bus bays with 15 minutes of dwell

time shall be sufficient to cater the peak hour capacity.

Proposed Facilities

Passenger Amenities

The activities for the passenger amenities in addition to toilets and cloakroom are given below

Tea/ Coffee Stall/Fruit/ Juice Shops

Sweet Shops/Ice- Cream Parlours/Fast Food Outlets/ Snack Shops

Restaurants

Convenience/ General Merchant stores/ Department stores

Stationary/ Book shop/ newspaper stand

Chemist/ Pharmacist

Travel accessories



Shoe retail/ Repair Outlets

PCO

Barber/ Hair Saloon

Toilet (Male/ Female)

Police Control room

Waiting Room

Cloak Room

Enquiry Booths

Dormitories

Services/Offices

As a part of generating revenue, following category of services or offices can be provisioned within the

complex.

Banks/ Finance Companies/ ATMs

Yatri-Niwas (Boarding & Lodging)

Professionals: Doctors/ Dentist

Business Centre/ Internet Cafe (Telephone, Fax, Internet, e-mail etc.)

Insurance Company Offices

Proposed Redevelopment

Zoning

The concept plan for Mango Bus stand cum depot is explained as follows:

1. Broadly the entire site i.e. Existing Private bus stand and Government bus stand is zoned into

three parts namely the terminal area, the depot and the Commercial area.

2. The terminal area and the depot area have been planned in the 2.3 acre land away from the

junction and the commercial establishment is planned in the Government bus stand land,

i.e.,1.3 acre land keeping the existing building and creating another commercial building

adjoining it.

3. The buses enter the site on the corner of the North east edge and the bays are planned towards

the rear periphery of the site with the terminal area and administrative building facing the front

road.



4. Administrative building have the minimum mandatory facilities on the ground floor and the

remaining administrative facilities for terminal and depot have been proposed on the upper

floor.

5. The buses after the bays exit on the main road itself.

6. The entry of the buses for the depot facilities, i.e., parking, repair, etc. also enter the site from

the same entry as that of the terminal.

7. The exit is also common for the terminal and depot.

8. Minor repair, bus wash and repair bays have been provisioned in the depot area.

9. Approximately 60 - 70 buses can be parked in the depot area.

10. Having a good frontage along the depot side, street shops/ kiosks have been planned at the

road side along the depot area for pedestrians walking along the periphery of the site on the

footpath in the proposed ROW.

11. This footpath along the street shops is connected with the newly developed commercial area.

12. The existing building shall be renovated and converted proposed to be converted into

commercial area.

13. A new building adjoining the existing building is proposed for further commercial utilization in

the form of retail, offices or hotel.

14. Dedicated basement parking for the commercial establishment is proposed.

15. In the hotel complex the Ground floor has been planned for a restaurant and retail shops.

16. Retail shops are also planned on the first floor along with the office spaces.

17. The hotel rooms are planned on the Fourth, Fifth and Sixth floors.

Figure Error! No text of specified style in document.-4 Concept Plan



Figure Error! No text of specified style in document.-5: 3D View of the Concept Design

Figure Error! No text of specified style in document.-6: 3D View of the Concept Design

Area Configuration

Table Error! No text of specified style in document.-1: Area Statement –

Concept Plan

Description Area (sq. m.)

Total Plot Area (as earmarked) 14604

Total Permissible FAR (Floor area Ratio) @ 2.0 29208

Achieved FAR

Administrative block (G+2) 160 x 3

Existing building (commercial) (G+2) 900 x 3

Commercial (G+6) (Retail/ Offices/ Hotel) 1734 x 7

TOTAL 15318



Car Parking Calculation

Table Error! No text of specified style in document.-2: Car Parking Calculation -

Concept

Sl. No. Description Required Area

(sq. m.)

Provided Area

(sq. m.)

Bus Terminal

Private Parking

Required parking for facilities

block (1 ECS PER 200 SQM) 55 sq m / 2.4 ECS 60 sq m (surface)

Commercial Area

Parking

Required parking for facilities

block (1 ECS PER 200 SQM)

2400 sq m / 75

ECS 2400 (basement)

Bus Stand Planning Configuration

Bus Stand Planning Configuration

Sl. No. Floor Facilities provided Level (assuming

road is 00 lvl)

1 Ground Floor Pedestrian Circulation area

Bus platforms

Ticket counters. Enquiry counters

Police Control room

Waiting hall (AC)

Toilets

Electrical room/ BMS room

Vertical Circulation elements-

Elevators and Stairs

Drinking Water Fountains (RO)

Some shops like Snacks/Drinks

etc.

+0.30 m LVL

2 First floor Spaces for shops/ offices/ retail

Ex. Banks, Institutes etc.

Toilets

Vertical Circulation elements –

stairs and Lifts

Drinking water space

Electrical room

+6.45 m LVL

3 Second floor Spaces for shops/ offices/ retail

Ex. Banks, Institutes etc.

Toilets

+9.95 m LVL




road is 00 lvl)

Vertical Circulation elements –

stairs and Lifts

Drinking water space

Electrical room

2 Third Floor Administrative rooms

Dormitories

Cloak rooms

Toilets





+13.45 m LVL

3 Terrace Floor Mumty

Machine room

Overhead Tanks

+16.95 m LVL

At the rear end, there is provision of minor repair bay for the buses and a service pit. For storage of

materials required for repairing etc. there is a lockable workshop with rooms provided.

Bus wash provision is kept with water tanks and an ETP (Effluent Treatment Plant).

All such facilities are kept at the rear end of the site so as to be away from the passengers.

Bus Stand Planning Configuration (Proposed Commercial building)


road is 00 lvl)

1 Ground Floor Hotel reception

Waiting lounge

Retail shops

Toilets





+0.30 m LVL

2 First floor Retail shops

Space for Offices

Toilets


+4.1 m LVL




road is 00 lvl)




3 Second floor Space for offices

Toilets





+7.6 m LVL

4 Third floor Space for offices

Toilets





+11.10 m LVL

5 Fourth floor Banquet hall

Rooms/ Suite rooms

Toilets





+17.10 m LVL

6 Fifth floor Banquet hall

Rooms/ Suite rooms

Toilets





+20.60 m LVL

7 Sixth floor Rooms




+20.60 m LVL

4 Terrace Floor Mumty

Machine room

Overhead Tanks

+24.10 m LVL



Entry & Exit

For the terminal and the depot the entry and exit is from the main road on the northern edge

towards the eastern side.

The private cars and public transport like auto/ taxis enter north edge of the main road to have

drop off created directly onto the pedestrian plaza and the terminal area.

The private vehicle entry/ exit for the commercial area also is proposed from the main road

on the northern edge but more towards the junction.At entrances and exits of the bus-way,

mild steel gates have been provided for security and safety purpose and also for avoiding

trespassing during non-operational hours.

Apart from the Gates which will remain open during the operational hours boom barriers have

been provided for monitoring and managing the bus entry/ exit system

Large sign boards on Gantry structures have been provided at the entrance of the Bus stand

Security cabin have been provided near the entrance and exit which houses space for 1

personnel who would manage the bus entry/ exit and assign necessary instructions for parking

etc.

The buses are expected to park at their allotted bays after entering the bus stand

Separate gates have been provided for the private vehicles, autos and 2 wheelers. This is

done primarily to segregate the traffic and have conflict free movement between the two

modes.

Separate entry and exit for private vehicles is planned in this Bus stand with unidirectional

movement

Vehicular Movement

The buses enter from the main road from the north eastern side of this edge and move at the

rear end and exit a little away from the centre towards the northern side of the main road edge.

Segregation of terminal and non-terminal activities/ traffic

The commercial area has a proper round-about drop-off area near the junction.

Unidirectional flow of all modes of transport. No loops are formed, the entry and exit is

separate.

Segregated traffic movement in terms of type flow (local buses, inter-state buses, private

vehicles and etc.) and function.



Circulation

Patterns of circulation play a determining role in the architectural organization of this bus

stand. In Mango, strict segregation of vehicular (bus movement) and pedestrians is initiated

in the entire station.

One way movement

Providing clear circulation will assist the flow of passengers create regular movement

patterns inside the station. Where this is well executed security cameras using smart

detection systems can easily detect abnormal behaviour. Effective signage can also be used

to differentiate between the different objectives in the bus stand (travel, retail, etc.) and to

prioritize circulation flow. For example the information provided about travel should be more

conspicuous than that provided for retail and other ancillary activities.

The key aim of successful circulation will be to reduce as much areas of high concentrations

of people. Specifically to avoid bottlenecks in the bus stand, allowing sufficient space before

and after the ticket gate-lines, elevators, stairs and other critical points where congestion

could occur.

Vertical circulation is provided from a variety of points throughout the station in the form of

stairs and lifts. The combination of non-mechanical and mechanical means of vertical

circulation ensures that there is not a reliance being placed on the local electrical

infrastructure which is generally considered unreliable. This being said, in the event of a

power failure, an emergency backup Diesel Generator will be implemented, which will cause

the lifts to restart automatically.

Pedestrians have conflict free movement which eases the movement patterns and prevents

unwanted accidents even within the complex.

Total area provided for circulation is 4058 sq. m. which achieves LOS A+ in 2041 for all

passengers.

Parking

The buses that enter drop off the passengers or park at the dedicated parking area in the

depot.

Some parking for private vehicles, i.e., cars and two wheelers is proposed near the private

drop off point at the surface level.

Minimum waiting space is provisioned for taxis and autos

For the commercial area some amount of surface parking is provisioned for at the rear side

of the existing building, while to achieve the desired ECS, a basement below the commercial

plot (i.e., existing Government bus stand) is created for parking.

Adequate space has been provided near the drop off area at the entrance (south eastern

edge) for visitor/ passenger parking of Private vehicles, 2 wheelers and autos/ taxis.



Private vehicle parking for staff and shopkeepers is provisioned at the northern edge.

The road width considered in between two car parks is 5m

The road width considered in between two 2 wheelers is 3m

Islands with soft landscape has been planned at the edges of the parking lot.

Parking area is defined with cement concrete kerbs and individual parking space is

demarcated by paint.

Parking calculation is done as per the Jharkhand Building Bye-laws wherein the norm says

that 1 ECS per 200 sqm of Built up area is minimum parking area requirement.

Therefore 400 sqm of parking area is required for a built up area of 3500 sqm and accordingly

890 sqm has been provided for parking and dedicated auto stand.

As per the present modal split parking survey done, forecasting of modal split of private

vehicle parking is done and percentages of each mode have been derived. This percentage

is distributed in the entire parking and provision has been kept. The sizes considered for

each of the following are as follows

Cars – 2.5m x 4.5 m (As per Jharkhand Building Bye laws)

2 wheelers – 1m x 2m

Autos/ Taxis – 2.5 m x 4.5 m

The dimensions of the bus bay is shown as follows

The boarding bays have to be easily accessible by the bus with minimum maneuvering.



Considering the availability of space and following reasons, it is preferable that buses turn head first

into the bay because boards are more visible and drivers find it more convenient.

Tyre stopper provision has been made about 1m before the kerb so that the front overhang

of the bus is within the bay and not projected onto the platform.

The edge of the bay is defined by a 300mm high cement concrete kerb.

The clear headroom for the buses is 5.5 m

Steel space frame canopy with toughened glass above has been planned for above the bus

bays partially to provide shade to the de-boarding and alighting passengers.

Platforms

Platforms are the spaces for passengers to move and manoeuvre before and after boarding

and alighting their buses respectively.

These are not enclosed spaces, but roofed areas so that there is protection from sun and

rains.

For visual transparency within the platforms minimum mandatory enclosures are planned in

this area like ticket counters, police control room etc.

Flamed granite is used in flooring for ease of maintenance, durability and for its non-slip

characteristic to aid the old age, physically challenged etc.

Tactile flooring for the visually impaired people has been integrated with the granite flooring

throughout the platform areas.



Directional signage directing towards various spaces like toilets, drinking water etc. is

planned at various locations for the ease of the commuters.

All wall surfaces and column surfaces are cladded with polished granite up to ceiling for ease

of maintenance and durability.

Administrative areas

In the name of administrative areas ticket counters and a Police control booth is located on

the Ground floor as maximum circulation space is desired.

Ticket counters and Enquiry counters have workstations along with granite window counter

for ticketing

The windows in ticket counters are aluminium sliding windows with fixed glass at lower

portion of window with opening for cash and ticket transaction

Aluminium grill for security has been provided at the window

RCC slab at 3m level is provided with Gypsum false ceiling below

Vitrified tile flooring is within the rooms

Internal wall finish is in plastic paint

Police control booth has provision of 2 workstations

First floor has other mandatory administrative spaces like Dormitories, Drivers Rest room,

Cloak rooms, and Administrative offices

All of these rooms are finished with Vitrified tiles on floor, Plastic paint on walls and Oil Bound

Distemper finish on ceiling.

Dormitories are provided with beds with lockable storage cabinets

Toilets

Sanitary provisions have been made as per National Building Code (2005)

Hence, the requirement for the projected Footfall (peak hour) is as follows:

Sanitary facilities for Gents per floor

WC = 2 nos.

Wash basins = 2 nos.

Urinals = 2 nos.

Sanitary facilities for Ladies per floor

WC = 2 nos.



Wash basins = 2 nos.

1 nos. toilet is for the physically handicapped on each floor which is finished with non-slip materials on

the floor and have all support system on walls

The toilet is finished in ceramic tile flooring

In walls, cladding is in ceramic tile up to 7 feet height and Oil Bound distemper finish above

7 feet.

Wash basins counters are made of Polished Granite.

Looking Mirror is fixed in wooden frames at length along the entire wall above the wash basin

up to 7 feet height.

Vertical Circulation elements

Combination of manual and automatic vertical circulation elements is provided.

Staircases have been provided as per the codal provisions in the National Building Code

2005.

Flamed finish granite is for the floors.

Walls are cladded with polished granite up to ceiling for ease of maintenance.

The Geometry of stone cuts is coordinated with the floor joints.

Stainless steel 304 grade railing is provided in the staircase.

15 passenger capacity elevators 1 nos. are provided especially for the physically challenged.

Shops/ Commercial areas

Apart from mandatory facilities in the bus stand certain other facilities like Snacks and Juice

stall etc. are provided

Some shops are provisioned for in the Ground floor that would primarily cater to the basic

requirements of the passengers like snacks and drinks stall

On the first floor apart from the administrative rooms all the commercial activities are provided

in the form of shops.

Bare shell of these rooms is provisioned for and the finishing in terms of floor finish, wall

cladding etc. shall be done as per the end user or the retailer to whom the shop would be

allotted or leased out

Each of the shop is provisioned with rolling shutter for security

Windows for natural ventilation in aluminium finished frames with fixed glass and aluminium

grills



Common areas

All common areas are user friendly

Combination of polished and flamed granite is used in flooring for ease of maintenance,

durability and for its non-slip characteristic to aid the old-age, physically challenged etc.

Tactile flooring for the visually impaired people has been integrated with the granite flooring

throughout the common areas on all floors

Directional signage directing towards various spaces like toilets, drinking water etc. is

planned at various locations for the ease of the commuters

All wall surfaces and column surfaces are cladded with polished granite up to ceiling for ease

of maintenance and durability

All seating in waiting areas is in brushed finish stainless steel finish fixed to the floor and not

kept lose

Seats are with arm rests to discourage sleeping

Bollards are used at entrance areas to control vehicular access in the pedestrian zone

Signage

Signage are user-friendly and provide information essential to users, engendering a sense of

reassurance, security and orientation when entering, exiting or transferring. It shall guide users to

various areas, provide information of the bus stand and its services and provide information on Bus

services. User information shall cover the following as the minimum:

Static signages such as Bus stand name, destination of services, platform number, way

finding signs, direction, entry, and exit

Variable signages such as real time travel information to customers

Maps and long term changeable information on scheduled services and ticket costs

Information on the use or operation of a place or system

Intermodal connections

Emergency exits

Rules of conduct to users

All signages shall have alternate pictorial signages. User information displays are so located

that users seeking information have ready access without obstructing free flow of users.

Signs shall be placed at decision points, and perpendicular to the line of sight. Signages

placed on the left side of passages including stairs, lifts and escalators.



Proper directional signage’s, road markings and road signage’s is envisaged and is required

to be detailed for making the proposal user friendly and efficient. Mandatory sign, information

signs, warning signs as per IRC norms (IRC 67:2001 – code of Practice for road signs & IRC

35-1997- code for practice for Road Markings) is required wherever necessary

Landscape

Landscape features in the form of soft and hard scapes have been provided

Ground cover and shrubs within the parking area and round-abouts have been provided

Ground cover in the form of Iresene would be used

Shrubs like Wedeleia Trilobata and Clerodendrome Inerme will be used

These plantations will add colour to the soft scapes

At the periphery where lamp-posts are proposed, green areas with common grass and

Bougainvillae shall be used

Pedestrian Amenities

Basic pedestrian amenities are provisioned for in the terminal area.

It is expected that large scale barricading of road edges from pedestrian traffic will provide lot

of relief to the motorized vehicular flow from the pedestrian movement

Simultaneously, dedicated channels for pedestrian flow from one zone to another shall ensure

that the requirements for the pedestrians are met in totality.

Pedestrian traffic shall not conflict with other modes of transport.

The proposal focuses on the pedestrian facilities and fills in all the gaps in the same/ it is

mandated that pedestrian circulation has to be safe, secure and fully facilitated so that they do

not have any incentive in sharing road space and mixing with vehicular traffic. The proposal

ensures conflict free movement of pedestrians from one collection zone to other.

Key measures adopted to arrive at the ideal solution for smooth traffic circulation include

pedestrian barriers, foot over bridges, pedestrian underpasses and forcing vehicular merging

and de-merging along the direction of vehicular flow.

Co-ordination of different activities in terms of functional and spatial inter-relationships

Timely dissemination of vehicular and related necessary information to passengers

The proposed redevelopment of the bus stand also included minimum spaces for the

passengers to wind up and relax.

Provision of necessary facilities/utilities to meet the requirement of all user groups

Workshop for Buses

To ensure to the maintenance of buses, 1 bus wash facility has been provisioned for

Also workshop is proposed for buses, where there is a provision to carry out minor repair and

maintenance for at least 2 buses at a time

Facility for Physically Challenged

Proper planning for the movement of the physically challenged/ differently abled is envisaged. Ramps

are provided wherever change in level is planned. It is proposed to use mechanical systems like lifts



and escalators for making it easier for pedestrians and physically challenged to encounter changes in

grades. Barrier free movement throughout the bus stand is planned.

Lighting

Lighting is proposed to be upgraded using high mast lighting, pole lights and pedestrian bollard lights

so that a minimum of 100 lux is available everywhere around the complex and paths are properly lit

for the pedestrians.

Other Facilities

Energy efficient and green building features have been incorporated to make the proposed building at

par.

Having the concept plan frozen, engineering surveys like Topographical survey and Geotechnical

Investigations were conducted based on which the detailed Architectural plan and detailed structural

design has been prepared.

Engineering Design

Pavement Design

Rigid Pavement

Rigid pavement is proposed at this bus stand location. Jointed Plain Concrete Pavement is recommended.

The rigid pavement has been designed for a design life of Thirty (30) years. The rigid pavement has been

designed to withstand the cumulative effect of the axle load repetitions of buses applied over the design life

of 30 years.

New Concrete Pavement Design

Layer Type Thickness (mm)

Pavement Quality Concrete (PQC) M 40 Grade 230

Dry Lean Concrete (DLC) M 15 Grade 100

Granular Sub-Base (GSB) 150

Total Pavement Thickness (mm) 480

Services Design

Oil cooled transformer 11/.433KV has been taken to cater to the demand load of the bus stand with

future demand consideration. Power from the local Electricity Department shall be taken to the

transformer through HT VCB panel.

Distribution of power shall be done through LT panels, feeder pillars and Distribution Boards

Further services like emergency power back up i.e provision of



Emergency Power Back up

Provision of DG set has been taken for emergency power back up in case of main electrical power

failure. Silent type DG sets have been taken.

Fire Fighting Works

Provision of fire-fighting system with fire pumps has been taken for the Bus Stand. Fire hydrants, hose

reels and sprinklers will be provided as per National Building Code 2005. Portable type fire

extinguishers shall be provided at strategic locations. Provision of fire detection and alarm system has

also been taken as per NBC.

CCTV Surveillance System

IP based cameras are being provided at strategic locations in the common areas to keep a watch on

the public activities in the bus stand and also to keep a record of the same to view in future, if required.

Passenger Information System

Software based system is being installed to provide information of buses scheduled from the bus stand

including platform/ bay number and departure time for the convenience of the passengers. Boom

barriers, LED display boards and LED monitors will be provided. PA system is being provided for

announcements regarding the availability of buses and also for any emergency announcement, if

required. The system can be used for collection of revenue from parking of buses.

Solar Power Generation

Provision of solar panel based electricity generation has been taken. Solar panels will be installed at

the available area on the terrace of the building. This will generate electricity during day time and thus

save considerable amount of conventional electrical energy.

Sewerage System

Instead of using the conventional method of sewerage system using setic tanks, soak pits etc, for the

bus stand it is proposed to use Septi-pure readymade septic tanks which have eliminated many

challenges like choking, less retention time, limited sewer treatment etc.and provides more clear

effluent compared to conventional brick-made septic tank.

Features and benefits of SeptiPure Septic Tank:-

1 – No Need to Re-Clean as it is EverClean.

2 – Digest Everything - Flow Out Nothing.

3 – Compact design and can be shifted.

4 – All components are Pre-casted so takes little time to install.

5 – Based on up flow Anaerobic Microorganism.

6 – Install once and forget as Sludge is not accumulated inside the Septic Tank.

7 – EverClean Oxyless SeptiPure Baffle Reactor works best with dual soak well system.

For Mango, 4 units of 500-user tanks are proposed.

Water Supply System

The present source of water supply is groundwater, and in the existing system wastewater recycling

is not practiced. To optimize the water demand and minimize impacts on the environment, it is



recommended to recycle the wastewater generated from site. For an efficient water supply scheme it

is essential to have an integrated approach that would meet the future demand in a sustainable

manner.

Water Pumping Facilities

All pumps shall be designed considering 12 hours operation per day and shall be provided 100%

stand-by capacity.

Storage

Underground storage reservoirs shall be designed for 24 hours so that in case of any emergency, the

operations at the station can sustain smoothly.

Water Distribution System

The main factors considered for the system are peak factor, pipe size, residual pressure, metering,

protection against getting polluted etc.

It is recommended to have a loop system of water supply.

Proposed System

Source

The current source of water supply for the Bus stand is underground water. Presently, no municipal

supply is present. Hence, bore well shall be created.

Network

Drinking water demand of the station including offices and catering shall be fetched from RO units.

Raw water after chlorination shall be used for bus washing. For bus washing treated effluent shall be

recycled and a portion of water demand shall be fulfilled by chlorinated raw water.

Water demand for secondary uses like HVAC, horticulture and flushing shall be met through treated

sewage effluent (TSE).

RO Plant

Separate network and RO units for operational area and commercial area shall be provided. RO plant

shall be designed to meet IS: 10500-2012.

Water Tank Capacity

The size of underground tank is 10.5 m x 4.5 m x 3.0 m (h). And 14 units of 5000 litres of overhead

tanks are proposed.



Costing and Estimation

Based on the detail drawings of the project detailed estimate has been prepared and the abstract of

the total cost is as follows:

SUMMARY

S.No Description Amount (in Rs.)

1 Detail Cost Estimate of Terminal Area 160,737,607

2 Final Block Cost Estimate of Commercial Area 568,294,839.28

Total Project Cost 729,032,447

Say 72.90

COST ABSTRACT (TERMINAL AREA)

S.No Description Amount (in Rs.)

A) Civil & Finishing Works

1 Dismantling 2,882,986

2 Earth Work 6,562,103

3 Concrete Work 3,179,915

4 RCC Work 23,909,259

5 Brick Work 4,092,820

6 Finishing Work 2,834,946

7 Roofing Works 1,043,362

8 Flooring 5,094,259

9 Steel Works 12,574,110

10 Wooden Works 649,033

11 Aluminium Works 1,815,594

12 Water Supply 1,107,572

13 Sanitary Installations 813,789

14 Road Work 18,351,864

15 Horticulture 26,360

16 Sewerage & Storm Water System 6,870,964

17 Canopy 11,992,158

18 Tube Well 1,161,259

19 Rain Water Harvesting 287,212

20 Miscellaneous Works 2,429,494

21 Carriage of Material over JSR items 3,666,751

Sub Total (A) 111,345,810

B) Services Work

22 Internal/External Electrical Works 28,113,900



23 Fire Fighting Works 7,419,320

24 Specialized Services 6,676,900

Sub Total (B) 42,210,120

C) Utility Shifting 2,500,000

Sub Total (C ) 2,500,000

TOTAL(A+B+C) 156,055,930

Add Project Contingencies @ 3% 4,681,678

GRAND TOTAL 160,737,607

COST ABSTRACT (COMMERCIAL AREA)

S.No. Description of Items Amount (Rs.) Remarks

1 Building works

410,357,723

2 Road works

2,480,000

3 Footpath & Passenger movement area

806,871

4 Electrical works

92,966,481

5 Services works (Drainage, Water Tanks & Street lights etc)

34,601,380

6 Boundary wall & Gate

4,088,712

7 Parking Area

713,240

Sub Total

546,014,407

Project Contingencies @ 3% on Total

16,380,432.21

Total Cost of Work (A)

562,394,839

Other General Charges

Utilities shifting

5,900,000

Total of Other General Charges (B)

5,900,000

Total Project Cost (A+B) in Rs.

568,294,839

Say

56.83 crore



Project Structuring & Financial Analysis

Market Demand Assessment & Product Mix

Market Assessment

To assess the project requirements and demand we have conducted a market assessment and

demand assessment study at micro level (existing Bus Terminals and proposed site neighbouring

areas) and at macro level.

Mango is a suburb of Jamshedpur city. It is situated across the Subarnarekha River and is connected

via two bridges laid side by side. It is a huge and growing residential area. Once a suburb, it is now a

real estate hotbed. Mango has the status of a 'city' according to the government though being part of

the main city Jamshedpur. It is a notified area and is run by its own notified area committee, namely,

Mango Notified Area Committee (MNAC). It is primarily a residential area and is now witnessing a real

estate boom. Many developers are developing residential colonies in the area.

As of 2011 India census, Mango had a population of 3,16,874. Males constitute 53% of the population

and females 47%. Mango has an average literacy rate of 86.62%, higher than the national average of

59.5%: male literacy is 91.56%, and female literacy is 81.29%. In Mango, 12% of the population is

under 6 years of age.

The subject site is situated in Gandhi Ghat area which is about 9 Km away from Tata Steel Ltd., 7.5

Km away from Tatanagar Junction and about 8 Km away from Tata Motors Ltd.

Commercial and Retail Rentals in Different Areas

Type Of Property Location Area

(sq.ft.)

Total

Rental per

month

Rental per

month per

sq.ft

Commercial Shop Mango 150 2000 13.33

Commercial Office Near Payal Talkies, Mango 500 12000 24.00

Commercial Land Road No-5, Mango 3600 50000 13.89

Commercial Shop Mango 440 20000 45.45

Commercial Office Near Vishal Mega Mart, Mango 3000 75000 25.00

Commercial Shop Main Road, Mango Chowk, Mango 300 16000 53.33

Hospitality

There are very few prominent hotels and restaurants within 1 km radius of the subject site. Since the

subject site is situated far away from the heart of the city and there are almost negligible tourist places

within 1 km radius, this is understandable .However, there are many Hotels situated within 2-3km

radius are all upscale hotels which cater to people with high disposable income. Most of them are

situated in and around Sakchi area.

https://en.wikipedia.org/wiki/Jamshedpur

https://en.wikipedia.org/wiki/Subarnarekha_River

https://en.wikipedia.org/wiki/Jamshedpur

https://en.wikipedia.org/wiki/Census



Hotels within Catchment Area

Prominent Hotels in Jamshedpur

Name of the Hotel Number of Rooms

Hotel Ganga Regency 30

Hotel Yashwee International 35

Hotel Kanchan 28

Hotel Virat 30

Hotel Grand 20

The Mahal Inn 38

Hotel JIVA 40

Ashoka Inn 30

Dey's Honors 43

Deodutt Palace Hotel 20

Hotel J K Residency 37

Hotel Sagar 36

Hotels’ Tariffs around the Site

Hotel Type of

Hotel

No. of

Rooms

Room Rentals per Room per

day (in Rs.)

Tariffs per Day

(in Rs.)

Hotel Ganga

Regency Star 30

Suite

Superior Room

Single

Double

7000

4000

5000



Hotel Type of

Hotel

No. of

Rooms

Room Rentals per Room per

day (in Rs.)

Tariffs per Day

(in Rs.)

Hotel

Yashwee

International

Star 35

Deluxe

Single

Double

Suite

Single

Double

Single Ac

3000

3700

3500

4200-5000

1100

Hotel Kanchan Star 28

Ac Double Room

Deluxe Ac Single

Deluxe Ac Double

1300

1300

1500

Hotel Virat Star 30

AC Standard

Single

Double

AC Deluxe

Single

Double

AC Super Deluxe

Single

Double

Non AC Deluxe

Single

Double

1250

1250

1350

1550

1600

1800

950

1150

Hotel Grand Star 20

Standard Non-AC

Standard AC

Deluxe

Super Deluxe

Suite

750

1150

1600

1900

2200

The Mahal Inn Star 38

Premium Room Only

Deluxe Suite

Royal Suite

2800

7000

8000

Hotel JIVA Star 40 AC

Luxury

5000-6500

8000-9000

Inference Based On the Subject Site

Since within the catchment area of 1 km, there is likely to be high growth rate of floating population,

star category hotels will do well for the area. Average rentals for AC accommodation it could be up to

4000 Rs. per room. Average rentals near the subject site have to be slightly lower than the hotels in

the Sakchi area due to the location constraints.

Unorganized and Organized Retail

There are various retail shops within 2 km radius; however upscale big markets for unorganized and

organized retail are few. Retail rentals near the site are at about 30 Rs. /sqft which are significantly

lower than the rentals around Sakchi area. So, further development of unorganized retail market is

expected here.

However, big organized retail stores are virtually negligible within 3 km radius of the site due to the

location and character of the population. Most of them situated in and around Sakchi. So, there is not

much scope development of organized retail.



Unorganised Retail near the Site

Major Retail Markets in Jamshedpur

Sl. No. Name Of the Market

1. Signora Vegetables and Seafood Market, Signora

2. Tibet Market, Golmuri Circus

3. Sunday Market, Birsanagar

4. Plaza Market, Ghorabandha

5. Sakchi Market

6. Vishal Mega Mart, Hill View Colony, Mango

7. Balaji Mall, New Purulia Road,

8. PM Mall, Aambagan Rd

Inference Based On the Subject Site

Development of unorganized retail is viable here with average rentals around 50 Rs. /sq.ft. However,

organized retail may not be feasible due to socio-economic and location constraints. Retail shops

mainly catering to local needs rather than floating population should do well in the area.

Banking Facilities

It is clear from the above site that there are very few other commercial facilities like banks available

within 2 km of subject site. Since floating population tends to relish these facilities, there is much scope

of incorporating these facilities in the potential development mix. Average rentals for the aforesaid

facilities can be around 40 Rs. per month.



Banking Facilities around the Bus Stand

Demand Assessment & Product Mix

One of the most critical aspects of this study is assessing demand for select asset classes. Demand

assessment has been done based on following perspectives:

Demand forecasts based on existing trends and projections. Specifically, the fundamentals of demand

assessment for all the asset classes are derived mainly from the total footfalls that are incident at the

subject property. These are instrumental in the success for any business venture keeping in mind the

future development proposition of the Bus Stand. Thus, to reiterate, the key factors driving demand

for various developable asset classes at the subject property are:

Incident footfalls

Transit commuters

Non-Commuters

Catchment population

These assessments have provided indications towards the typologies of developments that are likely

to be most suited for development at the subject property, and are likely to generate highest level of

returns.

This section presents demand projections for commercial development with focus on the subject

property. The demand for retail includes both the organized shops and kiosks. Since the demand for

each cannot be determined separately, it is being calculated as one asset type.

The following assumptions have been used for calculating the incident demand at the subject property:

Total number of footfalls estimated based on:

o total number of bus trips

o Various categories of Commuter transit population

Footfalls coming from non-commuters (i.e., catchment population)

Two scenarios have been developed (only passengers/footfalls and combination of footfalls and

catchment population) while assessing demand from a quantitative perspective. These scenarios seek

out the potential growth of target segment, and allows for segmentation between conservative and



non-conservative scenarios. From an assessment viewpoint, it is best that the most conservative

scenario be adopted as it is most likely to incorporate the maximum level of demand-based risk that

the project may have to bear.

Jharkhand GSDP

FY'06 FY'07 FY'08 FY'09 FY'10 FY'11 FY'12 FY'13 FY'14

GSDP Growth Rate (in %)

-3.20 2.38 20.52 -1.75 10.14 15.86 4.49 7.43 8.91

Multiplying Factor (in %)

96.80 102.38 120.52 98.25 110.14 115.86 104.49 107.43 108.91

CAGR (in %) 6.95

Since, Jharkhand is registering CAGR of almost 7% in last nine financial years; there will be huge

demand for commercial space at the proposed site. So office space of 4368 square metres and kiosks

of 385 square metres will do well for the area. For office space average rentals can be around 40 Rs.

per square feet while for kiosks it can be around 100 Rs. per square feet.

Hospitality Demand Assessment

Hospitality Assumptions

Base year 2011

Avg. percentage annual increase in visitors 5%

Floating Population 3284

No. of Trips per Visitor 1

Percentage Of Budgeted Category Tourists 30.00%

Percentage of Star Category Tourists 30.00%

Average duration of stay (in days) 1.50

No. of visitors per annum(in lacs ) 11.82

Percentage of visitors staying in hotels 50.00%

Existing Stock for bus passengers(Star Category) 387

Star Category Calculations (within Catchment Area)

Year 2016 2017 2018 2019 2020 2021 2022

Tourist Arrival (in

Lakhs) 9.77 10.26 10.77 11.31 11.87 12.47 13.09

Star Category

Tourists @ 30% 146,529 153,855 161,548 169,626 178,107 187,012 196,363

Average duration of

stay @ 1 days 219,794 230,783 242,322 254,438 267,160 280,518 294,544

Room night

demand(per year) 611 641 673 707 742 779 818

Existing stock 387 387 387 387

Cumulative

stock(Room nights) 387 387 387 387

Gap(No. of Room

Nights) 224 254 286 320

Provided 110 110 110 110

Other Sources 114 144 176 210



Retail Demand Assessment

Assumptions

Base year 2011

Total Population in catchment 67735

Avg. Annual Exponential Growth(2001-2011) 3% population

Avg. percentage annual increase in visitors 5%

Percentage of Spending Catchment population 30%

Floating Population 3284

Percentage Spending Floating Population 30%

Spending floating population 985

Daily spending (in Rs.)

Catchment Area Population Spending (in Rs.) 30

Floating Population Spending (in Rs.) 40

Avg. percentage annual increase in monthly spending 10%

No. of Trips per month 1

Avg. Annual increase in retail spent household 7%

Actual percentage of annual retail spent household 30%

Assumed Rental 10% yoy

Appreciation in rental per annum 10%

Assumed Average Rental 50 per sq.ft

Catered Demand Area 25%

Percentage increase in Retail area annually 10%

Retail Area Calculations

2016 2017 2018 2019 2020

Floating Population Option

Floating Population per annum(in Lakhs) 11.8 12.2 12.5 12.9 13.3

Number of Trips per month 1 1 1 1 1

Total Daily floating population spend per head 40 43 46 49 52

Total yearly catchment spend as revenue to retail(in crores) 4.73 5.21 5.74 6.33 6.98

Occupancy cost (as % of monthly spend or revenue) 10% 11% 12% 13% 15%

Total Occupancy Cost (in crores) 0.47 0.57 0.69 0.84 1.02

Average Monthly lease rent paid by retailers 50 55 60.5 66.55 73.205

Average yearly lease rent paid by retailers 600 660 726 799 878

Gap (sq.ft) 7,881 8,685 9,572 10,550 11,627

Catchment Population 67,735 69,767 71,860 74,016 76,236

Total daily catchment spend(in Crores) 0.20 0.22 0.25 0.27 0.30

Total yearly catchment spend(in Crores) 73.15 80.62 88.85 97.93 107.92

Floating + Catchment Population Option

Occupancy cost (as % of monthly spend or revenue) 10% 11% 12% 13% 15%

Total Occupancy cost (in Crores) 7.32 8.87 10.75 13.03 15.80



2016 2017 2018 2019 2020

Average Monthly lease rent paid by Retailers (Rs.) 50 55.00 60.50 66.55 73.21

2016 2017 2018 2019 2020

Average Yearly Lease Rent paid by Retailers (Rs.) 600 660 726 799 878

Size of Retail - Catchment(sq.ft) in lacs 1.22 1.34 1.48 1.63 1.80

Size of Retail - Floating(sq.ft) 7,881 8,685 9,572 10,550 11,627

Gap (in sq ft.) 75,984 83,855 92,541 102,127 112,704

Gap(in sq. m) 7059 7790 8597 9488 10471

Market Demand Assessment & Product Mix

Project Valuation Methods

The financial viability analysis for the Bus Stand has been conducted to assess the potential structure

which is feasible and probable returns for the project. This section below provides assessment of the

following:

Valuation Methods

Financial Analysis and Project Viability Analysis under different options

Valuation Methods

As per the standard evaluation methodology / procedures, the underlying assets including real estate

potential have been valued based on three different approaches:

a) Circle or Collector Rate Method

b) Rental Yield Method

c) Financial Analysis

a) Collector Rate or Circle Rate Method

Circle Rate or Collector Rate is a benchmark minimum rate defined by the state government at which

a land/ property can be transacted. Circle Rate varies from area to area within city. The Circle Rate

provides one of the basis of valuation of a particular plot/ land being put to a particular use. Since the

Circle Rates are updated by the local authorities from time to time, there can be wide differences from

the market rates making the valuation procedure complex.

The key limitations of the Circle Rate or Collector Rate analysis are as follows:

The Circle Rate or Collector Rate assessment is generally suitable for smaller plots

Since the proposed shops are part of the Bus Stand plot/building, the land use of the site is under

Government Offices (Transport) purpose as per the development /master plan. Adopting

commercial Circle Rate or Collector Rate for entity plot may not reflect the true picture of

valuation

We have done the valuation based on the Guideline Value and using standard methodology of

valuation as provided in the following sections:



Circle Rate Analysis

Sl. No. Description Unit Value

1. Collector Rate or Circle Rate (commercial plot) Rs. /sq. m 12,053

2. FAR for Commercial Land Use Ratio 2.00

3. Estimated Built-up area for Commercial land

use /Shops in the Commercial Facility area

Rs. /Sq. m. 17,543

4. Total value of Built-up Area Rs. 10,5728,554

5. Discount Factor for long term lease % 30%

6. Net Value of Property Rs. 7,40,09,988

b) Rental Yield Method

Rental yield analysis has been conducted using rental yield of commercial space in the vicinity of

Bus Stand/major commercial area/main road. The rental yield as per our survey has been assumed

at 7%. The detailed assessment of the project value from rental yield along with assumptions is

provided below.

Rental Yield Analysis

Sl. No. Description Unit New Building Old Building

1. Rentable Area Sq.ft 159,715 29,052

2. Yield % 7% 7%

3. Total value of rental yield analysis Rs. Crore 21.2 14.9

4. Long Term lease factor 1 1

5. Construction Cost Rs. Crore 67.3 12.8

6. Residual value factor 0.25 0.80

7. Market value of Rental yield analysis Rs. Crore 4.4 4.6

c) Financial Analysis

Discounted cash flow analysis is the most preferred method of assessment of project potential and

valuation for such projects and widely followed in the infrastructure sector. The methodology takes into

account the projected revenue, capital cost and operations cost for the operations period of the project.

Based on the cash flow projections the parameters such as equity IRR and net present value are

estimated. For assessment of project potential and conducting discounted cash flow assessment the

following steps have been followed:

Detailed market assessment for

o probable rentals,

o possible increase in rentals

o Capital cost of commercial component

o Operational cost estimation and increase in O&M cost

Assessment of financial issues such as debt equity ratio, interest rates, taxes etc.

Development of suitable project structure and risk allocation.

Estimation of Capital cost

Estimation of O&M cost for the operations period

Projecting the cash flow for the concession period



Assessment of Net Present Value

Financial Viability Assessment

To check the financial feasibility of the project and to suggest a suitable implementation structure

including PPP structure for the transaction to take place, we have developed a financial model for the

project. The key highlights of the financial model are as follows:

The financial model estimates the project revenues and cash flows for the full term of the

concession period

The financial model has been designed to run sensitivity analysis under different scenarios.

Sensitivities have been run under different scenarios for inputs such as capital cost, rentals etc.

The values for the input parameters for calculation of revenues and cost have been taken based

on current market trends and industry practices.

Inputs for Revenue Estimation from Other Sources of Revenue

The table below provides the inputs to the revenue estimates from other sources of revenue such as

Bus Entry Fee, Parking Charges and Advertisement revenue.

Input Assumptions for Operations Revenue Estimation

Sl. No. Assumptions Unit Value

1 Total No. of Bus Trips Trips/day 102

a) Intercity Trips/day 102

2 Bus Entry Fee Rs. Per entry 40

a) Annual Increase in Bus Entry Fee % 5

b) No. of Operations Days No. of days 300

3 Growth Rates

a) Intercity Bus Trips Growth Rate % 3%

4 Parking Space Provided

a) Equivalent Car Space (ECS) Nos. 3

5 Parking Turnaround No. of Times 2

6 Parking Charges

a) Per Equivalent Car Space Rs. 20

7 Annual increase in parking charges % 5%

8 Advertisement Revenue Rs. Lakhs/annum 0.50

9 Annual Increase in Advertisement Revenue 5%

Inputs for Maintenance Cost – Terminal Building

Annual, periodic and regular maintenance cost has been estimated based on CPWD manual, SOR

and best industry practice basis for Bus Stand and the same is presented below.

Input Assumptions for Maintenance Cost Estimation – Terminal Area

Sl. No. Description Unit Area Rate Amount (Rs.) Remarks

1 Building Area

a) Day to Day repair

charges- cost per year

Sq.

m.

1,125 6.85 7,706 CPWD

manual

b) Annual Repairs Sq.m 1,125 7.85 8,831 CPWD

manual

c) Sub- Total 16537



Sl. No. Description Unit Area Rate Amount (Rs.) Remarks

2 Road Repairs

a) Tack Coat- total road area Sq.m 8,268 12 99,216 S.O.R 5.2

b) B.M. for filling road cuts -

5% areax.1M cuts

Cu.m 41.3 9217 3,81,030 S.O.R 5.6

Aii

c) Surface Dressing Sq.m 8,268 79 653,172 S.O.R.5.9

ii

3 Replacing paver blocks-

5% area

Sq.m 30.25 1,350 40,838 LS

4 Repairs to Kerbs -10%

Quantity

M 26.5 414 10,971 LS

5 Repairs to Boundary wall

& Gates-5%

319,200 LS

6 AMC for 02 lifts-(2*Rs

100000/year)

2,00,000 Market

Rate

7 Annual Maintenance

cost

17,20,964

Contingency on Sl.No.(6) 3% 51,629

8 Total Annual

Maintenance

17,72,594

9 Special Repairs –

Building (every 15 years

once)

Sq.m 1,125 4.65 5,231 CPWD

manual

Contingency @ 3% 157

Sub-Total Special

Repairs

5,388

10 Dense Carpeting of Road

(every 5 years, after initial

8 years)

a) Tack Coat Sq.m 49,608 12 5,95,296 S.O.R 5.2

b) B.M. for filling road cuts Cu.m 124.02 9,217 1,143,092 S.O.R 5.6

Aii

c) B.C Cu.m 992.16 10,057 99,78,153 S.O.R.

5.7 ii

Sub. Total –Dense

Carpeting of Road

1,17,16,541

Contingency @ 3% 351,496

Total- Dense Carpeting

of Road

1,20,68,038

Inputs for Operations of Bus Stand

The estimated manpower requirement for operations of Bus Stand is set out below. Annual increase

in manpower cost is assumed at 7% per annum.

Input Assumptions for Manpower for Bus Stand Operations & Management

Sl No. Assumptions Nos. Rs /.Month Total per Month (Rs.)

1 Operations Manager 1 40,000 40,000

2 Multi-skilled Technicians 1 15,000 15,000

3 Lift Operator 1 12,000 12,000

4 Housekeeping Janitors 2 10,000 20,000

5 Parking Attendants 1 10,000 10,000

6 Cashiers 1 12,000 12,000



Sl No. Assumptions Nos. Rs /.Month Total per Month (Rs.)

7 Security Guards 1 15,000 15,000

8 Total Manpower 124,000

Key Assumptions for Hotel

Area and Facilities

The area and facilities related inputs for budget hotel are presented in the table below:

Budget Hotel - Area and Facilities

Parameters Unit Value

Built-up Area Sq. ft 55,994

No. of Rooms Nos. 107

Construction Cost and Phasing Inputs

The inputs related to construction cost and phasing for the hotel are presented in the table below:

Hotel - Construction Cost and Phasing


No. of years for construction

2

Increase in Construction Cost % 5%

Construction Phasing Year 1 70% Year 2 30%

Assumptions for Revenue Estimation

The inputs related to estimation of revenues for Office space are presented in the table below. The

increase in rentals has been taken as per industry and area specific trends i.e. 15% every 3 years.

Hotel - Inputs for Revenue Estimation from Room Rentals


Average Room Revenue Rs/ Room night 3,800

Growth rate - long term revenues % 6%

Occupancy % 70.0%

The revenue from other sources from the hotel have been estimated based on 2012-13 survey report

of Federation of Hotel and Restaurant Association of India (FHRAI).

Hotel - Inputs for Other Sources of Revenue

Food and Beverage 42.8%

Banquet and Conference 13.1%

Telephone and Others 1.2%

Minor Operated Departments

(Laundry, gift shop, business centre, news stand, sports,

health club, garage, parking etc.)

6.3%

Rental and other income 5.2%



Assumptions for Operations and Maintenance Cost

The inputs related to estimation of operations and maintenance cost for Retail Space is presented in

the table below:

Retail Space - Assumptions for O&M Cost


Marketing Cost % of rentals 3%

Asset Management fee % of rentals 3%

Typically the Common Area Maintenance charges (CAM) is charged over and above the rental values

from the end users. It has been assumed that the maintenance cost shall be revenue neutral in this

case. The developer shall charge the end maintenance cost over and above the rentals and the same

shall be expended by the developer for maintenance of the commercial areas. The marketing cost and

asset management fee have been assumed as per the industry standards. The marketing cost shall

include the cost of brokerage.

Inputs for Kiosks Revenue Estimation at Terminal Building

Other Assumptions

Sl. No. Items Unit Value

1 Kiosks + Food courts Sq. m 4,144

2 Rentals – Kiosks Rs./sq. ft./month 100

Inputs for Consumption Expenses Estimation at Terminal Building

Consumptions, utilities charges for the bus stand and other expenses are estimated based on the

following assumptions.

Other Assumptions – Consumption Expenses for Terminal Building


1 Miscellaneous expenditure (consumables) Rs. /sqm/month 6

2 Annual Increase % 7%

3 Special Repairs annual escalation rate % 5%

4 Dense Carpeting of Road annual escalation rate % 5%

Inputs for Capital Cost and Phasing

It is assumed that within two years the project will be implemented.

Implementation Phasing


1 Construction Period Year 2

2 Construction Year Year 2017 & 2018



Financial Assumption Inputs

The table below provides the financial assumption inputs for estimation of project viability:



1 Start of Construction Year 2017

2 Years for Construction No. of years 2

3 Operating Year Year 2019

4 Max Depreciation Rate for Accounts - SLM % 95%

5 Max Depreciation Rate for Taxation - WDV % 100%

6 Debt % 60%

7 Equity % 40%

8 VGF on Bus Stand Building Cost % Nil

9 Upfront equity as a % of total equity % 25%

11 Long Term Loan Interest Rate % 13%

12 Repayment Period Years 7

13 Moratorium after start of operations Years 0

14 Corporate Tax % 34.61%

15 MAT % 21.34%

Main Features of a PPP Project

PPP Project is a project based on a contract or Concession Agreement between a Government or

statutory entity and a private sector company, with the following essential elements:

Fixed Concession period

Pre-determined user charges/tariff

Pre-determined scope of work for the Concessionaire

Pre-determined bidding parameters, i.e., VGF/ Premium/Revenue Sharing/ Lease Rent

All conditions, specifications, and project agreements frozen prior to inviting final bids

Key Performance Indicators and measurable parameters

Dispute resolution mechanism

Independent agency for ensuring of project implementation in accordance with agreed terms

and conditions

Land required for the project available with the Implementing Agency

Project Development Options Analysis

The Bus Stand project (“Project Facilities) can be divided in to following:

i.) Bus Stand Facility; and

ii.) Commercial Facility

Entire Project on Design Build Finance Operate Transfer (DBFOT) Model

DBFOT is the most common form of Public Private Partnership structure. It is possible to identify one

single private developer who would be responsible for both project implementation phase as well as

project operations phase. Therefore, such selected operator shall undertake - detailed engineering

activities, plan and construct, raise finances, operate, maintain, manage, collect revenue, repay loan,



make additional investments for capacity augmentation and replacement. The single point

responsibility is a good PPP structure and also always innovation in construction, design and

operations to happen. The selected developer will undertake construction, operations and

maintenance of both Bus Terminal Facility and Commercial Facility.

While a financially free standing project would involve payment to the government, a financially weaker

project can be supported by government through a capital and / or operations grant.

The private financing component gives the private sector the flexibility to plan its capital investment to

maximise returns. This ensures optimal use of capital resources in government projects. While the

Government retains ownership of the facility, the DBFOT approach attracts private financing to the

extent possible for the project that can be repaid with revenues generated during the facility’s

operation.

Payment Structure Option Analysis

Evaluation of possible payment options are set out below:

(i) Variable Annual Lease Payment:

Bidders are required to quote the annual lease payment payable to the Government/department

during the Operations phase of the project. Successful Bidder would be identified based on

highest annual payment quoted by the Bidder for the Project.

(ii) Annual Revenue Share model: In this structure bidders are required to quote percentage revenue

share in their price proposal. It would be difficult to quantify the future revenue to estimate

quantum of revenue share amount at the price proposal evaluation stage. Therefore this payment

mechanism is not suitable to evaluate the price proposals.



Based on the aforesaid options analysis, it is suggested that annual Lease Payment /Rentals may

be adopted as bid parameter.

Minimum Built-up area will be specified in the bid document, if the Concessionaire decided to construct

or utilize more built-up area then the Annual Lease Payment /Rental would be calculated based on

the additional area to be constructed on a pro-rata basis. This would ensure no undue windfall gains

to the Concessionaire due to constructing additional built-up area over and above the specified

minimum built-up area in the Bid Document. However, the permissible built-up area shall not exceed

the limit of FAR of 2.

Recommended PPP Option

It is recommended that the project may be implemented through private participation on Design, Build,

Finance, Operate and Transfer (DBFOT) basis for the following reasons:

i. The mobilisation of finances would be the responsibility of the private developer for the entire

project.

The required finance required for the project would have to be raised by the private

developer within a pre-specified time-frame.

The project will be implemented in a fully competitive bidding situation and therefore it would

get constructed at the lowest possible cost by the Private Partner.

ii. The risk of time-bound completion of the project would be passed on to the private

developer. Since the revenue streams from the project would commence only after

completion of the project, it would be in the interest of the private developer to complete the

project as early as possible. Government may also stipulate a penalty to be paid by the

private developer in case of delay in implementation of the project.

iii. The risk of over-runs in construction cost and operational expenses would be passed on to

the private partner/ developer. Since the private developer would be responsible for the

implementation of the project, any increase in cost of the project would also be borne by

him.

Key Assumptions and Input Parameters for Retail Space

Area and Facilities

The area and facilities related inputs for retail space envisaged are presented in the table below:

The total built-up area of 900x3 (floors) = 2,700 sq. m. existing building will be retained for retails &

office purposes.

Office Space - Area and Facilities


Built-up Area Sqft 56, 704


The inputs related to construction cost and phasing for retail space are presented in the table below:



Office Space - Construction Cost and Phasing


Years for construction Year 2




The inputs related to estimation of revenues for Retail space are presented in the table below. The

average rentals as indicated has been estimated based on detailed assessment of rentals prevalent

in the area. The increase in rentals has been taken as per industry and area specific trends i.e. 15%

every 3 years. The Advertisement revenues have been estimated based on industry trends and our

experience.

Office Space - Inputs for Revenue Estimation


Average Rentals Rs/sqft/ month 50

Increase in rentals % 15% every 3 years

Advertisement Revenue % of rentals 5%


The inputs related to estimation of operations and maintenance cost for Retail Space is presented in

the table below:

Retail Space - Assumptions for O&M cost


Marketing cost % of rentals 3%

Asset Management fee % of rentals 3%



case. The developer shall charge the end user, maintenance cost over and above the rentals and the

same shall be expended by the developer for maintenance of the commercial areas. The marketing

cost and asset management fee have been assumed as per the industry standards. The marketing

cost shall include the cost of brokerage.

Key Assumptions and Input Parameters for Office Space

Area and Facilities

The area and facilities related inputs for office space envisaged are presented in the table below:



Office Space - Area and Facilities


Built-up Area Sq. ft. 47,017


The inputs related to construction cost and phasing for Office space are presented in the table below:

Office Space - Construction cost and Phasing


Years for construction Year 2




The inputs related to estimation of revenues for Office space are presented in the table below. The

increase in rentals has been taken as per industry and area specific trends i.e. 15% every 3 years.

Office Space - Inputs for Revenue Estimation


Average Rentals Rs/sq. ft./ month 40

Increase in rentals % 15% every 3 years


The inputs related to estimation of operations and maintenance cost for Retail Space are presented

in the table below:

Retail Space - Assumptions for O&M cost


Marketing Cost % of rentals 3%

Asset Management Fee % of rentals 3%



case. The developer shall charge the end maintenance cost over and above the rentals and the same

shall be expended by the developer for maintenance of the commercial areas. The marketing cost and

asset management fee have been assumed as per the industry standards. The marketing cost shall

include the cost of brokerage.



Inputs for Kiosks Revenue Estimation at Terminal Building

Other Assumptions


1 Kiosks + Food courts Sq. m 4,144

2 Rentals – Kiosks Rs./sq. ft./month 100

Inputs for Consumption Expenses Estimation at Terminal Building

Consumptions, utilities charges for the bus stand and other expenses are estimated based on the

following assumptions.

Other Assumptions – Consumption Expenses for Terminal Building


1 Miscellaneous expenditure (consumables) Rs. /sq. m./month 6

2 Annual Increase % 7%

3 Special Repairs annual escalation rate % 5%

4 Dense Carpeting of Road annual escalation

rate

% 5%

Inputs for Capital Cost and Phasing

It is assumed that within two years the project will be implemented.

Implementation Phasing


1 Construction Period Year 2

2 Construction Year Year 2017 & 2018


The table below provides the financial assumption inputs for estimation of project viability:



1 Start of Construction Year 2017

2 Years for Construction No. of years 2

3 Operating Year Year 2019

4 Max Depreciation Rate for Accounts - SLM % 95%

5 Max Depreciation Rate for Taxation - WDV % 100%

6 Debt % 60%

7 Equity % 40%

8 VGF on Bus Stand Building Cost % Nil

9 Upfront equity as a % of total equity % 25%

11 Long Term Loan Interest Rate % 13%

12 Repayment Period Years 7

13 Moratorium after start of operations Years 0

14 Corporate Tax % 34.61%

15 MAT % 21.34%



Main Features of a PPP Project

PPP Project is a project based on a contract or Concession Agreement between a Government

or statutory entity and a private sector company, with the following essential elements:

Fixed Concession period

Pre-determined user charges/tariff

Pre-determined scope of work for the Concessionaire

Pre-determined bidding parameters, i.e., VGF/ Premium/Revenue Sharing/ Lease Rent

All conditions, specifications, and project agreements frozen prior to inviting final bids

Key Performance Indicators and measurable parameters

Dispute resolution mechanism

Independent agency for ensuring of project implementation in accordance with agreed

terms and conditions

Land required for the project available with the Implementing Agency

Project Development Options Analysis

The Bus Stand project (“Project Facilities) can be divided in to following:

a. Bus Stand Facility; and

b. Commercial Facility

1) Entire Project on Design Build Finance Operate Transfer (DBFOT) Model

DBFOT is the most common form of Public Private Partnership structure. It is possible to

identify one single private developer who would be responsible for both project implementation

phase as well as project operations phase. Therefore, such selected operator shall undertake

- detailed engineering activities, plan and construct, raise finances, operate, maintain, manage,

collect revenue, repay loan, make additional investments for capacity augmentation and

replacement. The single point responsibility is a good PPP structure and also always innovation

in construction, design and operations to happen. The selected developer will undertake

construction, operations and maintenance of both Bus Terminal Facility and Commercial

Facility.

While a financially free standing project would involve payment to the government, a financially

weaker project can be supported by government through a capital and / or operations grant.

The private financing component gives the private sector the flexibility to plan its capital

investment to maximise returns. This ensures optimal use of capital resources in government

projects. While the Government retains ownership of the facility, the DBFOT approach attracts

private financing to the extent possible for the project that can be repaid with revenues

generated during the facility’s operation.



Payment Structure Option Analysis

Evaluation of possible payment options are set out below:

(a) Variable Annual Lease Payment:

Bidders are required to quote the annual lease payment payable to the

Government/department during the Operations phase of the project. Successful Bidder

would be identified based on highest annual payment quoted by the Bidder for the Project.

(b) Annual Revenue Share model: In this structure bidders are required to quote percentage

revenue share in their price proposal. It would be difficult to quantify the future revenue to

estimate quantum of revenue share amount at the price proposal evaluation stage.

Therefore this payment mechanism is not suitable to evaluate the price proposals.

Based on the aforesaid options analysis, it is suggested that annual Lease Payment

/Rentals may be adopted as bid parameter.

Minimum Built-up area will be specified in the bid document, if the Concessionaire decided to

construct or utilize more built-up area then the Annual Lease Payment /Rental would be calculated

based on the additional area to be constructed on a pro-rata basis. This would ensure no undue

windfall gains to the Concessionaire due to constructing additional built-up area over and above

the specified minimum built-up area in the Bid Document. However, the permissible built-up area

shall not exceed the limit of FAR of 2.

Recommended PPP Option

It is recommended that the project may be implemented through private participation on Design, Build,

Finance, Operate and Transfer (DBFOT) basis for the following reasons:



a. The mobilization of finances would be the responsibility of the private developer for the entire

project.

The required finance required for the project would have to be raised by the private developer

within a pre-specified time-frame.

The project will be implemented in a fully competitive bidding situation and therefore it would get

constructed at the lowest possible cost by the Private Partner.

b. The risk of time-bound completion of the project would be passed on to the private developer.

Since the revenue streams from the project would commence only after completion of the project,

it would be in the interest of the private developer to complete the project as early as possible.

Government may also stipulate a penalty to be paid by the private developer in case of delay in

implementation of the project.

c. The risk of over-runs in construction cost and operational expenses would be passed on to the

private partner/ developer. Since the private developer would be responsible for the

implementation of the project, any increase in cost of the project would also be borne by him.

Project Risk Assessment

Recently, the design-build-operate-transfer structures of PPP have gained popularity as a means of

effectively delivering large-scale transportation infrastructure projects such as Bus/passenger

Terminals, urban rail transport and Bus transport. Past experience suggest that introducing

competition and market forces into the procurement of public infrastructure can make decision making

more accountable, contribute to greater technological innovation, and reduce the potential for

construction-cost escalations that consistently have plagued transportation projects.

DBFOT/BOT is a development of existing practice, except that bids are evaluated on the basis of the

lowest public sector subsidy/grant required (subject to this being less than the maximum justified on

the basis of the project’s external benefits).

Evaluation of Project Structuring Options

a) Key Issues and Structures

Options available under PPP framework can be grouped in terms of:

Role of Private Sector during construction phase (Project Implementation Phase).This phase

involves detailed engineering activities, planning and construction, raising finances.

Role of Private Sector during operations phase (Project Operations Phase). This phase involves

operation, maintenance, management, revenue collection loan repayments, additional

investments on capacity augmentation and replacement.

Key inputs to a large urban transport infrastructure projects are in terms of identifying adequate

financial, technical, manpower resources. Besides, the aforesaid, local and site specific issues

pertaining to rehabilitation of offered affected people, present condition of utilities which may require

re-location, environmental related aspects also play a major role. Further, often the capacity to pay /

willingness to pay over in a potentially high demand scenario can also effect the decision of selecting

a project structure.



Further a public policy which supports public transport over private transport can also provide key

thrust to select a suitable project structure which ensures long term high usage of public transport over

private transport.

The solution to the aforesaid can be found through allocating risks to the agency which can best

manage such risk e.g. utility relocation, where the cost and volume of work involved is difficult to be

ascertained by a private operator due to (1) incomplete information on location and extent of diversion

required and (2) incomplete information on quality of assets, since the utility asset may have

deteriorated beyond a condition where it may require a new system / materials. Therefore if such a

risk is put on a private operator, the private operator may put a very large premium to take on such

risk.

b) Typical Risk Allocation Matrix

The table below shows the typical risk allocation matrix in different project structuring scenarios.

Summary of Risk Allocation Matrix

Risk Type Sensitivity Risk Period Primary

Risk

Bearer

Remarks

a) Pre-operative Risk

Financing Risk High Typically within

90-180 days

from signing of

concession

agreement

Private

Partner

The private partner will be required to

ensure financial closure of the project

unless a time extension may be provided

by the Concessioning Authority in terms of

the Concession Agreement.

Inability to ensure financial closure within

the stipulated time and any further

extension thereof would result in a default

on the part of the private partner and

accordingly performance security would be

forfeited / enchased.

Approvals per

mits

Medium Typically within

90-180 days

from signing of

concession

agreement

Private

Partner

The Concessioning Authority will facilitate

in obtaining necessary clearances and

approvals. However the responsibility of

obtaining the same will be with the private

partner.

b) Risk During Construction Period

Design Risk High Typically within

24 months from

date of signing

of the

Concession

Agreement

Private

Partner

The private partner will be required to

submit a detailed construction design for

review. The private partner should also to

provide design warranties for the project.

Construction

Risk

Medium Typically within

24 months from

compliance

date

Private

Partner

For the duration of the concession period,

the private partner is required to furnish a

performance security. During the

construction period, the private partner is

required to facilitate periodic inspection

and required to submit monthly progress

reports.




Risk

Bearer

Remarks

Delays in

construction

Medium Timelines as

per the

Concession

Agreement

Concessio

ning

Authority

and

Private

Partner

In the event of delay in construction

beyond the extension as may be provided

by the Concessioning Authority by private

partner performance security shall be

forfeited. In case of delay due to

Concessioning Authority, private partner is

entitled to receive suitable compensation

from the Concessioning Authority.

c) Operation Phase Risk

Revenue Risk Low Entire

Concession

Period

Private

Partner

A notification could be issued to the effect

that all buses would be required to halt,

drop and pick up passengers from the Bus

Terminal. However, the private partner

may not been able to ensure that all buses

use the Bus Terminal facilities as per the

schedules, therefore it may impact add fee

revenues. However, the share of adda fee

is insignificant when compare overall

revenue stream for the project.

Policy Risk Low Entire

Concession

Period

Concessio

ning

Authority

In case of any changes/modification in

laws, interpretations of the same or

impositions of new statutory or regulatory

approvals or taxes or duties imposed

subsequent to the proposal acceptance

date, the concessioning authority would

take necessary action to ensure that there

is no change (beyond the agreed terms) to

the private partner’s legal, commercial and

financial position as a result of such

change.

Change of

Scope of Risk

Medium Entire

Concession

Period

Concessio

ning

Authority

and

Private

Partner

If any variations were initiated by the

private partner, a proposal for the same

would be sought from the private partner

and if found reasonable, necessary

changes would be made to the concession

period.

In case variations were initiated by the

Concessioning Authority, the private

partner would be entitled to make a claim

for additional cost.

Performance

Risk

High Entire

Concession

Period

Private

Partner

The private partner is required to maintain

standards during the construction as well

as O&M period as per the detailed

specifications in the concession

agreement. In case of non-compliance, the

Concessioning Authority has the power to

invoke the performance security.

Operation and

Maintenance

Risk

Medium Entire

Concession

Period

Private

Partner

The private operator was required to

create an O&M manual, detailing the

regular and preventive maintenance which




Risk

Bearer

Remarks

would be undertaken. Strict adherence to

the performance standards as per the

concession agreement and O&M manual

is required failing which the Concessioning

Authority has the right to invoke the

performance security and impose a

penalty for non- compliance.

d) Other Risks

Handover

/Hand back

Risk

Medium In case of

Termination or

expiry of

concession

Private

Partner

The Concessioning Authority has the right

to assess the condition of the project

facilities to ensure that they met the

standards specified in concession

agreement after taking into account

reasonable wear and tear. Any shortfalls

needed to be remedied by the private

partner prior to handover of assets.

Force Majeure Low Entire

Concession

Period

Concessio

ning

Authority

and

Private

Partner

This risk was partially covered through

insurance. In case of force majeure prior to

commencement of the project, an

extension to the concession period for the

time period of the force majeure would be

provided with each party bearing its own

respective costs.

In case of a force majeure subsequent to

the commencement date and before

construction completion, an extension of

the concession period for the duration of

force majeure would be provided.

In case of a force majeure subsequent to

issue of the completion certificate, the

private partner would be required to make

reasonable efforts to collect the user

charges. In the event that private partner is

unable to collect the user charges, the

concession period would be extended by

the time period for which the private

partner was unable to collect the user

charges.

In case of force majeure as a political event

disrupting the project, the Concessioning

Authority would reimburse the entire loss

incurred by the private operator.

Indicative Term Sheet for Development of Project Facilities

Description Details

Arrangement The selected developer would develop Bus Stand and Commercial Facility

under DBFOT pattern



Description Details

The developer to recover its investments over a period of time from revenues

from Bus Stand operations revenue, commercial development created under

the project and any other applicable sources.

Concession Period 33 year Concession from date of the signing of the Concession Agreement. the

Concession Period includes 2 years construction activities

Annual Lease

Payment/Rentals (bid

parameter)

Annual Lease Payment by the Concessionaire throughout the period of the

Concession

Role of Government Grant of concession of the project site to the concessionaire

Provision of adequate rights to the concessionaire for collection of user

charges, parking fees and rentals from commercials.

Provide assistance in obtaining all the required clearances

Notification as required should be issued to the effect that all Inter State,

intercity and intra city buses would be required to halt, drop and pick up

passengers at the proposed Bus Stand

Role of

Concessionaire

Prepare detailed design /master plan for Project and its components

Detailed designing and Engineering of facilities based on Concept

Achieving financial closure and making the necessary capital investment

Construction, Marketing, Operating, Maintaining and Managing (Utilities,

Facilities, Equipment etc.) the Project during the Concession Period

Obtaining all clearances/approvals from the concerned Government

Undertake construction, operation and maintenance of Project Facility

Taxes Applicable for the Project

Corporate Tax Rate

The corporate tax rate for domestic companies is 30% + surcharge of 12% when total income exceeds

Rs 10 million for the current financial year (2016-17). Plus education cess and secondary (2%) and

higher education cess (1%). The total tax rate comes out to be 34.608%. The corporate tax gets

calculated by adjusting for any carry forward losses of the previous years from the profits of current

year.

Minimum Alternate Tax (MAT)

The MAT is imposed when corporate income tax payable on the total income is less than 18.5% of

book profits, then MAT is payable on book profits at a rate of 18.5% + surcharge of 12% when total

income exceeds Rs 10 million. Plus education cess and secondary and higher education cess (3%).

The total tax rate comes out to be 21.342%. Further, MAT credit can be carried forward for next 10

years and can be set off against payable corporate tax during subsequent years as per section 115JAA

of the Income Tax Act.

Tax Holidays - Deductions under 80IA

Section 80IA (1) provides for tax holiday of 10 consecutive years out of first 15 years of business for

development and O&M of infrastructure projects. However for Inter State Bus Terminal development

project, 80IA tax holiday benefit shall not be applicable for profits earned from commercial component.

Hence 80IA benefit has not been considered in our analysis.



Summary of Financial Viability Analysis under DBFOT Model

Following table presents, analysis carried out for DBFOT (Design, Build, Finance, Operate and

Transfer) structure for implementation of entire project.

Summary of Key Results

Sl. No. Description Unit Total

1 Segment wise Equity Return NPV@20%

a) Bus Stand Facility (BSF) Rs. Crore -7.82

b) Commercial – CF Rs. Crore 0.58

c) Hotel inside CF Rs. Crore 6.47

2 Estimated Payments & Equity Returns to Developer

a) Annual Lease Payment by Developer Rs. Crore 0.39

b) Total Annual Lease Payment by Developer Rs. Crore 27.30

c) Equity Return to Developer (EIRR) % 20.26

d) NPV of Equity to developer (@ 20% Discount Rate) Rs. Crore 0.53

Note: Annual increase in annual lease payment is taken @5% year on year basis.

Summary

















Documents

Project Information Memorandum - Jharkhandjuidco.jharkhand.gov.in/MIS/Home/cirfiles/PIM Mango.pdfJharkhand Urban Infrastructure Development Company (JUIDCO) Ltd. Re-development / Renovation