The company can take out a bank loan to complete the office complex

0

The Kochi Corporation could use a bank loan to complete the construction of their new office complex.

It is estimated that the building, which will be built near Marine Drive, will cost around ₹60 crore to complete.

The City Council has already spent around £19m on the project, which started back in 2005. Estimate for the project was revised in 2006 to around £25 million. The construction of the building had stalled for some time, leading to an increase in costs.

A set of proposals worth £28 crore will be submitted to the Kochi Corporation Council for consideration, which will meet on Tuesday. Proposals relate to internal electrification works, WiFi, lighting, fans, air conditioning, workplace set-up and a UPS system. Proposals for the provision of furniture, painting, interior fittings and finishing work are also submitted to the Council for consideration.

The financial proposals are forwarded to the chief engineer of the public works department when they amount to crores. Some of the UDF council members had previously raised such a demand.

Borrowing for such projects is nothing new for the citizenry, Mayor M. Anilkumar said. Previously, the civil corporation had taken out bank loans to meet financial needs, including the purchase of land in Brahmapuram. Loan repayment will be possible for citizenship. In a few years, the amount that needs to be raised now will not be a financial burden and repaying the loan will be easy, he said.

Responding to a suggestion that the citizenship plan fund should be used fully to complete the building, raised at a recent meeting of the company’s Standing Finance Committee, Mr Anilkumar said the entire plan fund could not be used for the project as such meet the other activities of the citizenship. Part of the plan fund could be used. The remaining amount must be generated in other ways, including the loan, he said.

Share.

Comments are closed.