The cost estimate for the Bengaluru Skydeck has increased to ₹800 crore from ₹500 crore

An artist’s impression of the proposed deck in Bengaluru. The proposed deck is intended to be more than just an observation tower, with facilities including a glass-floor observation deck and a digital interactive experience center.

With the pace of preparatory work for the proposed 250-metre high Bengaluru Skydeck, the preliminary cost estimate of the project has increased to ₹800 crore from the original estimate of ₹500 crore. The project, one of Chief Minister DK Shivakumar’s pet projects, is expected to move to the next phase, with the Bangalore Development Authority (BDA) likely to invite expressions of interest (EoIs) from prospective investors and developers in the coming two days.

The project, which was approved by the Cabinet in August 2024 when Siddaramaiah was the Chief Minister and Mr. Shivakumar as his Deputy, was initially estimated to cost up to ₹500 crore. The estimate was subsequently revised to ₹600 million. According to the latest BDA document, the preliminary cost of the broad order is around ₹800 crore, The Hindu has learned. However, sources in the BDA claimed that this was only a preliminary estimate based on the original concept and proposed facilities and not an approved estimate or the final cost of the project. The final cost will depend on the design and height of the tower, built-up area, facilities and technical requirements.

The project is proposed to be implemented through a public-private partnership (PPP), primarily under a Design-Build-Finance-Operate-Transfer (DBFOT) arrangement or other suitable PPP structure.

The EoI is intended to assess the capacity and business interest of potential investors, as well as the technical and financial feasibility of the project and possible revenue and profit sharing models, officials said, stressing that participation in the EoI does not confer any right or guarantee of awarding the project. The developer or concessionaire will be selected later through a competitive Request for Qualification (RFQ) and Request for Proposal (RFP) process.

BDA has appointed KPMG Advisory Services Private Limited as the transaction advisor to assess the feasibility of the project, recommend a PPP structure and identify potential investors.

The proposed skydeck is intended to be more than just an observation tower with amenities including a glass-floor observation deck, a Bengaluru tourism and visitor center and a digital interactive experience centre. The final equipment mix will depend on the feasibility assessment and project design.

Under the proposed arrangement, a private investor or concessionaire is expected to mobilize the capital required for construction and operation, while the BDA will make available the identified land for the project. At the current stage, BDA does not envisage direct capital investment in construction. Concession periods, revenue sharing arrangements and risk sharing are among the terms that have yet to be finalized.

After the Cabinet approval, Mr. Shivakumar, who was then Bengaluru Development Minister, explored several sites for the project, including sites near Baiyappanahalli, Hemmigepura and Jnanabharathi. However, these were canceled due to feasibility issues. The BDA later considered a site near Kommaghatta, but land acquisition requirements and technical issues posed hurdles.

The currently identified site is located near the SM Krishna Highway, which is to form part of the Bengaluru Business Corridor (BBC). It is also a few kilometers away from Challaghatta Metro Station which provides connectivity to the proposed development.

Published – 15 Nov 2026 20:49 IST