Mangaluru: Nearly five years after the demolition of the decades-old Central Market building, the newly constructed Central Market complex, developed under the Public-Private Partnership (PPP) model by Mangaluru Smart City Limited (MSCL), is set to become operational in the coming weeks. The Mangaluru City Corporation (MCC) has completed the allotment of door numbers to shops and business establishments, signalling that the long-awaited project is nearing completion.

Door numbering completed, auction process next

With the shop numbering process now completed, the MCC is preparing to conduct auctions for the commercial spaces that fall under its share of the project. Officials indicated that the auction process is likely to be held within the next two to three weeks.

MCC deputy commissioner (revenue in-charge) Akshatha K said that meetings involving MCC commissioner Ravichandra Naik, the concessionaire and senior officials will be held shortly to finalise the auction process. She added that all shops belonging to the MCC in the meat, fruits and flowers sections are fully ready. Once the concessionaire formally hands over the MCC’s portion of the complex, the auction will be conducted immediately.

Six-floor complex built on 3.6 acres

The new Central Market complex has been constructed on a 3.6-acre site and comprises six floors along with basement-level parking facilities. The project is among the largest urban redevelopment initiatives undertaken in the city centre.

MSCL general manager (technical) Arun Prabha KS said the complex has a total built-up area of around five lakh square feet. Under the concession agreement, 1.5 lakh square feet of space will be handed over to the MCC, which will allot these shops to traders through an auction process. The remaining area will be operated by the concessionaire as per the PPP agreement.

Project cost escalates to Rs 160 crore

The detailed project report (DPR) prepared by MSCL initially estimated the cost of constructing the new Central Market at Rs 114 crore. However, the project cost escalated during construction due to design upgrades and modernisation.

According to officials, the Mangaluru-based concessionaire Somayaji Estates invested around Rs 160 crore to build the new complex. The project was executed on a design, build, finance, operate and transfer (DBFOT) basis under the PPP model. The modern complex includes improved safety standards, organised trading spaces and enhanced infrastructure compared to the old building.

Long journey from proposal to demolition

The proposal to redevelop the Central Market was first mooted by the MCC in 2016 after concerns were raised about the structural safety of the 60-year-old building. In 2020, the project was handed over to MSCL as part of the Smart City initiative.

Prior to demolition, the public works department and an appointed consultant certified that the old market structure was not fit for occupation. Based on these findings, the MCC council approved the demolition of the building during its meeting in December 2020.

Covid-19 impact on traders

The project timeline was further affected by the Covid-19 pandemic. During the first wave in 2020, business activities at the busy Central Market were completely banned as part of containment measures. This caused severe hardship to hundreds of traders who depended on daily sales.

Many traders were temporarily relocated, while others struggled to sustain their livelihoods amid prolonged uncertainty over the reopening of the market.

Traders hopeful but cautious

As the new complex nears opening, traders and residents have expressed cautious optimism. While the modern infrastructure and improved facilities are welcomed, concerns remain over auction prices and whether small vendors will be able to secure space in the redeveloped market.

Civic officials have assured that the auction process will be conducted transparently and in accordance with established rules to ensure fairness.

Conclusion

The completion of the new Central Market complex marks a major milestone in the city’s urban redevelopment efforts. After years of delay, demolition and pandemic-related disruptions, the focus has now shifted to operationalising the facility. With auctions expected soon, the reopening of the Central Market is anticipated to revive trade and restore the area as a vibrant commercial hub.