Decision appears imminent on strategy to use massive resort built at Rushikonda

After seeking public opinion, Andhra Pradesh Government has finally constituted a Group of Ministers (GoM) to decide the best possible use of Rushikonda Resort at the earliest.

The resort was built lavishly with imported furniture and decoratives atop a hillock in Visakhapatnam overlooking the sea by investing an estimated Rs.400 crore and another Rs.200 crore on interiors during the previous government. It turned into an eye of a storm after NDA came to power and TDP supremo N. Chandrababu Naidu returned to power as Chief Minister in June, 2025.

According to GO RT No. 1586 issued on August 29, the GoM will be headed by Tourism Minister Kandula Durgesh, along with Finance Minister Payyavula Keshav and Social Welfare Minister Dr. Dola Sree Bala Veeranjaneya Swamy.

The resort was allegedly built after demolishing old cottages to convert it into Chief Minister's Office (CMO) as part of proposal to make Visakhapatnam the executive capital but the crushing defeat of YSRCP in the general elections put a full-stop to the plan.

The GoM was announced a day after visit to the controversial resort by Deputy Chief Minister Pawan Kalyan, the Tourism Minister and other Jana Sena Party (JSP) leaders, who are part of the NDA coalition.

APTF suggestions

Meanwhile, AP Tourism Forum (APTF)

president K. Vijay Mohan and secretary M.V. Pavan Kartheek during the inauguration of Haritha Hotel here on Saturday met the Tourism Minister and explained their recommendations in detail. MP M. Sri Bharat and Mayor of Visakhapatnam P. Srinivasa Rao were also present .

The Rushikonda Resort, built on a sprawling 10-acre site with four spacious blocks overlooking the Bay of Bengal, has immense potential to emerge as a landmark property for Visakhapatnam and Andhra Pradesh, Vijay Mohan told Bizz Buzz.

In their representation, APTF suggested the possible options for the utilisation of the property as an International Consulates Hub, Block 1– American Consulate, Block 2– Singapore Consulate, Block 3– UAE Consulate, Block 4– Tourism Department & Economic Development Board (EDB).

APTF pointed out that

with a large population of Andhra origin settled in the USA and UAE, hosting these consulates in Vizag will not only serve the diaspora but also attract international tourist and business footfalls. As States like Andhra Pradesh, Odisha, and Chhattisgarh currently do not host a US Embassy, Visakhapatnam stands a strong chance to emerge as a strategic diplomatic hub.

On the needful for a Modern Circuit House, APTF stated that property could also be used as a new Circuit House and repurpose the existing Circuit House for development by APTDC into a new city hotel.

It sought examination of the possibility to convert the property into a government office complex or Chief Minister’s camp office, given its secure location and strategic accessibility.

Another proposal is to promote it as a luxury tourism resort and develop the facility as a high-end international resort, positioning Vizag as a premium global tourist destination with world-class amenities.

As part of promoting MICE tourism, it also wanted to explore leveraging the banquet halls and facilities to create a dedicated convention and MICE hub (Meetings, Incentives, Conferences & Exhibitions), strengthening Vizag’s appeal as a business and events destination.

APTF stressed that Plan 1– establishing International Consulates would yield maximum long-term benefits for tourism, global recognition, and economic growth of Andhra Pradesh, while the other options could also be considered in alignment with the government’s vision.