Karnataka floats tender for Rs 135 crore Mangaluru tech park that’ll create 11,000 jobs

Karnataka has invited bids to develop a commercial office technology park project in Mangaluru under the Public-Private Partnership (PPP) model, estimated to cost Rs 135 crore and projected to generate over 11,000 direct and indirect jobs.

This marks a major step under the ‘Beyond Bengaluru’ initiative by the state to expand tech-driven growth beyond the capital. Karnataka State Electronics Development Corporation (KEONICS) has floated the project tender, which will follow a Design, Build, Finance, Operate and Transfer (DBFOT) model. The tender is expected to be finalised by December this year, officials have said.

Also Read: Beyond Bengaluru: Karnataka plans tech park in Mangaluru on PPP model

The 3.285-acre site is located along Blueberry Hills Road in Derebail, less than a kilometre from National Highway 66 (NH-66).

Grade-A Tech Park

The proposed development will include Grade-A office space, including advanced amenities such as meeting rooms, cafeterias, recreation zones and conference halls. About 75 percent of the built-up area - including parking - will be dedicated to commercial office space while the remaining will house retail and hospitality infrastructure such as F&B outlets, food courts, retail shops, event spaces, hotels, and service apartments.

“The total achievable built-up area under the base Floor Area Ratio (FAR) is 3,52,156 sq ft, with the option for developers to increase it through premium FAR and Transferable Development Rights (TDR). The construction period for the minimum development area is estimated at three years”, the tender document said.

Strategic Location and Potential

KEONICS officials said the project site lies in a rapidly growing commercial zone adjacent to the Software Technology Parks of India (STPI) campus in Mangaluru. The city’s commercial office market is witnessing strong post-pandemic recovery, driven by growing demand from IT, ITeS, and co-working operators attracted by lower operational costs compared to Tier-1 cities.

The city already hosts over 15,000 IT professionals, +200 startups, and 50-60 homegrown tech firms including large employers such as Infosys, Cognizant, and Tech Mahindra.

Mangaluru as Tech Hub

Karnataka IT-BT Minister Priyank Kharge  said the project reflects the government’s commitment to building a robust innovation ecosystem across the state. “The state cabinet approved the proposal for the development of a new Technology Park at Blueberry Hills, Mangaluru. Spread across 3.28 acres, this Rs 135 crore project will be developed under the PPP model and is expected to create over 11,000 direct and indirect jobs,” said Kharge.

He added that Mangaluru alone contributes nearly 5.5 percent to Karnataka’s GSDP, making it a critical emerging growth hub with strong IT, fintech, and marine technology sectors.

“As part of our Local Economic Acceleration Program (LEAP) to localise and scale Karnataka’s IT ecosystem, the proposed tech park with Grade-A office space and plug-and-play facilities will transform Mangaluru into the next high-growth corridor,” he added.

Also Read: Karnataka's KEONICS to monetise land, plans convention center near Bengaluru airport

Regional Advantages

Mangaluru is strategically positioned as an industrial and knowledge hub on India’s western coast, anchored by major port, oil refinery, and several industrial parks. The city is home to top educational institutions such as National Institute of Technology-Karnataka (NIT-K), Surathkal, and Manipal Institute of Technology, Manipal AND Kasturba Medical College, and has a large working-age population. The city’s connectivity – through five national highways, two railway stations, and Mangalore International Airport - is being further enhanced through infrastructure projects such as the airport runway expansion, a proposed ring road, the Bengaluru-Mangaluru Expressway and the Export Promotion Industrial Park (EPIP) Zone.

Officials said these factors make Mangaluru an ideal location for the upcoming technology park, which will help decentralise Karnataka’s tech ecosystem and boost regional employment opportunities.