Jagan Reddy’s Rs 500 crore south 'Sheesh Mahal' under TDP lens: Rs 22 crore imported plants, Rs 25 lakh bathtub

The ruling TDP views this mansion as an important political tool to criticize Y. S. Jagan Mohan Reddy and his government's alleged financial mismanagement

For the past eight months, the NDA Government in Andhra Pradesh, led by Chandrababu Naidu, has faced a big question: what to do with the Rs 500 crore private palace built for former Chief Minister Y. S. Jagan Mohan Reddy on Rushikonda Hill in Visakhapatnam.

This palace has four large blocks and sits on a 10-acre flat area on Rushikonda, offering a beautiful sea view. Official reports say that the construction alone cost Rs 431 crore. When you add the land cost, road, drainage, water supply, and a 100 KV power substation, the total comes to around Rs 500 crore.

Critics call it the 'South Sheesh Mahal' due to its lavish spending on luxury features. Records show that Rs 95 crores went to land levelling, Rs 22 crores for imported plants, Rs 21 crores for beautification, and Rs 33 crores for luxury interiors. A list released by the NDA Government reveals that the previous YSR Congress Party’s Government spent Rs 25 lakh on a bathtub and Rs 5 crore on luxury fittings, which has stirred up further controversy.

The palace was built as a tourism facility, but later, it was said to be the planned residence and office for the former Chief Minister Reddy if the YSRCP returned to power in the 2024 elections. Visakhapatnam was also likely to be the capital.

A senior official stated that the Andhra Pradesh government has not decided what to do with the palace. “It cannot be used for tourism because of its design and the expensive furniture. It’s also not easy to turn it into a luxury hotel due to environmental concerns in the area, and it can't be used as a government office,” he said. The situation remains uncertain, and political analysts think the TDP Government is not rushing to decide.

A senior journalist, Suresh Kumar, who covers the TDP, reported that officials suggested Chandrababu Naidu could change the controversial building into a tourist site or lease it to private hotels. Political analyst Krishna Mohan noted that Naidu's decision-making approach is different. “He will test public opinion before taking action. For this mansion, he would likely conduct a survey to understand what people think before making a final decision,” he said.

The ruling TDP views this mansion as an important political tool to criticize Y. S. Jagan Mohan Reddy and his government's alleged financial mismanagement. Although the government took office eight months ago, it is not rushing to change the building's purpose, as keeping the controversy alive helps support its argument against the previous government.

One challenge in repurposing the mansion is the legal and environmental issues related to its construction. Rushikonda Hill is in a sensitive coastal area where environmentalists oppose large buildings. Activists claim that the project breaks Coastal Regulation Zone (CRZ) rules and have asked to investigate whether the proper environmental approvals were obtained.

Legal experts warn that if the TDP Government moves forward with any commercial plans for the property, it may face lawsuits from environmental groups. If the government demolishes or significantly changes the structure, it could lead to more financial losses, adding to the existing controversy.

The Rushikonda mansion is a grand but politically sensitive building with an uncertain future. The TDP Government must consider public opinion, legal issues, and political benefits before deciding. For now, the mansion represents the lavish spending of the previous government and serves as an essential topic for the current ruling party.

What is the Rushikonda Project

In 2021, Jagan Mohan Reddy's government started the Rushikonda project through the Andhra Pradesh Tourism Development Corporation (APTDC). This was part of a plan to move Andhra Pradesh's executive capital to Visakhapatnam despite facing legal and logistical challenges. The goal was to build a luxury retreat on a scenic hill, but this decision quickly led to controversy.

The project plans included seven blocks covering 19,968 square meters on a 9.88-acre area within a larger 61-acre site. To give the project cultural significance, these blocks were named after historical regional kingdoms, such as Vijayanagara, Vengi, Kalinga, and Gajapathi.

According to a statement from the tourism department in February, Vengi Block A was to include security services, back-office operations, suite rooms, and a restaurant. Vengi Block B was set to be a business hotel with guest rooms, conference halls, and dining options. Kalinga Block aimed to have a reception area, luxury suites, conference halls, and banquet spaces, while Gajapathi Block was meant for housekeeping, a cafeteria, and business centres.

However, what started as a tourism facility soon stirred controversy. Many believed the project was a residence and camp office for Jagan Mohan Reddy, who wanted to maintain power in the 2024 elections, especially since Visakhapatnam was set to be the new capital. The high spending and the lack of transparency regarding its purpose led to accusations of misusing public funds.