Heritage hotel classification in MP
Madhya Pradesh Tourism Policy 2025 supports conversion of heritage properties — palaces, forts, havelis, and colonial buildings — into tourism accommodation. Heritage hotels require minimum ₹3 crore eligible FCI and qualify for 15% capital subsidy capped at ₹2 crore.
Properties may be developed on proprietorship land or through tourism department lease arrangements, with the Tourism Investment Promotion Cell facilitating heritage property access via the state land bank.
Heritage hotel incentives
| Benefit | Heritage hotel rate |
|---|---|
| Capital subsidy | 15% of FCI (max ₹2 Cr) |
| Minimum FCI | ₹3 Cr |
| Stamp duty | Reimbursement for new heritage tourism projects |
| Land | Heritage property lease via tourism department |
| Operation rule | 3-year minimum post-subsidy or clawback |
BenefitCapital subsidy
Heritage hotel rate15% of FCI (max ₹2 Cr)
BenefitMinimum FCI
Heritage hotel rate₹3 Cr
BenefitStamp duty
Heritage hotel rateReimbursement for new heritage tourism projects
BenefitLand
Heritage hotel rateHeritage property lease via tourism department
BenefitOperation rule
Heritage hotel rate3-year minimum post-subsidy or clawback
Key heritage circuits
- Khajuraho — UNESCO temple town with boutique heritage lodge demand
- Orchha — palace and fort conversions on Betwa riverfront
- Mandu — Afghan architecture and hill-fort resort sites
- Gwalior and Sanchi — palace and pilgrimage-adjacent heritage
- Pachmarhi — colonial-era hill station properties
Related guides
Khajuraho hotel guide · Stamp duty reimbursement · Capital subsidy categories · How to apply — MP
More Madhya Pradesh incentive guides
Capital subsidy · Mega project grants · Invest MP registration · Stamp duty reimbursement