Nagpur: Maharashtra Metro Rail Corporation Limited (Maha-Metro) has formally handed over the Letter of Acceptance (LoA) to M/s Quality Care India Limited (QCIL), which operates the CARE Group of Hospitals, for the development of a state-of-the-art multi-specialty hospital on Public-Private Partnership (PPP) mode in Nagpur.
The proposed 350+ bed multi-specialty hospital will be developed on Maha-Metro land located near the Kasturchand Park Metro Station. The project entails an investment of over ₹600 crore by QCIL and is expected to generate direct employment for around 1,500 to 1,800 people, significantly boosting the city’s healthcare infrastructure and job opportunities.
The project was finalised after QCIL emerged as the highest successful bidder in the tender process conducted by Maha-Metro. Under the agreement, QCIL will hold leasehold rights over the land for a tenure of 60 years and has agreed to pay Maha-Metro a total amount exceeding ₹1,850 crore over the lease period. The Net Present Value (NPV) of this amount has been calculated at ₹131.35 crore.
As per the financial structure, QCIL will pay an upfront premium of ₹51 crore to Maha-Metro. In addition, an annual concession fee of ₹5.85 crore will be paid with a 5 per cent yearly escalation on a compounding basis for 60 years. An annual lease rent of ₹50 lakh, also with a 5 per cent annual compounded escalation, will be paid throughout the lease tenure.
Maha-Metro will further earn building sanction charges in its capacity as the Special Planning Authority, which are estimated to be in the range of ₹35 to ₹40 crore. QCIL will also reimburse Maha-Metro for expenses already incurred on the construction of the foundation and parking facilities. This reimbursement, amounting to ₹56.80 crore, will be paid in four instalments of ₹14.20 crore each.
The project site spans an area of 7,202 square metres and offers a development potential of over 3.50 lakh square feet. Since the foundation and parking infrastructure have already been developed by Maha-Metro, the remaining construction work is expected to be completed within a period of three years.
Quality Care India Limited, operating under the CARE Hospitals brand, is a leading multi-specialty healthcare provider in India. Founded in 1997 by cardiologists and headquartered in Hyderabad, the group currently operates 16 healthcare facilities across seven cities in six states, with a combined capacity of over 3,000 beds.
The Letter of Acceptance is being formally handed over to QCIL on February 7, 2026, during the “Advantage Vidarbha Summit,” in the presence of Maharashtra Chief Minister Devendra Fadnavis and Union Minister for Road Transport and Highways Nitin Gadkari.
