State notifies heritage property guidelines, offers incentives for adaptive reuse

Bhubaneswar: Seeking to turn the state's architectural legacy into viable tourism assets, the state govt has notified operational guidelines for the promotion of heritage properties, opening the door for owners of historic palaces, forts and other pre-1950 structures to avail incentives for conservation and tourism-oriented development.The guidelines, issued under the Odisha Tourism (Amendment) Policy, 2026, recently define heritage properties as tourism units developed within buildings constructed before 1950 that possess architectural, historical and cultural significance while retaining their distinctive character and ambience.Under the new framework, heritage properties, including hotels, palaces, restaurants/cafeterias, museums and banquet facilities, will be eligible for incentives, including capital investment subsidy for repair, restoration and upgradation works.The senior officials of tourism department said the initiative is aimed at preserving the state's built heritage while encouraging private investment in heritage tourism. "The guidelines seek to promote adaptive reuse of heritage structures without compromising their original architectural identity," a department official said.However, the govt has laid down stringent eligibility criteria for availing the incentives.

Property owners will have to establish ownership or possess a lease of at least 10 years and furnish documentary proof that the structure predates 1950. Revenue records, historical documents, reports from district administrations, Archaeological Survey of India, conservation authorities and published research papers will be accepted as evidence.Officials said before sanctioning the incentives, the tourism department will conduct a detailed pre-work assessment through govt-approved conservation experts.

The evaluation will be based on geo-tagged photographs, videography, measured drawings, condition assessment reports and inventories of existing structures and heritage features.The guidelines place strong emphasis on maintaining the authenticity and heritage value of a property. Any renovation, restoration or extension must be in harmony with the traditional architectural style and construction techniques of the original structure.

The newly added built-up area cannot exceed 50% of the combined built-up area of the old and new structures.While swimming pools and lawns will not be counted while calculating built-up area, investments in such facilities, along with art and craft experience centres and similar heritage-linked amenities, may qualify for subsidies, the guidelines state.The govt has clarified that repair or renovation works undertaken before obtaining approval through the single-window mechanism or competent authority will not be eligible for incentives.

New construction carried out without prior approval may be considered only on a case-by-case basis.Industry stakeholders welcomed the move, saying the policy could provide a much-needed push to heritage conservation in a state where several historic palaces, forts and zamindari-era residences remain underutilised despite their tourism potential.