New Cities India

BOARD DECISION

HIMUDA Board Approves First Phase of Jathia Devi Mountain City with 919 Residential Units

In the first phase of the Jathia Devi project near Shimla, HIMUDA will develop 919 residential units on 21 bighas of land with an estimated investment of Rs 1,327 crore. HIMUDA plans to develop the township in a phased manner with residential, commercial and civic infrastructure, ensuring planned growth and regulated urbanisation.

Mountain City (Jubbarhatti Township) — HIMUDA Board Approves First Phase of Jathia Devi Mountain City with 919 Residential Units
Decision AuthorityBoard of Directors, Himachal Pradesh Housing and Urban Development Authority (HIMUDA)
Decision Date9 February 2026 (Monday)
ChairmanTown and Country Planning Minister Rajesh Dharmani
Project PhasePhase 1
Residential Units (Phase 1)919 units
Land Area (Phase 1)21 bighas
Estimated InvestmentRs 1,327 crore
Project LocationJathia Devi, near Shimla; approximately 13 km from city centre and near Jubbarhatti Airport
Development ApproachPhased development with residential, commercial, and civic infrastructure
Strategic PurposeCounter-magnet city to decongest Shimla; satellite township for peripheral economic growth

Decision Authority and Context

Town and Country Planning Minister Rajesh Dharmani presided over the Board of Directors meeting of the Himachal Pradesh Housing and Urban Development Authority (HIMUDA), held on 9 February 2026. The meeting was attended by HIMUDA Vice-Chairman Yashwant Chhajta, Chief Secretary Sanjay Gupta, Principal Secretary Devesh Kumar, CEO and Secretary Dr Surinder Kumar Vashisht, along with non-official board members and senior officials from various departments.

What Was Decided

The Board of Directors of HIMUDA approved the proposed Him-Chandigarh Township at Sheetalpur in Baddi, along with several major housing, commercial and policy initiatives aimed at strengthening planned urban development across the state.

In the first phase of the Jathia Devi project near Shimla, HIMUDA will develop 919 residential units on 21 bighas of land with an estimated investment of Rs 1,327 crore.

Project Area and Land Details

The HIMUDA proposes to set up a mountain township at Jathia Devi to function as a satellite township to the state capital. The aim is to decongest Shimla by shifting some offices and creating housing societies. The Town and Country Planning (TCP) Department has created the Jathia Devi Planning Area by excluding 177 villages from the Shimla Planning Area.

HIMUDA has acquired 35 hectares at Jathia Devi, 13 km from capital. In a bid to decongest the state capital, the government has acquired 250 bighas of land. The process for acquisition of more land (400 bighas) has been initiated for setting up the mountain township at Jathia Devi.

Project Development Approach

HIMUDA plans to develop the township in a phased manner with residential, commercial and civic infrastructure, ensuring planned growth and regulated urbanisation.

Strategic Objective and Impact

The project aims to reduce pressure on Shimla city by shifting residential growth to peripheral areas and generating economic activity in nearby regions. This flagship project aims to decongest Shimla city and stimulate economic activity in surrounding peripheral areas.

Related Policy Decisions

The Board took a significant policy decision to reserve a special quota of residential plots and flats for Olympic and Asian Games medalists, Gallantry Award winners, and recipients of the Children's Bravery Awards.

The Board also granted approval to initiate preliminary activities for a new township at Morni Hills in Pachhad and another planned development township at Lunj near the Kangra Airport. An initial allocation of Rs 5 crore has been made for these projects.

Implementation Status (as of February 2026)

The decision approves the first phase of the project with specific land area and unit count. These include a new drinking water supply line and a 15-lakh-litre water tank for Mountain City Jathiya Devi, indicating that preliminary infrastructure planning has been sanctioned. The project remains in planning and land consolidation stages, with consultant appointment and master plan preparation pending final execution.

Development phases

Frequently asked questions

What is the purpose of the Jathia Devi Mountain City project?

The project aims to reduce pressure on Shimla city by shifting residential growth to peripheral areas and generating economic activity in nearby regions. It functions as a satellite township and counter-magnet city to decongest the state capital.

How much land has been acquired for the project?

The government has acquired 250 bighas of land. The process for acquisition of more land (400 bighas) has been initiated for setting up the mountain township at Jathia Devi. The Phase 1 development will utilize 21 bighas.

What is the estimated cost of Phase 1?

The estimated investment of Rs 1,327 crore is allocated for Phase 1 development of 919 residential units on 21 bighas of land.

What infrastructure will be included in the project?

HIMUDA plans to develop the township in a phased manner with residential, commercial and civic infrastructure, ensuring planned growth and regulated urbanisation.

When was this Board decision made?

The decision was approved on 9 February 2026 by the Board of Directors of HIMUDA, chaired by Town and Country Planning Minister Rajesh Dharmani.

Who are the alternative names for this project?

The project is known as Jathia Devi Mountain City, HIMUDA Mountain City, Mountain City (Jubbarhatti Township), and Shimla Counter-Magnet Township. It is located near Jubbarhatti Airport.

Sources

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