Bengaluru: Karnataka is set to get an International Film City near Mysuru, with the state Cabinet approving a Rs 729.43-crore project at Immavu village in Nanjangud taluk under a public-private partnership (PPP) model on Thursday.

Spread across 160 acres and eight guntas, the proposed facility will combine film production infrastructure with tourism and commercial amenities, including a theme park, multiplex, hotels and restaurants.

The project was first announced in the 2025-26 state Budget at an estimated cost of Rs 500 crore, with 150 acres earmarked for it and transferred to the Department of Information and Public Relations. The 2026-27 Budget subsequently granted administrative approval and outlined plans for a theme park, star hotels and a restaurant.

According to a government document, the project will be implemented under the Design, Build, Finance, Operate and Transfer (DBFOT) model. While the government will retain ownership, a private entity will be responsible for designing, financing, constructing, operating and maintaining the facility, along with obtaining the necessary approvals.

The development plan distinguishes between mandatory facilities, which will form the core of the film city, and additional amenities that may be introduced depending on market demand and visitor numbers.

The mandatory components include indoor and outdoor shooting facilities, post-production infrastructure and a virtual production studio. The project will also feature a multiplex, a theme park, creator studios, a business and co-working hub, cafeterias, eateries, retail spaces, parking facilities, internal roads, utilities and landscaped areas.

Accommodation facilities are planned across five-star, three-star and budget hotel categories. An administrative building will also be part of the complex.

Additional facilities that may be developed based on demand include a film school and training institute, a museum, a convention centre, an amphitheatre and a fitness centre.

Hotels account for the largest identified component of expenditure at Rs 174.32 crore, followed by other expenses at Rs 135.82 crore. The theme park is estimated to cost Rs 87.09 crore, while the business hub has been allocated Rs 75.24 crore.

The tender conditions also provide for a 10% subsidy on the use of film facilities, including indoor and outdoor studios and post-production infrastructure, for Kannada and other regional-language films produced in Karnataka. The eligible languages include Tulu, Kodava, Konkani, Banjara and Beary.