India, June 9 -- More than 200-300 paying guest (PG) accommodations in Bengaluru have shut down after the city's local municipal corporation, Bruhat Bengaluru Mahanagara Palike (BBMP) implemented stringent rules for PG operation in the tech capital, Sukhi Seo, secretary of the Bengaluru PG Owners' Association, told HT.com.

Around 2,500 PGs are currently certified in Bengaluru, Seo said, but out of over 12,000 PGs in the city, over 10,000 are still operating 'illegally' without proper approvals. "This is causing concern for investors, as BBMP can conduct raids on non-compliant properties at any time. PG business, once considered a profitable real estate investment in the city, is seeing a downfall," she said.

Last year, the BBMP introduc...