Chikkaballapur is the district headquarters of the newly created Chikkaballapur district in the state of Karnataka, India, which is carved out from Kolar district. It is located within 3 km of Muddenahalli. A $400 million Pharmaceutical SEZ is coming up in Chikkaballapur on 325 acres (1.32 km2), the first of its kind in India. Furthermore, the noted Traveler Bunglow is being converted into a state-of-the-art bus terminus. A new district government headquarters and police headquarters is being constructed at a cost of $5 million. In addition, the state government is releasing over $10 million to develop the city and expand underground sanitary systems. It is a regional transport and educational hub, and is a major site for grape, grain, and silk cultivation"