"It was decided to construct the temporary capital in about 26 acres," he told reporters.
Soil tests found lands in the village to be suitable for construction of temporary capital and the tenders for the constructions would be called quickly, he said.
The state government has already announced that the state Secretariat would start functioning in the permanent capital region from June this year.
State government employees will have to shift to the permanent capital region accordingly.
However, the TDP government is keen that the administration starts functioning from its permanent capital region as early as possible.
Prime Minister Narendra Modi laid the foundation stone for the capital city, named Amaravati, near here in October last year.