The MoU was signed here in the presence of CPWD DG V K Gupta and IIM Tiruchirappalli Director Dr Prafulla Agnihotri, a statement issued by the Urban Development Ministry said.
The campus will come up in 68 hectares of land allotted by the Tamil Nadu government.
It will accommodate 1500 students, besides 300 faculty and staff members and comprise of academic facilities, world-class hostels, accommodation for faculty and staff, recreational facilities and a well-equipped management development centre.
The construction of the Rs 450 crore-project (aprox.) will begin in March-April next year, and is expected to be completed by March 2016.
IIM Tiruchirappalli aims to have a green campus, and will be self-sufficient in terms of its water requirements in five to seven years of its coming up.
IIM Tiruchirappalli is country's 11th IIM, where the session began in 2011.