Sambhaji Raje is from the direct lineage of Chhatrapati Shivaji and Rajarshi Shahu Chhatrapati Maharaj of Kolhapur who had funded the movement led by Dalit icon B R Ambedkar for justice to the depressed classes for some time, sources said.
He is involved in ensuring harmony among various social groups in Maharashtra and in efforts for restoration of forts in the state, they said.
The nomination of Sambhaji Raje comes after Pranav Pandya, head of All World Gayatri Pariwar, declined the honour last month, saying atmosphere in the Upper House was not conducive for him.
Meanwhile, Maharashtra Chief Minister Devendra Fadnavis congratulated Chhatrapati Sambhaji Raje on his Rajya Sabha nomination.
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"Thank You Hon @narendramodi Ji for nominating Yuvraj Chhatrapati Sambhaji Raje to Rajya Sabha through Presidential Nomination," Fadnavis tweeted.
"He, being the descendent of our great King Chhatrapati Shivaji Maharaj & Great Social Reformer Chhatrapati Shahu Maharaj, is a perfect choice.
"Congratulations to @YuvrajSambhaji ! It is the acknowledgement of your social work & tribute to one of the greatest dynasties of Maharashtra & India," the Chief Minister said in his tweets.