Osmansagar (Gandipet) and Himayatsagar are situated about 12 km from Hyderabad towards the west. Osmansagar was named after Mir Osman Au Khan, Nizam VII, and Himayatsagar after his eldest son, Mir l-Iimayat All Khan (Azam Jah). These two lakes were constructed in 1920 and 1927 respectively. The cost of construction was Rs. 54 lakh and Rs. 92 lakh respectively. The actual plan for the construction of these lakes was drawn up after the floods of 1908, but work was started only in 1914 and completed in the aforesaid years.

These lakes were designed by the famous engineer Sir Vishweshwaraya, and Nawab Au Nawaz Jung. They were built under the supervision of Ahmed Mirza who was the Chief Engineer. The lakes thus formed make it possible to control floods while the water required for drinking purposes is drawn off by a conduit several miles long to an up-to- date filter—bed and distribution system.

For the city, Osmansagar and Himayatsagar are the main sources of drinking water, besides the Manjira water scheme. There are two beautiful gardens on either side of the Osmansagar bund making the scenery thoroughly enchanting. Osmansagar id Himayatsagar are popular picnic spots,and are provided with guest houses.