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BASCO Othukungal and SAT Tirur have joined Golden Threads and KSEB in the semifinals.
Blasters, who have a game in hand, have just six points from nine matches. They along with Mar Athanasius Football Academy (four points) have been relegated.
Kerala United (22) and Muthoot FA (21) narrowly missed the semifinals.
Payyanad Sports Complex at Manjeri and Kottappadi Stadium, Malappuram, are the venues.
The All India Football Federation made the decision after consultation with the Kerala government in the wake of rising COVID-19 cases in the state.
Altius International Football Academy scored a 1-0 win over Real Malabar FC in another match.
Football Club Areekode and Altius International Football Academy played out a 2-2 draw in another match.
Hosts Kerala are placed in Group A, which consists of heavyweights West Bengal and Punjab. Rajasthan and Meghalaya are the other teams in the group.
The final round will be held at Malappuram from February 20 to March 6.
The teams will stay in a bio-secure bubble, while spectators will be allowed as per Covid protocol.
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