Global hotel brands push plans to open luxury India hotels
A number of global hotel groups are pushing forward plans to open luxury India hotels as the region proves that it is a sought after destination with a shortage of guest rooms in existing hotels and the country's resilience of its economy.
Global hotel brands are planning to open luxury hotels in India as the region's economy proves its buoyancy and the need for additional hotel rooms becomes greater. The Amari Group of Thailand, Mövenpick Hotels and Resorts based in Zurich, Waldorf Astoria Hotels and Resorts, Luxe Worldwide Hotels, and the Canada-based luxury group Fairmont Raffles Hotels International are all planning on developing five-star luxury India hotels by entering the region for the first time or expanding their current portfolio.
According to a study carried out earlier this year by the Federation of Indian Chambers of Commerce and Industry and Evalueserve, the country will need investments of Rs60,000 crore to meet the demand of 150,000 proposed guest rooms over the next five years.
Executive Director of a hotel consultancy firm, HVS Global Hospitality Services, Kaushik Vardharajan, said: "In India, there is a market for all players. "The country still needs a lot of rooms."
Hotel groups are also looking to enter the market of hotels in Goa and Mumbai hotels either with management contracts or acquisition with Mövenpick currently in discussions for properties in Jaipur, Kolkata, Goa, South Mumbai and Gurgaon. Vice-president of development and market for the hotel group, Lokesh Kumar, said:
"Either we will acquire a majority stake in a hotel or will go for a greenfield project as it is very difficult to bring changes in an existing property."
Luxury hotel brand Luxe are looking for acquisitions in Mumbai, New Delhi, Kolkata and Hyderabad and are looking for 14 luxury India hotels in total; Hilton Worldwide will be introducing six new brands into the country and will include Hampton, DoubleTree, Conrad, Hilton Garden Inn, and Waldorf Astoria who are looking to sign up two India hotels over the next few months; Amari who are planning seven properties by 2017 and two new brands, Ozo and Saffron; and Fairmont who are planning on building up a collection of 15-20 luxury India hotels over the next three years with the first being built in Jaipur and Hyderabad by 2012.
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