Indian hotel industry is set to witness almost two-fold increase of its rooms. As many as 55,000 more rooms are expected to be added in the coming 4 years, as found in a study carried out by the consulting firm HVS India. This development will be steered by the regional players in the real estate industry, as the large players of the industry have either resumed or scaled down their projects. The study projected that fewer number of rooms were announced, but the work on a higher proportion was done, as compared to 2007-08.
Commenting on the study, Manav Thadani, Managing Director - HVS India, said that even in the times of economic recession, Indian hospitality industry would witness a large expansion in number of rooms. In fact, he said that the rate of the expansion would be much higher than seen in the past ten years. Mr Thadani further added that the regional players in the real state market were continuing on their expansion plans and Mumbai, Hyderabad, Delhi-NCR, Pune and Bangalore were the major Indian cities where active development projects had been announced. With the growth of market business, travel will increase, thus bringing a huge change in construction activities.
Raymond Bickson, Managing Director - Indian Hotels Company (IHCL), who is also the chairman of World Travel & Tourism Council, India Initiative (WTTCII), said that the huge domestic market would support the growth of Indian hospitality sector, at a time when other markets like US and UK are at a fall.
Vivek Nair, Vice Chairman & Managing Director of luxury hotel operator Leela Hotels & Resorts, said that Bangalore and Gurgaon had seen an increase in occupancies and the winter season would be a better time for industry. It can be added that the Common Wealth Games 2010 in Delhi is also one other important factor behind these expansion plans.
