Hospitality firm Leisure Hotels Group is going to invest Rs 160 crore to add nine properties across India by the end of 2021, a top company official has said. The group presently has 27 boutique properties with more than 870 rooms in India.
“We will be investing Rs 160 crore to add nine properties across the country by end of year 2021. Apart from this, we will also be adding 70 rooms in our existing property in Naukuchiatal during this period,” Leisure Hotels Group Director Vibhas Prasad said.
He further said that out of the upcoming properties, three will be managed by the group while it will own and operate the rest six properties.
Prasad informed that the new properties will come in places such as Greater Noida, Dehradun, Haridwar, Bhimtal, Manali, Rishikesh, Pench and Kanha among others.
One being asked about how the group plans to fund the expansion, Prasad replied it would be a mix of debt and internal accruals. The expenditure will mainly be done on properties that the group owns and operates, he added.
Regarding its business model, Prasad said: “We are transitioning from being an asset owning company to an ‘asset right’ company.” Founded in the year 1989, the Leisure Hotels Group, at present, owns 80 per cent of the properties in its portfolio and manages the rest 20 per cent. On being asked about the strategy for future growth of the company, Prasad replied: “We are predominantly a domestic hotel brand and have a strong focus on domestic tourists to drive the business.”
The group’s portfolio currently comprises hotels, resorts, luxury villas and camps at various places. Leisure Hotels Group is also planning to launch a hostel in Rishikesh the next year.
(With PTI inputs)