Oberoi Plans Rs 4,500 Cr for Hospitality Projects in India

August 29, 2007	(2 votes, average: 3 out of 5)  Loading ...
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The Oberoi Group of Hotels is planning to invest Rs 4,500 crore in new hotel projects for 60% capacity augmentation in national as well as international market. The plans are to take place over the next five to six years.

Of the total investment, EIH Ltd, the flagship company of the Oberoi Group, will contribute Rs 1,000 crore whereas the rest will come from borrowings and partners. The number of rooms during the period would increase to 6,800 rooms from the present 4,100 rooms.

The Group envisages a 50% capacity addition in the country alone. EIH will develop around 1,400 rooms in its Trident Hilton Category projects in Mumbai, Bangalore International Airport, and Hyderabad City, involving an investment of Rs 800 crore.

The development of the 440 rooms Trident Hilton located at Bandra-Kurla, Mumbai, is under development and scheduled to be over by the third quarter of 2008. The Group also has a joint venture project with L and T in Bangalore, which is expected to be finished by 2010.

EIH is believed to be eager to establish its second property in Kolkata in league with a partner. The company also has plans to infuse another whopping 70 crore for new flight kitchens at the international airports at Kolkata and Mauritius.

The travel and tourism industry in India has been displaying massive growth trends for the past years. There is a considerable increase in number of visitors to India resulting in a stiff competition. With a plethora of business opportunities, India has now become an important destination for business travelers. The trend has largely evolved in major metros including New Delhi, Mumbai, Chennai, and Bangalore.

News Published Under:   Hotel Industry in India |

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