Source https://realty.economictimes.indiatimes.com/news/hospitality/hyatt-to-make-room-for-14-new-properties-over-next-two-years/68609685 2019-03-28
NEW DELHI: American hotel chain Hyatt Hotels & Resorts plans to launch 14 new properties in the next two years totalling 2,100 rooms. The new hotels in India will come up in Kochi, Thrissur, Udaipur, Bengaluru, Gurgaon, Dharamshala, Jaipur and Vadodara.
It will also look at franchising opportunities besides tapping tier 2, tier 3 cities and religious destinations to spread its reach in India, a top executive said. Hyatt currently has 30 hotels totalling a little over 7,000 rooms.
“India is one of our top three global growth markets and our growth will only gain momentum. In the primary markets, there are brand gaps. We would like to fill those. We would like to ride the wave of urbanisation and get into emerging business locations and expand our footprint in leisure and cultural destinations. The 14 hotels fulfil all these parameters to an extent,” said Dhruva Rathore, VP, development, at Hyatt Hotels & Resorts India.
This year, Hyatt will launch the 442 keys Grand Hyatt Gurgaon, a Hyatt Regency resort in Kochi Malayattoor (100 keys), its first hill resort in Dharamshala (89 keys). In 2020, it will add close to 1,100 keys and enter five new markets with two hotels in Jaipur totalling 367 keys, Dehradun (170 keys) Trivandrum (137 keys), Udaipur (115 keys) Vadodara (126 keys) and Bengaluru (174 keys). Hyatt also has signed up hotels in places like Rajkot, Surat and Vizag.
“We are getting into tier two cities like Thrissur, Trivandrum, Dehradun, and Vadodara in Gujarat. We are looking at states that are the economic growth engine for India. There are third party operators we feel comfortable doing business with. Our first franchised hotel was Hyatt Regency Amritsar, and Dharamshala will be our second franchised hotel. We are exploring more franchising opportunities,” said Rathore.
He said Hyatt’s brands Hyatt Regency and Hyatt Place will drive the growth in tier two cities and emerging markets. Hyatt is currently present in cities like Delhi, Mumbai, Goa, Hyderabad, Pune, Bengaluru, Rameswaram and Lucknow besides other locations.
Till now Hyatt’s growth in India has been through management contracts barring its investment through the Juniper Hotels vehicle in Grand Hyatt Mumbai, through which it also co owns Andaz Delhi and Hyatt Regency Ahmedabad.
International hotel operators dominated signings over domestic operators in the fourth quarter of 2018 with the ratio of 57:43, a recent study by real estate services firm JLL showed.