Choice Hotels to add 8-10 budget hotels

NEW DELHI: Hotel branding and marketing company Choice Hotels India plans to help establish 8-10 budget properties each year, as it seeks to tap the potential in the mid-market segment.

The hotels, which would be constructed in the next 2-3 years by real estate developers, would involve an investment of about Rs 700-750 crore.

"The company currently has (helps marketing) 30 hotels across 22 destinations in the country and we are looking to add 8-10 properties to this number every year for next 2-3 years. Our expansion plans would see the promoter companies invest about Rs 700-750 crore in the next 2-3 years," Choice Hotels India CEO Vilas Pawar said.

Total room capacity of the company would increase to 3,000 from the current 2,000 once the expansion is undertaken, he said, adding that the budget hotel segment was still largely untapped and the company forsees huge opportunity in the sector.

He said Choice Hotels so far has been involved in marketing and branding of hotels, but it would soon commence management of its properties as well.

"We will be managing all our budget hotels in the metros and major cities from March next year. This would not only help us add to our bottomline figures but even build our brand image further," Pawar said.