Omaxe to plug Rs 6,200 cr in new dedicated hospitality vertical, plans 19 hotels in 5 states

Real estate developer Omaxe Limited on Monday revealed a dedicated hospitality business vertical with plans to develop 19 hotels across 4-5 years. The company plans to invest around Rs 6,200 crore to develop hospitality assets across high-growth urban centres, pilgrimage destinations, and transit corridors.

Under the new vertical, Omaxe plans to develop 12 hotels in Uttar Pradesh, including two in Ayodhya, three in Lucknow, one each in Prayagraj, Ghaziabad and Gorakhpur, two in Kaushambi and two in Vrindavan. Alongside this, one hotel each in New Delhi, Faridabad and Ujjain, along with four hotels across Chandigarh, Amritsar and Ludhiana, including two properties in Chandigarh will be developed.

"The company proposes to invest approximately Rs. 6,200 crore over the next 4–5 years, subject to project-specific, regulatory, and other necessary approvals, as well as market conditions, to develop hospitality assets across high-growth urban centres, pilgrimage destinations, and transit corridors," it said in a regulatory filing.


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Omaxe plans to expand its presence across 13 cities in five states over the next 4-5 years as it expects to generate over Rs. 1,000 crore in annual revenue upon stabilization under the new business vertical. The revenue projection, however, is based on the current business assumptions and subject to project execution, occupancy levels, market conditions, regulatory approvals and other relevant factors, the real estate developer said.

Omaxe will integrate the hospitality infrastructure with its existing ecosystem of townships, mixed-use developments, commercial destinations and urban infrastructure projects.

The key projects include:

• 158-key Gateway Hotel by IHCL at The Omaxe State, the company's 50.4- acre integrated destination in Dwarka, New Delhi, developed under a Public-Private Partnership (PPP) model with the Delhi Development Authority (DDA).
• Omaxe will also develop transit-oriented hospitality infrastructure in Uttar Pradesh through its PPP projects with the Uttar Pradesh State Road Transport Corporation (UPSRTC).

The hospitality portfolio of Omaze will now comprise midscale and upscale branded hotels, luxury and premium flagship properties, high-capacity pilgrimage hotels, and branded serviced apartments and extended-stay studios.