Taj Group sets up its first business hotel in Goa

The Taj Group of Hotels is setting up its first business hotel in Goa, at capital Panjim. The company has entered into a management contract with Kamat Construction and Resorts for construction of the resort, which is to be completed by ’07. The cost is estimated at Rs 70 crore. This is Taj’s first venture into a business hotel in Goa.

Currently, the company has two luxury hotels in north and south Goa. “We are targeting the corporate segment which frequents Goa for meetings and conferences. We expect 65% occupancy on a regular basis,”, said Rohinton Commissariat – Director (sales & marketing), Taj Business Hotels.

The company has plans for similar expansion into other smaller cities like Vijaywada, Ranchi, Trivandrum, Amritsar and Coimbatore besides further expanding in metros like Mumbai and Bangalore.

Currently, there are more than 3,600 rooms in Goa and the state has been consistently registering average occupancy of 61% in last couple of years; while average room rate has grown steadily by 15% every year. Goa, among other cities also reports the highest average length of stay by both foreign and domestic guests; and over 12 new hotels are expected in Goa in the next 3-5 years according to the Federation of Hotel and Restaurant Associations of India and HVS International.

“Many 5 star resorts like Hilton Hotels, Oberoi Hotels and Resorts, ITC Ltd, Sun n Sands will open in Goa within the next three years”, said Ralf D’Souza, chairman –– Travel and Tours Association of Goa (TTAG).

The state, with its proximity to Mumbai, a booming aviation industry and low cost cost carriers, coupled with State government’s initiatives like establishing an IT Habitat, International Conference halls and SEZs have provided the right ‘boost’ to set shop in Goa, say hoteliers. Smitha Venkateswaran