Avoid hotel space at this point of time: Seshadri Bharathan, KSEMA Fincon Ltd

Seshadri Bharathan, MD & CEO, KSEMA Fincon Ltd, in a chat with ET Now talks about the hotel space.

Is there anything that you like from the hotel space?

The sense we are getting in hotel space is yes the occupancy levels have improved but the average room rents have been stable for most of these hotel chains. Going forward, because of the lot of new inventories opening up, close to 4000 hotel rooms in four star and five star segment in next one years’ time.

The Sense we are getting is that there would be pressure on these hotels and as a consequence they would not be able to increase their average room rentals. So it’s better to stay away from hotel space at this point of time.