ROOM FOR GROWTH

A HVS-ANAROCK report analysis showed that there is still room to build hotels in India, albeit with careful planning given the high hotel development capital costs and gestation periods

The Indian hotels sector was poised to grow to greater heights driven by increasing demand in the pre-COVID era and the current crisis is just a speed-breaker in its path. As a famous adage goes, ‘in every crisis lies an opportunity’, and this calamity can also be turned into an opportunity for the sector as this is perhaps an opportune time to invest in hotels.

The ‘HVS ANAROCK Room for Growth’ report analysed the hotel room supply in the three main cities in India – Delhi NCR (composition of Delhi and Gurugram), Mumbai and Bengaluru – with other key Asian cities. It compared hotel density based on population, air traffic and Grade A office stock, which are the three main factors driving hotel room demand in any country.