Chalet Hotels to add 800 rooms in 3-4 years to meet growing demand

Chalet Hotels, a subsidiary of K Raheja Corp Private Ltd, has set ambitious plans to expand its portfolio of "big-box", or large inventory hotels, aiming to add approximately 800 rooms to its offerings.

- Varuni Khosla

The Mumbai-based operator of high-end hotels has set aside ₹12,000 crore as current capital work-in-progress, and the expansion will increase its total room count to 5,000 in the next three to four years.

Capital work-in-progress represents expenditure on fixed assets like buildings that are under construction.

Sanjay Sethi, the company's managing director and chief executive, told Mint that Chalet Hotels' strategy aims to capitalize on demand generated by office spaces in proximity to its properties, ensuring a robust and continuous customer base.

In an industry trend moving towards reduced asset ownership and a focus on hotel management, Sethi said that Chalet Hotels stands out by pursuing growth in both its balance sheet and Ebitda (earnings before income, tax, depreciation, and amortization).