Hospitality & Retail

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India's hospitality industry set for strong revenue growth in 2024-25

Author : PNT Bureau

India's hospitality sector is poised for substantial growth, with Crisil Ratings projecting an 11-13% revenue increase in 2024-25, buoyed by robust recovery post-Covid-19. Domestic demand and rising overseas visitors are expected to drive growth to 15-17% this fiscal year. Strong operating performance and minimal capital spending will bolster profitability and credit profiles. Domestic travel demand, supported by economic activity, will sustain industry development, albeit at a slower pace due to a high base effect. While foreign tourist numbers remain below pre-pandemic levels, their gradual increase will boost hotel demand, especially in the MICE category. Favourable supply dynamics will further fuel industry resilience, with brands favouring management contracts to minimize upfront capital costs amidst sector challenges....

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OYO expands presence in sports hospitality, designates 100 hotels across 12 cities

Author : PNT Bureau

OYO properties & Homes is branching out into the sports hospitality market, choosing 100 properties in 12 locations, including Bangalore, Chennai, and Delhi. The change is intended to accommodate major sporting events by offering players, referees, and spectators end-to-end solutions. OYO provides a variety of lodging alternatives, customised packages, and group booking choices with an emphasis on quality and creativity. The company also intends to offer transportation, catering, and round-the-clock support via control rooms at event locations. This strategic growth, which demonstrates OYO's dedication to seamless and inclusive hospitality, comes after successful participation in significant sporting events in 2023....

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Iconic Udhayam Theatre in Chennai to make way for a residential complex

Author : PNT Bureau

Udhayam theatre, a historic cinema hall in Chennai, is scheduled for demolition to pave way for a residential complex on its 1.31-acre property in Ashok Nagar, Chennai. Established in 1983 as one of the city's initial multiplexes, the theatre complex, housing Udhayam, Mini Udhayam, Suriyan, and Chandran theatres, will be replaced by a residential development. The decision to replace the iconic structure with a residential complex comes in light of low profitability and financial constraints. The closure has stirred nostalgia among cinema enthusiasts, reflecting a broader trend of traditional theatres facing challenges and closures amid the growing popularity of online streaming platforms....

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Prestige Group sets sights on retail expansion, plans 9 million sq ft of retail space

Author : PNT Bureau

Bengaluru-based Prestige Group plans to develop 9 million sq ft of retail space across Mumbai and Delhi-NCR, expanding its mall business. In 2021, they sold 4.4 million sq ft of retail space valued at Rs 9,000 crore. Rebranding their malls aims to attract international brands and enhance customer experiences. Ali emphasised the rarity of malls generating Rs 100 crore monthly revenue, highlighting their Forum mall's success. Upcoming malls will feature destination retail, live music, cinemas, and technology-enabled experiences. With strong retail portfolio growth, including 102% YoY sales increase in Q2FY24, Prestige Group aims to join India's elite mall league....

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Phoenix Mills reports strong Q3 FY24 results with 69 percent rise in net profit

Author : PNT Bureau

Phoenix Mills, a retail-led mixed-use asset developer, reported a 69% year-on-year rise in Q3 FY24. Consolidated net profit rose to INR 297 crore, with operating profit reaching INR 552 crore. Retail collections surged 30% to INR 700 crore, and rental income from retail grew 33% to INR 447 crore. The malls owned by the developers are operating at lifetime high lease occupancy and trading levels. The company also recorded robust leasing in commercial offices and maintains strong Average Room Rates (ARR) in hotels. Consolidated net debt stands at INR 2,230 crores. Residential sales show improvement, with gross sales of INR 515 crores in the first nine months of FY24....

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The Park Hotels IPO makes stellar debut, stock surges over 31% on listing day

Author : PNT Bureau

Apeejay Surrendra Park Hotels, popularly known as 'The Park' Hotels, recently filed for an Initial Public Offering (IPO) amounting to a staggering INR 920 crores. The IPO comprised INR 600 crores in fresh shares and an Offer for Sale (OFS) of INR 300 crores, with a significant portion allocated to repay borrowings, bolstering the company's financial standing. The IPO, open from February 5th to February 7th, witnessed exceptional demand, with oversubscriptions of 75.14 times from Qualified Institutional Buyers (QIBs), 52.41 times from Non-Institutional Investors (NIIs), and 30.35 times from retail investors. The gray market indicated a premium of 20-25%, and upon listing on February 12th, the stock soared by over 31%, affirming investor confidence and signaling a bright future for Apeejay Surrendra Park Hotels in the luxury hospitality sector....

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DB Realty's demerger plan for hospitality business receives board approval

Author : PNT Bureau

D B Realty's board greenlights the demerger of its hospitality arm, aiming to boost shareholder value. By segregating hotel assets, the Mumbai-based firm seeks to attract specialized investors and talent, fostering expansion. The move, detailed in regulatory filings, tailors strategies to India's hospitality sector dynamics, enhancing operational focus and agility. The resulting entity targets superior returns and governance transparency, with equity shares to be listed post-demerger. Amidst a promising growth landscape in India's hospitality sector, D B Realty's proactive portfolio optimization aligns with its vision and growth objectives, prioritizing stakeholder interests throughout the process....

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GMR and IHCL announces 300-room Ginger Hotel at Manohar International Airport

Author : PNT Bureau

IHCL, in collaboration with GMR Goa International Airport Limited, is set to unveil a 300-room Ginger hotel at Manohar International Airport, Goa, under a 60-year sub-license agreement. Scheduled for launch in 2027, this initiative aligns with IHCL's strategic plan to expand its presence in key transit hubs. The upcoming hotel, under IHCL's third large-format 'Ginger' property at an international airport, aims to meet the escalating demand from travelers while enhancing Goa's appeal as a premier tourist destination....

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Eros Cinema revamped into a 305-seater IMAX Theatre

Author : PNT Bureau

After seven years, the iconic Eros Cinema in Mumbai has reopened as a cutting-edge 305-seater IMAX theatre. The cinema, which was originally commissioned in 1935 and created by architect Sohrabji Bhedwar, was meticulously restored under the supervision of conservation architect Kirtida Unwalla. The renovated cinema preserves its famous Art Deco facade and interior aesthetics while combining old-world charm with modern facilities. PVR Inox will manage the facility. The reopening symbolises an important cultural comeback for Mumbai by providing moviegoers with a one-of-a-kind film experience in a beloved architectural jewel....

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Lemon Tree Hotels to expand with 30 new properties in India and abroad

Author : PNT Bureau

Lemon Tree Hotels, led by Chairman and MD Patanjali Keswani, plans to open 30 new properties in India and abroad, adding over 2,000 rooms. The expansion includes a resort in Bhutan and 3 to 4 hotels in Nepal. Last year, they launched 14 hotels, including India's largest. With a focus on tier-1 to tier-3 cities and leisure destinations, they aim to expand their Aurika Hotels & Resorts brand. With strong financial performance, revenue of INR 289 crore and a profit of INR 44 crore, Lemon Tree eyes further growth through conversions, targeting 10,000 rooms....