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ITC Hotels plans to expand its operating portfolio to 250 properties with more than 22,000 keys over the next five years, supported by a pipeline of 78 hotels with over 8,000 keys. The company is following an asset-right strategy that combines investments in owned properties with management contracts and acquisitions. New developments are planned in Puri, Visakhapatnam and Delhi, while the Bhubaneswar hotel is being expanded. ITC Hotels is also adding properties across Kerala, Ahmedabad, Ayodhya, Bodh Gaya, Gandhinagar, Guwahati, Jaipur, Rajgir, Shahjahanpur and Shirdi as it widens its presence across business, leisure and pilgrimage markets.
ITC Hotels plans to expand its operating portfolio to 250 properties with more than 22,000 keys over the next five years, backed by a pipeline of new hotel contracts and investments. Chairman Sanjiv Puri outlined the expansion plan at the company’s Annual General Meeting held this week, with the company continuing to focus on an asset-right growth strategy.
Under this approach, ITC Hotels plans to balance investments in selected new properties with expansion through management contracts and acquisitions. Puri said the company has a pipeline of 78 hotels with more than 8,000 keys, which will support its target of reaching 250 operating hotels and over 22,000 keys.
The company is also investing in new properties in Puri, Visakhapatnam and Delhi, while expanding its existing hotel in Bhubaneswar. These projects are expected to add nearly 670 rooms to the portfolio.
ITC Hotels has been increasing its presence through management contracts, particularly in Tier-II and Tier-III cities, where demand for premium hospitality has been growing. The company’s annual report for FY2025-26 noted that it had more than 150 hotels and over 14,000 keys, with expansion being supported by both owned properties and partnerships with asset owners.
The company is also pursuing inorganic growth. It is acquiring a new property in Kerala and has signed another property in Ahmedabad. In addition, agreements have recently been signed for hotels in Ayodhya, Bodh Gaya, Gandhinagar, Guwahati, Jaipur, Rajgir, Shahjahanpur and Shirdi.
The new locations will strengthen the company’s presence across destinations that cater to pilgrimage, heritage, weddings, leisure, wellness and emerging business travel. The expansion also reflects the company’s strategy of entering markets where hotel demand is developing beyond the major metropolitan cities.
The company’s expansion pipeline has strengthened over the past year. During FY2025-26, ITC Hotels signed 33 hotels with more than 3,300 keys, taking its managed hotel pipeline to 67 hotels with around 6,700 keys at the end of the financial year. It had also announced new projects in Visakhapatnam and New Delhi, while construction was progressing at Puri and at the Welcomhotel Bhubaneswar expansion.
The Visakhapatnam project is expected to cater to demand linked to IT and data centres, industrial activity and port-led business travel. The Delhi project at the Yashobhoomi complex is planned as a premium five-star hotel with banqueting facilities and is expected to benefit from the convention, exhibition and events ecosystem in the area. ITC Hotels has said the Yashobhoomi hotel is expected to be completed by 2030.
The company’s asset-right strategy is aimed at reducing the capital intensity associated with hotel expansion by working with property owners through management and franchising arrangements. At the same time, ITC Hotels continues to invest in owned hotel assets in selected locations. Its earlier disclosures had also highlighted increasing interest from property owners in partnering with its hotel brands.
Puri also pointed to the longer-term opportunity in India’s tourism sector. He said the country needs to build the required tourism ecosystem to convert its large tourism potential into higher international visitor numbers, with an aspiration of attracting 100 million inbound visitors by 2047.
The company’s expansion comes as domestic travel and demand for hotels across business, leisure and pilgrimage destinations continue to support the hospitality sector. ITC Hotels reported consolidated revenue from operations of INR 4,139 crore for FY2025-26, up 16%, while profit after tax before exceptional items rose 39% to INR 888 crore.
Source PTI
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