Omaxe Bets Big on India’s Hospitality Boom with ₹6200 Crore Investment Across 19 Hotels
Real estate developer enters hospitality sector with integrated hotel portfolio spanning pilgrimage destinations, business hubs and transit corridors across five states
Among the flagship projects is a 158-key Gateway Hotel to be operated by IHCL at The Omaxe State in Dwarka, New Delhi, the company's 50.4-acre integrated mixed-use destination being developed under a public-private partnership (PPP) model with the Delhi Development Authority (DDA).
NEW DELHI: Real estate developer Omaxe Ltd on Monday announced its entry into the hospitality sector with plans to invest ₹6,200 crore over the next four to five years to develop 19 hotels across 13 cities in five states, marking one of the company’s biggest diversification initiatives beyond residential and commercial real estate.
The proposed hospitality portfolio, spread across nearly 5 million square feet, will include hotels in Uttar Pradesh, Delhi, Haryana, Punjab and Madhya Pradesh, focusing on high-growth urban centres, pilgrimage destinations and emerging transit corridors. The company said the hotels will be integrated with its existing townships, commercial developments and mixed-use projects to create destination-based ecosystems.
“Hospitality is a natural extension of our integrated development strategy. With improving connectivity, growing religious tourism and increasing travel across emerging markets, there is a clear need for quality hospitality infrastructure in these locations,” said Mohit Goel, Managing Director, Omaxe Ltd.
“Through this expansion, we aim to create well-located hospitality destinations that complement our existing developments, strengthen our recurring revenue base and contribute to the economic activity of the cities where we operate,” he added.
According to the company, 12 of the 19 proposed hotels will come up in Uttar Pradesh, including projects in Ayodhya, Lucknow, Prayagraj, Ghaziabad, Gorakhpur, Kaushambi and Vrindavan. Other developments are planned in New Delhi, Faridabad, Chandigarh, Amritsar, Ludhiana and Ujjain.
Among the flagship projects is a 158-key Gateway Hotel to be operated by IHCL at The Omaxe State in Dwarka, New Delhi, the company’s 50.4-acre integrated mixed-use destination being developed under a public-private partnership (PPP) model with the Delhi Development Authority (DDA).
Omaxe also plans to develop hospitality infrastructure alongside its PPP bus terminal projects with the Uttar Pradesh State Road Transport Corporation (UPSRTC), strengthening accommodation facilities across key transit locations.
The company said the proposed portfolio will cater to business travellers, leisure tourists, destination weddings, MICE events and religious tourism through a mix of mid-scale, upscale, luxury and serviced apartment offerings.
The investment will be executed in phases over the next four to five years. Subject to project execution and market conditions, Omaxe expects the hospitality business to generate around ₹1,000 crore in annual revenue once the portfolio is fully operational.
The company added that it is in advanced discussions with several domestic and international hotel operators for branding and management partnerships, with formal announcements expected after agreements are finalised.
The expansion comes amid strong growth in India’s hospitality sector, driven by rising domestic tourism, improved transport infrastructure, religious tourism and increasing demand for organised hotel accommodation across Tier-I and Tier-II cities.
