Sleeper India

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www.sleepermagazine.com NAMASTE! India’s hotel sector takes off W Mumbai to launch at Namaste Tower Priya Paul The Park Hotels pioneer on the boutique boom Taj Mahal Palace An Indian icon is reborn PLUS… The latest investment and development news, research and analysis The Oberoi - Gurgaon Hilton - Chennai Dragonfly - Mumbai Ritz Carlton - Bengalaru Zinc City - Kochi

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Sleeper Magazine Hotel Design Development Architecture. The Sleeper brand – comprising a beautifully presented magazine, and our website www.sleepermagazine.com – is targeted at all those involved in hotel design, development and architecture on an international level. It is the only media to reach all the individuals and disciplines throughout the complex supply chain involved in the delivery of new hotel projects worldwide.

Transcript of Sleeper India

Page 1: Sleeper India

www.sleepermagazine.com

NAMASTE!India’s hotel sector takes offW Mumbai to launch at Namaste Tower

Priya PaulThe Park Hotels pioneer on the boutique boom

Taj Mahal PalaceAn Indian icon is reborn

PLUS…The latest investment

and development news, research and analysis

The Oberoi - Gurgaon

Hilton - Chennai

Dragonfly - Mumbai

Ritz Carlton - Bengalaru

Zinc City - Kochi

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W elcome to this special edition of Sleeper – the leading magazine for international hotel design, development and architecture. One might ask why Sleeper

has chosen to dedicate an entire supplement to India, and why we have done so now. The answer is simple. India is one of the world’s most vibrant, dynamic, fast-growing countries, and its hotel sector reflects this. Hotel owners, operators and developers are taking India increasingly seriously, and so too are we.

Sleeper India recognises both the spectacular growth of the Indian hotel industry, and the increased business opportunities this growth offers to hotel designers and architects, as well as the companies that supply them. We were spoilt for choice in terms of the hotel projects we could have reviewed within the limited space available, so apologies to any that did not make the final cut. Although you will find plenty of hotel projects in our coverage, we have also tried to dedicate just as much space to the research, analysis and market intelligence that will allow you to assess and access the opportunities India holds for your business. We hope you enjoy this inaugural edition. Please do let us have your feedback so that we can ensure future editions continue to meet the needs of the hotel design sector in this unique and special country.

Namaste!

Supplement EditorCatherine [email protected]

Editorial DirectorMatt [email protected]

International Advertising SalesStephen [email protected]

Advertising SalesBecky [email protected]

DesignDave [email protected]

Advertising ProductionMel [email protected]

Finance DirectorAmanda [email protected]

AccountsDonna [email protected]

Marketing & Subscriptions Laura McLaughlin [email protected]

ChairmanDamian [email protected]

FRONT DESK

Publishers: Sleeper Magazine Ltd, Waterloo Place, Watson Square, Stockport, SK1 3AZ, UK • Tel: +44 (0)161 476 8390 • Fax: +44 (0)161 429 7214 • www.sleepermagazine.com • Printed By Buxton Press

04 Drawing Board

14 India: The Final Frontier

16 Under Development

20 A Golden Opportunity? – Market Overview

24 Interview: Priya Paul, Park Hotels

30 Feature: Fit for a Maharaja

34 Hotel Review: Taj Mahal Palace, Mumbai

38 Hotel Review: Oberoi, Gurgaon

42 Hotel Review: Hilton, Chennai

46 Business: Helping Handovers A Guide to Doing Business in India

48 Business: From Bureaucracy to Bollywood

52 Product Portfolio

54 A Future India

Contents

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Starwood Hotels & Resorts Worldwide has announced plans to introduce the W brand to India under a management contract with Jaguar Buildcon Private Limited. The 350-key hotel will form part of the Namaste Tower, a mixed-use development designed by Atkins, with interiors by United Designers.

Slated to open in 2015, W Mumbai will be developed on a three acre plot of land in the bustling south-central part of the city.

Atkins’ design, based on the traditional Indian greeting of ‘Namaste’ meaning ‘I bow to you’ in Saskrit, is made up of two separate

wings, or hands, clasped together to provide the ultimate symbol of hospitality. The design seeks to build on this theme through the treatment of the building skin, which references intricate Mehndi (or Henna) patterns, typically applied to the hands as a form of decoration during special occasions.

The 55-storey tower will be clad in fritted glazing that combines to form an architectural scale graphic on the exterior of the building. This will create a sense of transparency and depth to the building while at the same time helping to maintain the thermal qualities required to meet the building’s envelope design criteria.

It is proposed that the large scale

canopies over the drop-off points area support an array of solar thermal collectors. Given the available surface area and annual sunlight conditions these have the potential to provide 12% of the energy required to heat the hot water for the hotel.

“We are excited to bring the W lifestyle to Mumbai, another step in W’s global expansion into the world’s most exciting and vibrant destinations,” comments Frits van Paasschen, President and Chief Executive Officer of Starwood Hotels & Resorts Worldwide, Inc. “W Mumbai will offer a contemporary take on design, fashion and music in the heart of one of the city’s most vibrant districts, bringing an innovative and distinctive experience to Mumbai.”

W Mumbai will house more than 350 stylishly appointed guestrooms, including two WOW Suites and one Extreme WOW Suite, two contemporary restaurants, the signature W lobby lounge, WET pool deck, SWEAT fitness centre, spa and retail space. It will also feature a quadruple height Sky Restaurant and Bar at its summit.

London-based United Designers has recently been named as interior designer following their completion of W Doha in 2009, and W Athens, currently under development. Although still in concept stages, United say inspiration will come from the backdrop of the city, its history, and its culture.

With the introduction of W, seven of Starwood’s nine brands will have a presence in India by 2015, including The Luxury Collection, Le Méridien, Westin, Sheraton, Four Points by Sheraton and Aloft.

W Mumbai

The treatment of the building skin references intricate Mehndi patterns, typically applied to the hands as a form of decoration during special occasions.

Developer: Jaguar Buildcon Private LimitedOperator: Starwood Hotels & ResortsArchitect: AtkinsInterior Design: United Designers

PROJECT DETAILS

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Advaya Hospitality has unveiled a ‘stylish, affordable and musically inspired’ lifestyle brand that is set to make its international debut in Brazil and India.

Over the next three years, Modo will roll out in major metropolitan markets in Brazil, whilst a sister brand focused on the budget lifestyle segment will be launched in India.

In Brazil, Modo will be developed by the newly formed ABR Brazil LLC, a joint venture between Modo and BridgeRock Capital Management LLC. Five to ten 150-room hotels will be strategically located in the fastest growing cities of Sao Paulo, Campinas, Curitiba, Vitoria and Manaus.

Additionally, during the second half of 2011, a Modo sister brand will premier in India, creating a new market niche of budget lifestyle hotels. A minimum of five 60- to 80-room lodgings will be launched with limited food and beverage offerings and small meeting rooms. They will be located in the cities of Chennai, Tuticorin, Kakinada, Vizag and Vellore.

Full-service hotels will feature Bauhaus-style lofts, a restaurant, bar-lounge, courtyard with pool, meeting space, business centre, library, sundries/gift shop and high-tech gym. The RPM restaurant-lounge with its vast collection of vinyl records, CDs and MP3 content showcasing independent artists around the globe will take centre stage.

“In music and design, Modo will have a huge international focus – the US, Brazil, India, China and Europe, among other countries,” says Chris Jones, Chief Development Officer for Modo and Advaya. “The language of music is universal. It cuts across borders, providing a way for people to do more fun things together. That makes music a perfect fit for our new global brand.”

“While all properties will share design and music icons, Modo will be global in scope with the flexibility to scale up or down depending on the demands of the site and the local market,” Jones explains. “Our unique F&B concept will have a range of options, from a full service restaurant with a

vibrant bar scene to a cozy bar with a limited food and beverage menu.”

Modo is backed by a team of industry veterans with experience in managing and growing international hospitality companies. CEO John Russell is a former chairman of the American Hospitality & Lodging Association, a founding partner of NYLO Hotels and former chairman and CEO of the Hotel Division, Cendant Corp., now Wyndham

Worldwide. Chief Development Officer Chris Jones, responsible for the creation, design and development of Modo, is also a Nylo co-founder.

Franchising is slated to begin later this year with further expansion planned through a combination of acquisitions, new development and conversions of existing properties.

Modo Hotels India

Modo will roll out in major metropolitan markets in Brazil, whilst a sister brand focused on the budget lifestyle segment will be launched in India.

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Marriott International has reached a preliminary agreement to form a joint venture with SAMHI Hotels Pvt Ltd., a hotel and investment company based in New Delhi, to launch Fairfield by Marriott, a new hotel prototype designed specifically for the growing Indian business traveller.

The venture is expected to bring 2,500 guestrooms and approximately 15 moderate-tier hotels to India by 2015 in markets such as Bengaluru, Chennai and Hyderabad.

“With a burgeoning middle class of more than 200 million people, yet very few branded moderate-tier hotels to serve them, India presents a powerful growth opportunity for Fairfield by Marriott,” says Navjit Ahluwalia, Senior Vice President of Development in India, Marriott International. “With its expertise and relationships in the Indian market, plus the strong track record of its seasoned hospitality executives, SAMHI Hotels is an excellent partner for this venture.”

Once completed, the venture will firmly

establish Marriott’s leadership position in the moderate-tier category in India, and support the company’s goals of expanding in India from 12 to 100 hotels across seven brands by 2015.

Since opening its first hotel in India in 1999, Marriott has expanded its portfolio in the country to include the Courtyard by Marriott, Marriott Hotels & Resorts, JW Marriott, Renaissance, and Marriott Executive

Apartments brands. The 155-room Fairfield by Marriott

prototype is a highly customised version of the company’s successful Fairfield Inn & Suites brand, which was created in 1987 and has grown to more than 660 properties throughout the United States, Canada and Mexico. Unique features of the new Indian prototype include a three-meal-a-day

restaurant serving authentic Indian cuisine, an expansive lobby with a bar lounge and 24/7 market for drinks and snacks, ample meeting room space with modern technology, and two fresh décor palettes, inspired by the rich colours of the peacock and Indian embroidered textiles, and by the spices of saffron and turmeric. Indigenous stone, wood and textiles will be used throughout the hotels.

“To design Fairfield by Marriott, we started where we should – with the upwardly-mobile Indian business traveller,” says Shruti Gandhi Buckley, Vice President of the Fairfield by Marriott brand. “We believe we’ve developed a hotel prototype that is culturally relevant, meeting our guests’ unique needs around hotel living, dining, and socialising.”

Fairfield by Marriott India

The venture is expected to bring 2,500 guestrooms and approximately 15 moderate-tier hotels to India by 2015 in markets such as Bengaluru, Chennai and Hyderabad.

Developer: SAMHI Hotels Pvt Ltd. Operator: Marriott InternationalConcept Interior Design: Wilson Associates

PROJECT DETAILS

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Swissôtel continues its rapid expansion in India with Swissôtel Whitefield, Bengaluru, slated to open in early 2012.

Strategically located at the entry point of Whitefield, the property will be an integral part of a 559,000ft2 mixed-use complex that includes restaurants, a shopping mall and entertainment and leisure facilities. The

project is being developed by Virtuous Retail Limited, a Xander investee company.

Swissôtel Whitefield has been designed by one of India’s principal architecture firms, the multi award-winning RSP Design Consultants, with interior design by Areen Hotel Design.

The newbuild hotel will have 151 rooms including a Presidential Suite, outdoor dining, a rooftop bar, an all-day-dining

restaurant, spa and fitness facilities and an executive lounge.

The project is being designed as a focal point where business travellers, tourists and locals can meet up, enjoy fine dining and stay in five-star contemporary chic surroundings.

Areen Hotel Design, renowned for their experience of designing for developing

markets, have chosen a bright, bold and distinctly Indian influenced design theme, fusing local inspiration with the Swissôtel approach. The sophisticated design extends to the roof, where Areen have created a destination rooftop pool and Skylounge Bar with views overlooking the city.

Swissôtel is also developing a 240-room hotel in Gurgaon that will be its third property in India.

Swissôtel Whitefield Bengaluru

Areen has chosen a bright, bold and distinctly Indian influenced design theme fusing local inspiration with the Swissôtel approach.

Interior designer of Swissôtel Whitefield, offers an insight into working in India.

Name: Andrew LinwoodJob Title: Head of Hotel DesignCompany: Areen Hotel Design

Completed projects in India:Shangri La, Bangalore Crowne Plaza, Gurgaon, Delhi Westin Hotel, Dhaka, Bangladesh Central Park Residences, Gurgaon, Delhi

Current projects in India:Swissôtel, Bangalore

Do you see any design trends emerging in Indian hotels?The Indian domestic market is booming and Indians aspire to an international lifestyle; thus a less ethnic style with a more corporate interior in business hotels.

What do you like about working in India?The varied culture and regional cuisines, as well as the politeness and ubiquity of the English language.

What is the biggest challenge to working in India?The lack of infrastructure makes travelling around difficult.

What tips can you offer others for success in the region?Be there as often as possible.

Developer: Virtuous Retail LimitedOperator: SwissôtelArchitect: RSP Design ConsultantsInterior Design: Areen Hotel Design

PROJECT DETAILS

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Architect Prem Nath has conceptualied India’s first themed entertainment resort on a 40-acre site in Delhi.

The seven-star Royal Resort & Gardens will house 500 deluxe guestrooms and suites, five food and beverage outlets, a business centre, extensive pool decks, and musical fountains. Expected to open in 2014, the 1 million ft2 resort will also feature an amphitheater with a 10,000 seating capacity, health spas, salons, themed gardens, multi-level swimming pools with water slides, a 24-pocket golf course, artificial beach, multi-cuisine restaurants, and luxury retail.

Royal Resort & GardensMumbai

WATG has unveiled designs for Ritz Carlton’s first foray into India, a 281-key property in Bengaluru’s central business district, developed by Nitesh Estates.

The Ritz-Carlton, Bengaluru will offer several restaurants, extensive meeting and events space, a luxurious spa and outdoor swimming pool, and an entire floor dedicated to high-end retail boutiques. In addition, it will feature a rooftop helipad, thought to be the first in India.

“India represents the next great international expansion opportunity for The Ritz-Carlton Hotel Company,” comments Simon F. Cooper, President and Chief Operating Officer. “We are especially pleased that our initial presence will be in Bengaluru, a city whose thriving economy has made it the Silicon Valley of the nation. “

“Nitesh Estates, the Bengaluru-based developer, has committed to building a world-class hotel in the heart of the city’s central business district,” he adds.

Ritz CarltonBengaluru

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1919 Hypnos Sleep India Ad OL.indd 1 15/4/11 09:29:26

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Details of a 27-key boutique hotel for developer Kyal Group have been released ahead of its August 2011 opening.

Located on a narrow strip of land measuring just 360m2, the five-storey newbuild is designed by Sanjay Puri Architects, who have created a punctuated structure with an abstract composition of trapezoidal openings. Guestrooms are north-facing to combat the effects of the sun, whilst the ground floor offers an all-day-dining restaurant and barbeque terrace. An operator is yet to be announced.

DragonflyMumbai

Zinc | InVision Hospitality, a new venture between Thailand-based InVision Hospitality and the Singapore-based investment company Cinnovation | CG, has announced plans to open thirty hotels in Asia by 2013.

The partnership has seven hospitality brands already developed, each catering to a different market. For the value conscious urban traveller, Zinc City offers flexible guestrooms that can be easily converted to office or lounge space according to the needs of the guest. The concept is designed by Singapore-based building consultant and township developer Surbana City. The first Zinc City in India is scheduled to open in Greater Noida in 2012, followed by further properties in Kochi and Surat in 2013. The growth will be financed in part by Z-I Capital Partners, which is the investment fund set up by the current Zinc | InVision Hospitality partners and fortified by other investors.

Zinc CityKochi

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Capital: DelhiMajor cities: Mumbai, Kolkata,Chennai, Bangalore Administrative divisions: 28 states and 7 union territoriesTotal area: 3,287,263km2

DELHI

AGRAJAIPUR

AHMEDABAD

KOLKATA

MUMBAI

PUNE

HYDERABAD

KERALA

GOA

BENGALURU CHENNAI

CHANDIGARH

GEOGRAPHY

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IndiaThe final frontier

The latest facts and figures from the World Travel & Tourism Council and Ministry of Tourism show how India is investing time, money and resources in order to fulfil its potential.

India’s economy is predicted to grow by 8% in 2012,

almost double the 4.2% growth forecast for the global economy as a whole.

The total contribution of travel and tourism to

GDP is forecast to rise by 8.8% per annum from `3,680.4bn in 2011 to `8,523.1bn by 2021.

Travel and tourism investment is estimated at `1,233.0bn in 2011. It is expected to rise by 8.7% per annum to reach `2,827.5bn in 2021.

In 2010 the Government of India announced a

scheme of granting Tourist Visa on Arrival for citizens of Finland, Japan, Luxembourg, New Zealand and Singapore. Its success has seen the scheme extend to citizens of Cambodia, Laos, Vietnam and Philippines, and more recently Myanmar and Indonesia.

Infrastructure development holds the key to India’s sustained growth in the tourism sector. The Ministry of Tourism continues its efforts to develop quality tourism infrastructure in co-operation with other Central Government Ministries such as Railways, Civil Aviation, Road Transport & Highways, and Urban Development.

Domestic air passenger traffic grew by 19%

in 2010 to 51.53 million according to the Economic Survey 2010-11.

The Airports Authority of India (AAI) is currently overseeing the

development, construction or renovation of 58 airports across India.

In July 2010 the Ministry of Tourism adopted the Code of Conduct for Safe & Honourable Tourism to strengthen the critical pillar of ‘Suraksha’ (safety) and ensure that Indian tourism follows international standards of safe practice.

State Administrations, has proposed to set up Tourist Police at prominent tourist spots for the safety and security of tourists.

To meet the predicted shortage of skilled manpower in the industry, the Ministry of Tourism has adopted a strategy which includes strengthening and expanding the institutional infrastructure for training and education, supporting the creation of new Institutes of Hotel Management (IHM) and Food Craft Institutes (FCI).

IHM & FCI

To address the constraints faced by the hotel

industry in obtaining multiple clearances and to streamline the system for future hotel development projects, the Union Cabinet has approved the setting up of a Hospitality Development and Promotion Board (HDPB).

HDPB

‘SURAKSHA’

AAI

19%

TVoA

352 Airports (Ranked no. 23 in comparison to world)

64,015 Railways(Ranked no. 4 in comparison to world)

3,320,410 Roadways (Ranked no. 3 in comparison to world)

8%

The current population in India stands at 1.21 billion people making it the second most populous country in the world. More than 50% of India’s population is below the age of 25, and over 65% below the age of 35.

PEOPLE

1.21 BILLION

8.8%

ECONOMY

TOURISM

INFRASTRUCTURE

AVIATION

SAFETY & SECURITY

DEVELOPMENT

EDUCATION

TRANSPORT

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UNDER DEVELOPMENT…

Research by Lodging Econometrics has revealed that India has the third largest pipeline of hotel developments in the world. The country’s pipeline grew for a fourth consecutive quarter to 456 projects/80,738 rooms in Q4 2010. With 50% of all projects and 53% of rooms under construction, Lodging Econometrics anticipates new

hotel openings to rise, with 95 new hotels/14,377 rooms forecasted to open in 2011, and then increase again in 2012 to a new cyclical high of 91 hotels/17,924 rooms. Most global hotel companies have a high interest in India and continue to announce growth strategies which should boost development metrics and feed pipeline growth. 88 142 169Projects

Rooms 16,326

20,887

90 103 113

16,65915,809

19,806

29,799

2008 2009 20102009

New Project Announcements Construction Starts

20102008

KEY DEVELOPMENT METRICS - ANNUAL TOTALSAsia Pacific continues to drive global pipeline growth: 33% of world’s total pipeline rooms are in China & India

HVS calculate investment required to fund supply pipeline

As shown in the table below formulated by HVS, the proposed supply pipeline will require a total investment of around `46,200 crores, or over US$10 billion for development, excluding cost of land acquisition. Even if a standard loan-to-cost ratio of 1:1 is assumed, it means that developers will need over `23,000 crores or US$5 billion in debt to finance the construction of these hotels.

Hotel development in India is happening at breakneck pace. As we were putting this special edition of Sleeper Magazine together, every day brought fresh announcements of international brands expanding, new brands being launched, projects funded, and pipelines filled. Here we look at some of the key pieces of news to have emerged in recent months. We also get a fresh perspective on the Indian hotel design market from some of the international practices working in India.

Nationwide Occupancy and Average Rate Performance

Luxury First Class Mid-Market Budget Extended Stay

Source: Hotel Valuation Index and Compensation Survey, HVS, HICSA Edition 2011

10,918 19,093 18,585 9,496 1,647Segment Breakdown of Active Supply

Development Cost per Key (`)

Investment per Segment (`)

Investment Breakdown per Segment (%)

Total Investment in Hospitality (`)

15,000,000 8,500,000 5,000,000 3,000,000 9,000,000

163,765,749,600 162,290,685,300 92,923,667,250 28,489,290,480 14,826,903,390

35% 35% 20% 6% 3%

462,296,296,020

TOTAL INVESTMENT IN HOSPITALITY (2010/2011 - 2014/2015)

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Current projects in India:Park Hotel, Pune

How do you see the hotel industry in India developing?There is an explosion of new hotels, updated properties and choice for the business and leisure traveller. Many of the new hotels are design led in the four- to five-star international market mainly aimed at tourists. However there is a huge market for three-star business travel both for the internal and international market. Typically people had few choices... this is changing.

Do you see any design trends emerging in Indian hotels?The good hotels use the local culture and craft as a spring board for their identity. Who wants to go to India and stay in a beige room? I see that the market is responding to the visual richness found all over the country, rather than replicating cookie cutter designs from the West.

What is the biggest challenge to working in India?Quality control can be a really big problem, which is the down side to craftsmanship.

What tips can you offer others for success in the region? I think it is really important to visit the site and the region as much as you can... it is all very well working remotely, but you have to be able to conjure up the sense of place and the emotional values or the result may be under whelming.

Wyndham Hotel Group has signed seven full-service properties in India, six of which will be branded with the Ramada flag. Gurgaon-based Aerens Goldsouk International Ltd. has signed agreements for four of the properties, in Chennai, Kochi, Hisar and Ludhiana, whilst Madhuban Group will develop the other two, in Dehradun and Mussoorie. The announcement follows the introduction of the Days Inn brand to India with agreements for three new hotels. The latest news will

see a fourth property go up in Raipur.“When we started out in India, we knew there was a lot of potential for growth here, and today’s announcement is testament to this,” says Ken Greene, Wyndham Hotel Group President and Managing Director for Asia Pacific. “Seven signings in one day is a huge event for us and strengthens our market and global presence.”

Wyndham signs seven full-service properties for Ramada and Days Inn

IHG (InterContinental Hotels Group) has signed a joint venture partnership with Duet India Hotels Group (DIHL), to develop 19 new Holiday Inn Express hotels across India. IHG will invest through a 24% equity stake, making a multi-year investment of US$30 million into the partnership. The new hotels will add approximately 3,300 rooms to IHG’s current India development pipeline of over 10,000 rooms (46 hotels) and are expected to be operational by 2016.

IHG and Duet India Hotels Group to Develop 19 Holiday Inn Express Hotels

Accor plans to launch Sofitel, Pullman and Formule1 in India this year, bringing the number of brands it will have operating in the region to six. Sofitel Luxury Hotels will debut with the opening of the 302-key Sofitel Mumbai BKC in the third quarter with a further property scheduled to open in 2015. In addition, a total of ten Formule1 sites have been secured throughout the country. Between now and the end of 2012, Accor will open 21 hotels in India, putting it on track to achieve its goal of 90 hotels in the country by 2015.

Accor to launch key brands in 2011

Langham Hospitality Group has unveiled expansion plans to develop hotels in India, starting with the Eaton Smart brand at New Delhi Airport set to debut later this year. In addition, the group has signed a management agreement with Lavasa Corporation for two new hotels in the eco-friendly hill city of Lavasa, whilst a 130-key Langham Place hotel is under development in Pune.

Langham takes off in India

Sarovar Hotels and Resorts plans to add between 20 and 30 properties to its network of managed hotels within the next two years. The group currently has 54 properties in its portfolio through management contracts under the Premiere, Portico and Hometel brands, and it also franchises hotels under Carlson’s Park Plaza and Park Inn brands.

Sarovar Hotels aims to open 30 hotels in India by 2013

Leela Palaces, Hotels and Resorts has officially launched its latest property situated in the exclusive Diplomatic Enclave, New Delhi. The hotel was designed by a host of firms including SRSS, Kirk Nicks, Spin Design Associates, and Jeffrey Wilkes. According to the group’s President Rajiv Kaul, 2011 will see the opening of the Leela Palace Chennai, and development of a plot of land in Agra, just 1.1km from the Taj Mahal.

Leela Palace New Delhi opens

Hotel Leelaventure Ltd. anticipates selling about 5% of the company within the next two months, reducing its founders’ stake to 50%. The share transaction with an unidentified private equity firm would raise about `6 billion (US$135 million) that would be used to reduce Leelaventure’s debt, which currently hovers around `38 billion.

Hotel Leelaventure to sell 5% stake

NEWS IN BRIEF

Name: James SoaneJob Title: DirectorCompany: Project Orange

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Starwood Hotels & Resorts Worldwide has announced it will operate more four- and five-star hotels in India than any other group with the opening of seven new properties in 2011. Key openings include Le Méridien Coimbatore and Sheraton Bengaluru Hotel at Brigade Gateway. By 2015, Starwood expects to have 100 hotels open or under development.

“Already our fourth largest market, India is second only to China in terms of our future global growth,” comments Frits van Paasschen, President and Chief Executive Officer of Starwood Hotels & Resorts. “Given India’s growing wealth, infrastructure demands and accelerating stature as a global business hub, our opportunity here is vast. India today is still an ‘under-hoteled’ market and the demand for high-caliber lodging is expected to far exceed current supply for the next three to four years.”

Hyatt Hotels Corp. has signed management agreements for nine new Hyatt-branded hotels across India, bringing the company’s development pipeline in the country to 38 properties. The new agreements include an upper-upscale Grand Hyatt in Noida; upscale Hyatt Regency hotels in Jaipur, Surat, Ghazibad, Chandigarh, Lucknow and Guwahati; and select-service Hyatt Place hotels in Devanhalli and Seepz. Hyatt Regency and Hyatt Place are currently where Hyatt’s India pipeline is focused.

Starwood on track to open 50th hotel in India by 2012

Hyatt signs nine new hotels in India, country pipeline at 38

Hyatt Regency Hyatt PlaceGrand Hyatt

Park Hyatt Andaz

Targeted at the cosmopolitan global traveller who values style, contemporary design, creative experiences and luxury service, Vivanta by Taj will see expansion to over 5,000 rooms within the next two years, say Taj Hotels Resorts & Palaces. The latest addition, Vivanta by Taj – Whitefield, Bengaluru, will be joined by properties in Coorg, Kerala and Kashmir.

Emaar Hospitality Group is scouting for partners to make its first foray into India with The Address, a five-star brand currently operating in Dubai.

Bangkok-based Lebua Hotels & Resorts is in talks with developers and owners as it announces plans to debut in India in the next year.

Growth for Vivanta

Lebua Hotels aims to enter India by next year

Emaar has a newAddress

NEWS IN BRIEF

Lemon Tree Hotels has launched its thirteenth upscale business hotel in Gurgaon and plans to open seven more in India by next year. The group, which owns and operates 13 hotels and more than 1,200 guestrooms, expects to more than double its inventory by the end of 2012. Projects are under way in Hyderabad, New Delhi and Pune.

Lemon Tree Hotels plans 7 more properties

Indian Hotels Company Ltd., parent of Taj Hotels, Resorts and Palaces, anticipates adding some 12,000 guestrooms to its India portfolio across 43 projects by 2015. Indian Hotels’ share of the total development pipeline is approximately 40%, according to consultancy HVS. Besides the luxury Taj brand, Indian Hotels operates under the new Vivanta flag, the upscale Gateway brand and the Ginger economy brand.

Indian Hotels Co. anticipates adding 12,000 guestrooms by 2015

Completed projects in India:Park Hotel, BangalorePark Hotel, New DelhiVerandah Restaurant, Park Hotel HyderabadSicca Bar, Park Hotel Hyderabad Current projects in India:Park Hotel, Kolkata(ongoing refurbishment) Private Residence, New Delhi What do you like about working in India?The people, the positivity, the energy, and the ambition. What tips can you offer others for success in the region?• Respond to the local environment and cultures• Make the most of local skills and crafts• Build a good relationship between the team of design consultants, local implementation team and contractors Which project have you enjoyed working on the most?For the Zen Restaurant in The Park Kolkata we developed a strong concept design and with few changes from our original proposal the res-taurant has a wonderfully successful personality and ambience. And the food’s not bad either!

Name: Simon KincaidJob Title: AssociateCompany: Conran & Partners

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The Gateway Hotel and Resorts has signed The Gateway Hotel Theog, Shimla in one of India’s most popular tourist destinations. The 70-room hotel is being developed in association with Messrs Mahamaya Infrastructure Private Limited.

A new select-service brand called Check-Inn Hotels has launched in India with the opening of the first property, a 43-key hotel in New Delhi. Check-Inn’s business model includes the outsourcing of all back-of-house operations, including food and beverage production, housekeeping, and security.

Best Western International expects to have 100 hotels in India by 2017, mainly in the budget segment. There are currently 18 Best Western-affiliated hotels open in the country, comprising about 1,000 guestrooms. Eleven additional properties are in the pipeline.

Hilton Worldwide and Eros Group have signed a management agreement for a Hilton Hotels & Resorts and a DoubleTree by Hilton in New Delhi, India. Says Christopher J. Nassetta, President and CEO, Hilton Worldwide: “We are focusing a significant amount of our development efforts in the Asia Pacific region – with 112 hotels and 32,916 rooms

in the pipeline. We foresee phenomenal opportunities in India. We are expanding rapidly and will more than triple our presence in the country in the next two years – from four trading hotels to a total of 14, including these two properties signed with Eros Resorts & Hotels.”

Carlson has announced plans to open 19 hotels in India by the end of 2011 across its four brands: Radisson, Country Inns & Suites By Carlson, Park Inn and Park Plaza. Carlson’s India expansion is part of the company’s ‘Ambition 2015’ strategy to grow its global portfolio by at least 50% to more than 1,500 hotels by 2015.

MGM Resorts International will debut in India with a 480-key hotel in New Delhi, set to open in early 2014. The opening of MGM Grand and Skylofts New Delhi will be part of a multiple-hotel development that the group will roll out in partnership with Silver Resort

Hotel India Private Limited – a company promoted by Blue Coast Hotels Limited. The property will be managed by the company’s nongaming MGM Hospitality division.

The Gateway signs new hotel in Shimla

Check-Inn unveils new business hotel concept

Best Western targets 100 hotels in India by 2017

Hilton Worldwide to triple operating assets by 2012

MGM breaks ground in India

‘Ambition 2015’

NEWS IN BRIEF

RadissonProperties in operation: 15 Contracted pipeline: 25

Country Inns & Suites By CarlsonProperties in operation: 10 Contracted pipeline: 13

Park PlazaProperties in operation: 6 Contracted pipeline: 13

Park InnProperties in operation: 3Contracted pipeline: 3

Radisson: 40

Country Inns & Suites by Carlson: 23

Park Plaza: 19

Park Inn: 6

Current projects: Taj Mahal Palace – guestrooms, spa/gym, and three new restaurants How do you see the hotel industry in India developing? Very fast, with standards raising the bar all the time. The Indian culture values good design, which can be a reinterpretation of colonial British, or more often, a new contemporary vision of India. Many Indian people are returning to their own country after years of living abroad and with that new alliances are possible between European and American firms who want to share their designs with India. What is the biggest challenge to working in India? India is still working with a lack of infrastructure, and is very bureaucratic, so getting decisions made is difficult. Add to that the notion that Indians do not like to say ‘no’ and you have a real challenge on your hands. You also really have to follow every step of the process, and it helps to physically be there as often as possible during the construction. Otherwise, all sorts of surprises greet you when you arrive at the end of the project. What tips can you offer others for success? Talk to the client face-to-face as much as possible, it’s the best way to get inside the Indian heart and mind. And have patience!

Name: Garrett RobbinsJob Title: Senior DesignerCompany: Rockwell Group Europe

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India’s hotel industry paints a fascinating picture. From its first real growth in the Nineties through a spate of terrorist attacks and the effects of a global

financial meltdown, it continues to be a challenge to those who come to seek their fortune. Yet India has emerged as one of the world’s leading markets for hotel development and potential growth.

Speaking to Sleeper India from his Delhi office, Manav Thadani, Managing Director, HVS India, recounts: “The hotel industry in India went through a fairly good phase from 2005 all the way through to 2008 when the global recession came along.” And whilst the country’s hotels were affected, he explains, it was to a far lesser degree than in other

markets thanks to a resilient economy. “To show that we’re back to 2007 levels despite adding 25-30% of our room inventory is quite a strong statement for the industry,” he adds.

This sentiment is backed up by a new report presented at the recent Hotel Investment Conference South-Asia (HICSA) held in Mumbai. The Hotel Valuation Index

and Compensation Survey(1) produced by HVS India states: “The year 2010/11 proved to be a comeback year for the Indian hospitality industry after two difficult years that saw nationwide revPAR drop by 14% and 11.6% in 2008/09 and 2009/10 respectively. Nationwide revPAR is estimated to have increased by 10.7% in 2010/11 through increases in both occupancy and average rate, as hotels across the country

saw strong increases in demand and were optimistic about the future outlook to increase rates despite new supply entering their markets.” (See Table 1).

The report also estimates year-end (31 March 2011) occupancy at 68%, just 0.8% short of 2007/08 highs: quite an achievement given the number of new hotels that have opened in India since then.

Performance results from market data provider STR Global further support this: “Increases in occupancy have generally outweighed the falls in average daily rate (ADR), resulting in improved revenue per available room.’ The report continues: ‘RevPAR for India as a whole was up 6.2% during 2010 compared with 2009, led by individual revPAR gains in Goa (11.4%), Delhi (8.1%) and Chennai (7.4%). Only Hyderabad

The latest research from leading industry analysts points to a promising future for India’s hotel industry, but in this land of opportunity it is the domestic market that offers the real potential, finds Catherine Martin.

A Golden Opportunity?MARKET OVERVIEW

2010/11 proved to be a comeback year for the Indian hospitality industry after two difficult years.Hotel Valuation Index and Compensation Survey, HVS, HICSA Edition 2011

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saw a revPAR decline, due mainly to the addition of significant supply which limited occupancy gains.” (See Table 2).

“The 2010 gains are tempered by the fact that 2009 comparison figures were weak and rates in particular have fallen from a very high base point,” say STR Global, adding that a more realistic analysis can be seen when comparing with 2008 peak performance figures. This clearly shows the ground that still needs to be made up. For example, ADR in Bangalore during 2010 lags that of 2008 by 37.34% and for Mumbai the difference is 30.33%.

Despite this, the opportunities in India are second to none. In an interview with Sleeper India, Vijay Thacker, Director, Horwath HTL-India, confirmed that the market is “grossly undersupplied”. “By our count in January 2011, we had around 160,000 hotel rooms in the country... that is pathetically small in the context of the global competitive scenario.” With a pipeline of 80,000 rooms set to be delivered over the next three to five years, will this be enough? “If you look at the aviation traffic that’s going to come, the increase in road traffic, and therefore the increase in demand, this country should have about 375,000 new rooms in the next ten years,” says Thacker, indicating a shortfall of some 135,000 rooms, “I don’t see anybody thinking and planning on that kind of scale.”

Manav Thadani believes that this shortage could continue for the next ten to twelve years given the projected demand. Major international hotel groups, including IHG, Marriott, Hilton, Hyatt, and Starwood, have significantly ramped up development pipelines, partnering with local developers and aspiring to have an impact on the burgeoning domestic market. However, new research by HVS (1) shows that in the majority of cities, demand continues to

outweigh supply in the mid-market and luxury / first class. The report states: ‘Going forward, we expect continued demand growth, with the Indian economy projected to grow by about 8% in FY2012, almost double the 4.2% growth forecast for the economy as a whole. The major cities are in fact expected to attain double-digit growth in their economies over the next few years, which bodes well for hotels in these markets.’

So why is India’s hotel market seeing such growth now? According to Thacker, saturation in other parts of the world such as China has forced hotel groups to look for new opportunities. India has emerged as a frontrunner and as such has seen a surge in development. The main source of this growth, in contrast to most markets, is the domestic traveller. “The domestic market has picked up very strongly,” comments Thacker, believing that this was the “saving grace” of India’s hotels in the face of the downturn. “I think the domestic segment is going to be a big, big player in the years to come,” he says, adding that the latest count of foreign tourist arrivals (5.58 million) was poor given the size of the country.

Whilst Thacker sees the value of the

Table 1 - Nationwide Occupancy and Average Rate Performance

Year Ending March 31st Occupancy % Change Average Rate ( ) % Change RevPAR ( ) % Change

Source: HVS Research

2006/07 71.4 -0.1 7,071 29.9 5,049 29.7

2007/08 68.8 -3.6 7,989 13.0 5,496 8.9

2008/09 60.3 -12.4 7,837 -1.9 4,726 -14.0

2009/10 65.0 7.8 6,426 -18.0 4,177 -11.6

2010/11 68.0 4.6 6,800 5.8 4.624 10.7

CAGR 0.1% 5.5% 5.7%

Table 2 - Year-on-year percent changes 2010 v 2009 (Indian Rupees)

Occupancy ADR RevPAR

Source: STR Global

Bangalore 15.0 -10.6 2.8

Chennai 11.2 -3.4 7.4

Delhi NCR 8.2 -0.1 8.1

Goa 8.6 2.6 11.4

Hyderabad 1.9 -5.0 -3.3

Mumbai 4.8 -3.9 0.8

By our count in January 2011, we had around 160,000 hotel rooms in the country... that is pathetically small in the context of the global competitive scenario. Vijay Thacker, Horwath HTL-India

TABLE 1: NATIONWIDE OCCUPANCY AND AVERAGE RATE PERFORMANCE

TABLE 2: YEAR-ON-YEAR PERCENT CHANGES 2010 v 2009 (INDIAN RUPEES)

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Table 3 - Proposed New Supply (2010/2011 - 2014/2015)

Existing Supply Proposed Increase over 5 Years

Source: HVS Trends & Opportunities Report, 2010 Edition

Agra 1,439 510 35%

Ahmedabad 1,521 2,339 154%

Bengaluru 5,597 9,819 175%

Chandigarh 653 1,482 227%

Chennai 3,806 5,995 158%

Delhi NCR 11,018 20,021 182%

Goa 3,288 1,736 53%

Hyderabad 3,782 5,302 140%

Jaipur 2,472 2,664 108%

Kolkata 1,520 3,481 229%

Mumbai 9,877 7,477 76%

Pune 2,672 5,196 194%

Other Cities 14,759 23,427 159%

TOTAL 62,404 89,449 143%

international tourist, over at HVS, Thadani is not so sure. “Do we really need them?” he questions, pointing out that a vast number of the foreign arrivals are in fact ex-citizens returning home who don’t fit the conventional description of what a tourist is. “We have 250m domestic travellers versus 5m international visitors,” he compares. “If I lost that 5m, I still have my 250m to worry

about. And if that 250m is growing at 15-20% and the 5m refuses to grow, I will still survive to see the next decade.”

The future of the hotel industry in India is by no means without its challenges. Says Thacker: “I don’t see where the money is going to come from. With interest rates going up again, new projects are going to be held back. You can’t do development finance at 14% and on top of high land costs and long gestation periods it’s not going to be easy.”

Further setbacks lie in developing the

country’s infrastructure, finding trained manpower to staff the massive influx of new rooms, as well as the world’s delicate economic recovery. Thadani also believes that, like anywhere, there is the potential threat of further terror attacks.

Despite this, there is strong optimism on the ground. In a survey(2) carried out by Horwath HTL, General Managers from

hotels across India were asked to assess their outlook for 2011 in terms of revenue. 84% of respondents expect growth in the year ahead with one fifth predicting it to be in excess of 12%. These figures are particularly optimistic given the new supply. General Managers were also asked how they viewed the impact of new supply. Over 70% expect it to impact their business in 2011 with the threat being greater from branded hotels than from unbranded. With only 14% believing independent hotels to have a major impact on their business, the clear

message is that brand affiliations are key. Both Manav Thadani and Vijay Thacker

believe that the story lies in the mid-market, accommodating the domestic traveller. Says Thacker: “Hot sectors in terms of positioning is the mid-market, the upper mid-market, and maybe even some of the budget economy hotels. I’m not saying there’s no space for luxury, but I think the focus and the opportunity is bigger in the mid-market segment. That has to do with two things,” he explains. “In the past there’s been too much concentration on five-star hotels, and if you look at the domestic traveller as playing an increasingly important role as a demand generator, then I think that mid market is going to become more important.”

Thacker also believes that budget hotels will break through, though not without their challenges: “It’s going to be a struggle because of land costs and differences between service expectations and the typical service you would plan to deliver in a budget hotel,” he says. “The market needs to be educated to that but over time, I’m sure it will come good.”

Summing up the sentiment of the hotel industry in India, Thacker concludes: “Yes, there are challenges, but from those challenges will emerge a lot of opportunities.”

(1) Hotel Valuation Index and Compensation Survey, HVS, HICSA Edition 2011 (2) General Manager Outlook Survey 2011, Horwath HTL, January 2011

TABLE 3: PROPOSED NEW SUPPLY (2010/2011 - 2014/2015)

Yes, there are challenges, but from those challenges will emerge a lot of opportunities.Vijay Thacker, Horwath HTL-India

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Page 24: Sleeper India

Priya Paul is feeling a little under the weather. “I’m losing my voice,” she explains apologetically before it transpires that the group’s

centenary celebrations took place a few days earlier – clearly a great success.

Apeejay Surrendra Group, the owner of The Park Hotels, was commemorating one hundred years in business with a lavish bash at its newly opened ‘baby’, The Park Hyderabad. From its beginnings in manufacturing steel goods for the domestic agricultural market, the group has diversified with operations in tea, hospitality, shipping, real estate and retail. The family values that have nurtured the group continue to guide it through expansion and new business ventures, so for the woman at the helm of the hospitality division, there’s no time to waste.

Despite the sore throat, Paul’s ambition and drive is clear as she recalls her journey from marketing manager to Chair. “My family owns the company so I’ve been with

The Park Hotels since 1988,” she explains. “I started as marketing manager at The Park Hotel Delhi and now I head the company, driving it since the early Nineties.”

Having completed her studies in Economics at the Wellesley College, Massachusetts, Priya returned to India working under her father, Surrendra Paul. After his untimely death in 1990, she succeeded him as the Chairperson of the hospitality division of the Apeejay Surrendra Group, aged just 24.

She didn’t assume her position just because of circumstance, however. Her hard work and determination have pioneered the concept of boutique hotels in India, seeing The Park Hotels portfolio triple in size. “When I joined we had three hotels and now we are up to nine with another five under development,” she reveals adding that they are currently working on a record five projects right now, two of which are under construction. Located in Pune, Jaipur, Kolcata, Kochi, and Goa, the new

The latest addition to The Park Hotels portfolio is a modern palace inspired by Hyderabad’s glittering past, explains Priya Paul, Chairperson of the hospitality division of the Apeejay Surrendra Group.

Park Ranger

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Words: Catherine Martin Photography: Courtesy of The Park Hotels

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properties will go some way to the target of doubling the group’s room count in the next five years.

Its latest flagship, The Park Hyderabad, is the city’s first member of Design Hotels™. It seeks to build on the group’s signature style, innovative design and passionate

service. Since she began her tenure, Paul’s attentions have been on “refocusing the entire company and to really use design as a differentiator.” As such she has employed international design firms to create her vision, including Conran & Partners. “They’ve done a lot of work with us starting with our Bengaluru hotel in 1999-2000, then Delhi and Kolkata,” she says. “They have been

responsible for the entire renovation and refurbishment, working with us on our brief to create contemporary Indian hotels.”

In addition, Paul has collaborated with London-based practices Blacksheep and Project Orange, with the latter currently creating interiors for a new property in Pune.

For The Park Hyderabad, Paul used a total of 15 designers no less, some of whom had no previous history of designing hotels. Although open to new ideas, Paul admits she was very clear on the ambiance she wanted to create and remained heavily involved in the entire design process.

“I wanted to build something that was iconic in terms of architecture,” says Paul of the newbuild, nine-storey property. Working with Skidmore Owings & Merrill (SOM), the brief was to take inspiration from the Jewels of the Nizams, the largest and richest collection of jewels in India. “We worked on a glass building enveloped in a skin of some 6,700 metal panels which take their design from a jewellery setting pattern,”

Since taking over as Chairperson, Priya Paul’s attentions have been on “refocusing the entire company and to really use design as a differentiator”

LEFT: The latest addition to the portfolio, The Park Hyderabad, takes inspiration from the Jewels of the Nizams ABOVE: The seven-star palace has been designed by Skidmore Owings & Merrill (SOM)

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she explains. The perforated metal screen based on the Indian ‘jali’ wraps around the building and serves as both an ornamental façade as well as a shading device. This is just one of the aspects that has contributed to The Park’s status as India’s first LEED GOLD certified green hotel.

Paul continues: “I wanted this to be a modern seven-star palace, so just as a palace had many rulers and different design influences through its life, I too wanted to use different designers.” She was also keen on infusing Indian culture in the hotel, ensuring the design is rooted into the locale, not just the country. “My job is to bring the art and craft to the hotel and make sure there is some sort of context,” she explains. For The Park Hyderabad however, Paul wanted to do something a little different. “I felt that in India, whether it be product design, furniture, or lighting, there were some really exciting new practitioners that I wanted to showcase,” she reveals.

The ambitious project has seen

embroiderer Jean-Francois Lesage design one of the suites, with Indian fashion designers Manish Arora and Rohit Bal, architect Rajiv Saini, and artists Subodh Gupta and Bharti Kher each designing further spaces. Throughout the property, customised pieces – including chandeliers, textile installations, furniture and tableware – celebrate Indian design trends. Himanshu Dogra for example has created in-room Nizam graphics, and Preksha Baid a series of chandeliers.

Leading fashion designer Tarun Tahilliani was also commissioned to create Aish, a restaurant serving Hyderabadi and Andhra cuisine. Based on a modern monochromatic theme inspired by the legendary style of the Nizams, the restaurant features antique artwork and traditional craftsmanship with a light colour palate of cream, beige and ivory. Diners enter through a handcrafted silver Art Deco style door, crafted by Jodhpuri craftsmen and walk over a floor etched in floral prints typical of Jaipur.

ABOVE: First opened in 1967, The Park Kolkata was the group’s flagship property. It has recently been refurbished by Conran & Partners to dramatic effect

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Guestrooms and public spaces, including The Veranda, The Sicca Bar, The Box souvenir shop, Kismet nightclub, the Aqua restaurant, and the 3D infinity pool have been created by international design firms, Conran & Partners, Chhada Siembeda, and Blacksheep. In addition Sandeep Khosla has designed The Aura Spa. Each space follows Paul’s brief of referencing Hyderabad’s proud tradition as a centre of design and the production of precious stones and distinctive textiles. Guestrooms draw inspiration from the architectural language of the building, as well as local traditions of craftsmanship, all the while recognising the needs of the international traveller. The play of light and shadow inside the room is created by the patterning of the façade, whilst jewel coloured accents of ruby, coral, emerald, peridot and sapphire have been used on each of the five guestroom floors. The art in the room comes in the form of hand drawn patterns on the bed and specially commissioned leather puppetry artworks,

while carpets reference India’s reputation of henna. The use of embroidery and selection of fabrics consciously draws on the expertise of local artisans.

Also worthy of note is The Ruby Lounge, a one of its kind lounge where the infusion of local art form and contemporary design is at its best. Created by award-winning designer Niranjan Jonnalagadda, it takes inspiration from Mughal architecture. The ceiling is created using handmade KalamKari textile, native to Andhra Pradesh, in a contemporary style with diffused lighting. In addition, a series of handcrafted suspended dome metal lights in shades of gold, silver and purple, depict a colourful richness associated with the life of the Nizams.

Priya Paul is clearly very proud of her “new baby” but with plans to consolidate The Park Hotels’ position as a world-class boutique hotel business through the launch of new hotels across India, she must get back to work. After all, the next ‘baby’ will be due before the year is out.

ABOVE: Project Orange is currently working on The Park Hotel Pune. Renowned as ‘The Oxford of the East’ and home to many universities and colleges, their concept is to understand the hotel as a hub of knowledge

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The architecture and design of India’s palace hotels is deeply rooted in the history and culture of the locale, and as architectural writer Apurva

Bose Dutta discovers, new hotels are also taking their cues from age-old traditions.

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It was 1903 when Jamshetji Nusserwanji Tata opened the first Taj hotel in Mumbai. An architectural marvel that combines Moorish, Oriental and

Florentine styles, it has since gained iconic status as India’s most celebrated hotel. By no means the first hotel in India, The Taj Mahal Palace did set a new standard for luxury and design and continues to do so today.

Hotel design and architecture has undergone various transformations over the decades, never more so than in the past twenty years since the industry experienced its first real growth spurt. From the conversion of old palaces through to luxury newbuilds and resorts, the hotel sector is deeply rooted in the history, culture and religion of India.

The initial concept of designing hotels in India was formulated from adaptive reuse of traditional palaces, forts and castles, converting them into lodgings under the label of ‘heritage hotels’. Keeping in mind the diverse new uses the building had to be put to, many old structures were renovated into hotels retaining the basic flavour of the past architecture with new elements construed to take on a unique expression. Today, India has

a number of heritage hotels that not only preserve a bygone era through architectural features such as pillars, archways, domes, period furniture, frescoes, old wood panelling, etchings, stained glass windows, ornate glass work and local stone, but also give a sense of the royal social life through memorabilia.

Rajasthan leads the country in the number of heritage hotels, reflective of the city’s particularly wealthy royalty that once occupied them. Jai Mahal Palace, once the residence of the Prime Minister of Jaipur, opened its doors to guests in 1955 making it one of India’s first palace hotels, while Udaipur’s Shiv Niwas Palace unearths the past through its gold paint, ornate benches, ivory and wood doors, and scalloped arches. Architectural practice Abhikram, led by Nimish Patel and Parul Zaveri, says of the project: “Each area of the palace was designed individually after understanding from the owner the use and ambiance of the palace spaces in context of history. This was to ensure its continuity of authenticity, with minimum but appropriate interventions, while facilitating the complex and contemporary needs of the guest.” Other examples include Hotel Narayan Niwas Palace at Jaisalmer, Umaid Bhawan Palace at Jodhpur, Bikaner Heritage Hotel, Taj Lake Palace & Devigarh Hotel in Udaipur, and Fort of Mandawa in Fatehpur. The Chittoor Palace in Chennai is another example of a restored 400-year-old mansion where replicas of the Maharaja’s furniture, traditional lime plaster, handcrafted tiles, and polished

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craft wooden ceilings reiterate the South Indian architecture.

Taking cues from traditional architecture, new hotels in India have tried to recreate bygone eras through the use of materials, motifs and architectural features symbolic of that time. The recent Imperial Palace in Mumbai, a 418-key hotel has been built on the concept of ‘erstwhile palaces that represent our cultural heritage, simultaneously, not overpowering the visitors’. Oberoi Udaivilas in Agra meanwhile, lends itself to the Mewar tradition through its courtyards, water bodies, cusped arches, brackets, and the city’s famous deep green

marble. Architects Nimish Patel and Parul Zaveri feel it is a testimony to the continuing relevance of the traditional materials, technologies, and the still available craftsmanship in the contemporary context.

Colonial architecture became assimilated into India’s diverse traditions in the late 19th century through the influence of British architects. It draws elements from native Indo-Islamic and Indian architecture, fusing them with the Gothic revival and Neo-Classical styles favoured in Victorian Britain. The classical design of The Oberoi Amarvilas, Agra, spread over elaborate gardens, terraced lawns, fountains and pavilions is

typical of the legacy of Moorish and Mughal architecture, also reminiscent in the intricate filigree, marble inlay work, jaali screens, gold thread, wood carvings, and handcrafted furniture in the interiors.

In recent times, India has seen an influx of global hotel groups keen to establish a presence in the region. This has led to new properties being built in line with international standards. Innovative design that combines modern technology and contemporary fittings marries with traditional influences to create a new era of hotel.

Like much of the rest of the world, Indian

hotels have developed into recreation zones providing much more than a room in which to sleep. Resorts, prevalent in coastal areas, take into consideration sports and entertainment facilities as well as a range of international and Indian dining options. Examples include the Golden Palm Hotel & Spa, Bengaluru, and Poovar Island Resort with land and eco-friendly floating cottages. With newer projects like the Aamby Valley City and Lavasa, resorts incorporate shopping malls and golf facilities.

India has also recently stepped into the zone of ‘green hotels’ with Bengaluru’s seven-star ITC Royal Gardenia Hotel, the

world’s largest LEED Platinum rated hotel. The joint project by Delhi-based architects firm Rajinder Kumar & Associates, interior designer Francesca Basu, and Delhi-based energy and sustainability consultants Environmental Design Solutions (EDS), features a contemporary design that concurrently manages to achieve eco-friendly status.

A growing awareness of ecology, the need to stand out from the crowd, and the appointment of US and European architects is likely to have some influence on the future of hotel design in India. However the inspiration provided by the country’s history and strong culture looks set to continue. The ancient text of Vastu Shastra – a belief that the architecture and layout of a room follows a set of principles to ensure overall human wellbeing – has recently experienced a revival and continues to be used in the design of modern Indian hotels.

Apurva Bose Dutta is a qualified architect having completed a Bachelors of Architecture at Chandigarh College of Architecture in 2005. She also has a Diploma in Freelance Journalism and is now based in Bengaluru.www.apurvabose.com

The need to stand out from the crowd, and the appointment of US and European architects is likely to

have some influence on the future of hotel design

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Since opening its doors in 1903, The Taj Mahal Palace has stood proud as a symbol of Indian hospitality. It was one of the original grand hotels

of the world and welcomed travellers to the city’s shores long before the landmark Gateway of India was even conceived. Over the decades it has attracted Maharajas to movie stars, royalty to rulers, all the while growing to be an integral part of Mumbai.

But never has it been more symbolic to the people of India, and the world, than now. On 26 November 2008, Mumbai was rocked by a series of terror attacks that claimed the lives of 166 people and injured many more. The Taj Mahal Palace was one of the targets and as a result suffered substantial damage both inside and out. Ratan Tata, Chairman of Indian Hotels Company Ltd. under which Taj Hotels Resorts and Palaces sits, responded to the events saying “...we can be hurt, but we cannot be knocked

down.” And true to his word, just 25 days later, the Tower wing reopened. The historic Palace wing however, would take more than a few touch ups to be operational again and so Taj took the opportunity to turn the attacks into a positive, completely restoring and refurbishing guestrooms, suites and public areas. The project took 18 months and five acclaimed design firms to complete, reopening on 15 August 2010, India’s Independence Day.

Speaking before the opening, Raymond Bickson, Managing Director, Indian Hotels Company Ltd., said: “Today, we have fulfilled our promise of rebuilding the Taj to its former glory. The Taj Mahal has always reinvented itself and its storied past which makes it the icon that it is. The Palace wing has been lovingly and painstakingly restored, and we will now offer our guests an even more customised experience. It is a befitting tribute to the spirit and

In repairing the damage inflicted by the 2008 terror attacks, India’s iconic grande dame has taken the opportunity to commission five leading design practices to refurbish the hotel’s historic Palace wing, restoring it’s classical appeal and instilling a touch of the contemporary.

Words: Catherine Martin Photography: Courtesy of The Taj Mahal Palace

The Taj Mahal PalaceMumbai

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resilience that is The Taj Mahal Palace, Mumbai, and the beginning of a new chapter in the history of the hotel.”

These words were echoed by President Obama speaking during a stay at the hotel: “Mumbai is a symbol of the incredible energy and optimism that defines India in the 21st century... The Taj has been the symbol of the strength and the resilience of the Indian people.”

Today, few reminders of 26/11 remain. The Moorish, Oriental, and Florentine-style façade – designed by architects Sitaram Khanderao Vaidya, Ashok Kumar and D. N.

Mirza – bears no scars having been rebuilt and strengthened. Inside, the only indicator is a touching memorial garden where friends and families can pay tribute to the 32 hotel staff and guests who lost their lives. Significantly, its centrepiece is the tree of life, an artifact that was originally situated on the fifth floor and left unscathed in the attacks despite surrounding damage.

Rather than dwelling on the past, Taj has focused its energies on recapturing the level of style and service for which it has become known. Keeping one foot firmly planted in its history, the hotel has been

given a new lease of life to reflect the spirit of Mumbai. Design firms LTW, Lissoni, JPA, Bamo and Rockwell Group were tasked with refurbishing 289 guestrooms, including 46 grand suites, 82 Taj club rooms, and 161 grand luxury rooms, as well as a range of food and beverage outlets. The design teams were briefed to retain the classical appeal of the hotel, infusing it with modern touches. Architectural elements such as vaulted alabaster ceilings, onyx columns, and graceful archways were left untouched, while the state-of-the-art amenities and a contemporary design scheme propelled the hotel into the 21st century. Hand-woven silk carpets, crystal chandeliers, and an eclectic collection of furniture characterise the rooms, while corridors stand testimony to the hotel’s heritage, with genuine artifacts and antiques gracing the aisles. In addition, The Taj has acquired a magnificent collection

It is a befitting tribute to the spirit and resilience that is The Taj Mahal Palace, Mumbai, and the beginning of a new chapter in the history of the hotel.Raymond Bickson, Managing Director, Indian Hotels Company Ltd.

LEFT: Architectural elements have been left untouched ABOVE: The Golden Dragon restaurant has been refurbished by LTW with a contemporary new look

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of artworks over the years, which are again displayed in public areas for all to appreciate.

Each of the design firms has contributed to different aspects of the design, but all were involved in the creation of the Grand Luxury Suites. This collection of aptly named accommodations has been individually designed so that each tells a story. The Aquarius Suite, for example, is inspired by the ocean and offers a colour scheme of soft blues and deep turquoise. The Maratha Suite is named after the great Maratha Empire and features fort-like doors, gold tinted mirrors, and Thanjavur paintings on the walls. The Elephanta Suite is inspired by Indian culture and sees a blend of local colours, motifs and materials. Sleeper resided in the Dutch Suite, which offers a fusion of European craft with flourishes of Indian culture.

The signature Tata Suite, a tribute to Taj founder Jamsetji N. Tata, is the epitome of luxury. A sprawling 5,000ft2 space, it draws inspiration from the group’s heritage and showcases fine craftsmanship in the furniture and finishes, from hand-knotted

carpets and colonial cabinetry, to carved marble and inlay detail.

Of the fine array of dining experiences, Harbour Bar and Wasabi by Morimoto have been fully renovated by Rockwell Group, and Golden Dragon by LTW.

Harbour Bar, the first licensed premises in Mumbai, was completely destroyed in the 2008 attacks however the ensuing refurbishment has allowed for structural changes with a raised seating area offering advantageous views of the harbour.

Golden Dragon, India’s first authentic Sichuan restaurant, has reopened with a contemporary new look decorated with modern day dragon-patterned panels, rice paper and etched glass work.

The same amount of energy has been invested in the training of staff with ‘Palace Butlers’ accomplished in providing an enhanced and customised experience. And whilst the design elements are befitting of any palace, it is the service philosophy that truly recreates the days of royal living.

The Taj Mahal PalaceApollo BunderMumbai 400 001IndiaTel: +91 22 6665 3366www.tajhotels.com

„ 560 rooms including 44 suites in Tower and Palace wing‰ Wasabi by Morimoto, Golden Dragon, La Patisserie, Masala Kraft, Shamiana, Souk, and The Zodiac Grill Harbour Bar, Aquarius, Sea Lounge, and Starboard Bar [ The Jiva Spa+ 11 banqueting rooms

Parent: Tata Group, Indian Hotels Company LtdOwner / Operator: Taj Hotels Resorts & Palaces

EXPRESS CHECKOUT

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Twenty years ago, The Oberoi Group would never have dreamt of developing such an architecturally progressive hotel. Much of its portfolio references India’s traditional palaces and rich heritage. But

in an effort to stay ahead of the game in this increasingly competitive market, the group has unveiled The Oberoi Gurgaon, an über modern city hotel set over nine acres of landscaped gardens.

Designed by Singapore-based RSP Architects Planners & Engineers Pte Ltd the glass and steel structure is based around the concept of a ‘jewel box’. Being located next to the award-winning Trident hotel (also operated by The Oberoi Group) the challenge was to make it architecturally different yet equally spectacular.

The glass enclosure, which houses the hotel’s public areas, centres around a 36,000ft2 body of water flanked by large fire torches which light up in the evening setting a dramatic tone.

The arrival experience too is quite special, with an elevated driveway passing through a dense forest and opening out to the hotel’s fifth floor lobby. This single point of access is crucial in achieving the highest levels of security for hotel guests.

Singapore-based RSP has designed a sparkling ‘jewel box’ as the centerpiece to The Oberoi Group’s new city oasis.

Words: Catherine Martin Photography: Courtesy of DiLeonardo

The OberoiGurgaon

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The Oberoi’s interiors are created by Lim, Teo & Wilkes (LTW) and integrate the elements of space, water and natural light. Nowhere is this more evident than the double-height, glass encased lobby overlooking the reflection pool below. The hotel’s inverted design means that guests descend to further public areas, which include a range of dining concepts, as well as a luxury retail arcade featuring 13 premium boutiques, a hair salon, The Oberoi Patisserie and Delicatessen, and a contemporary Indian art gallery.

Threesixtyone is the hotel’s all-day-dining concept, a 10,000ft2 restaurant with five live show kitchens serving a range of world cuisine. The play of light on the veined Botticino marble floor offsets the carmine tones of the upholstery and creates a welcoming space. The restaurant also offers al fresco dining on custom-made teakwood decks floating into the water.

The fine-dining Indian seafood restaurant, Amaranta, offers coastal fare from India’s vast southern peninsula in an aquamarine setting. Through partnership with local airlines, the restaurant has introduced a ‘bay-to-plate-in-8-hours’ experience meaning the catch of the day truly is the catch of the day.

In addition, the hotel features The Piano Bar, and the country’s first indoor cigar lounge, made possible with the installation of a separate duct and exhaust system.

The 202 guestrooms and suites are thought to be amongst the most spacious accommodation in any city hotel around the world, with the base category measuring a generous 620ft2. Suites range from 1,240 to 5,300ft2 and feature a living room, work station, and additional powder room.

The Presidential Suite comprises a large living room, dining room with fully equipped service pantry, a study area, a spacious master bedroom, a second bedroom, and a

private 22m cantilevered pool with deck. All guestrooms command views of the

reflection pool, the 55m outdoor heated swimming pool or the landscaped gardens through large picture windows. Inside, contemporary décor combines with traditional craftsmanship in the form of mother of pearl inlay casegoods and

Designed by RSP, The Oberoi Gurgaon features a glass and steel structure based around the concept of a jewel box

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TOP: The all-day-dining restaurant Threesixtyone is a 10,000ft2 space with al fresco seating on custom-made teakwood decks ABOVE: Soft notes of a Grand Piano complete the experience in The Piano Bar TOP RIGHT: Bathrooms feature double vanity counters, a standalone bathtub, and separate rainshower RIGHT: Guestrooms are thought be amongst the most spacious in India

The Oberoi443 Udyog Vihar, Phase VGurgaon, New DelhiHaryana 122 016IndiaTel: +91 124 245 1234www.oberoihotels.com

„ 187 rooms & 15 suites‰ Threesixtyone, Amaranta, The Oberoi Patisserie and Delicatessen The Piano Bar, Cigar Lounge, The Belvedere[ 24-hour spa and gym, 55m outdoor pool+ Events space for up to 1,000 persons

Owner / Developer: Orbit Resorts PteOperator: Oberoi Hotels & ResortsArchitect: RSP Architects Planners & Engineers Interior Designer: Lim, Teo & Wilkes (LTW)Landscape Designer: P Landscape Co. Ltd

EXPRESS CHECKOUT

fine silk embroidered with silver thread (Zardozi) on the walls. A colour palette of beige, white, and brown with accents of cardinal red is offset by the vivid hues of specially commissioned Indian artwork. Rooms are equipped with 46-inch LED televisions, DVD players, and iPod docking stations.

Bathrooms are clad in Botticino marble and feature double vanity counters, a standalone bathtub and separate rain shower. Uniquely, all en suites come with natural light as standard.

Abiding by the height, light and space design philosophy, every part of the

hotel offers natural light and water views, including the 18,000ft2 conference and banqueting facility, the 24-hour spa, and the Technogym-equipped gymnasium.

The Oberoi Gurgaon marks a new design direction for The Oberoi Group, but one aspect that hasn’t changed is its approach to service. Here, every room has a round-the-clock personal butler trained under Robert Watson of The Guild of Professional English Butlers, as well as a Clefs d’Or accredited concierge service, and access to the hotels luxury fleet of Rolls Royce Royce and BMW 7 Series, no less.

Interiors integrate the elements of height, light and space. Nowhere is this more evident than the double-height, glass encased lobby overlooking the reflection pool below.

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The opening of Hilton Chennai, a 204-room newbuild in the neighbourhood of Guindy, marks another milestone in Hilton Worldwide’s plans to expand its footprint in key cities throughout India.

With three hotels operating in the region – Hilton New Delhi Janakpuri, Hilton Garden Inn New Delhi Saket and Hilton Mumbai International Airport – Hilton has a further six openings scheduled for 2011, more than doubling its portfolio before the year end.

Hilton Chennai is a newbuild ten storey hotel offering a range of accommodations, five food and beverage outlets, a 24-hour fitness centre, and 7,000ft2 of events space. Its proximity to two major technology parks is expected to attract the business guest, while nearby tourist sites will be a pull for the leisure traveller.

Hilton Chennai is a new venture for owners Empee Group, which has diversified interests from alcoholic beverages to property development. Says Chairman M.P. Purushothaman: “This collaboration with Hilton Worldwide will add depth and breadth to our hospitality portfolio. We are confident that through Hilton Worldwide’s award-winning international hotel management expertise and Empee Group’s strong local

Design firm DiLeonardo has delivered contemporary interiors inspired by Southern India’s cultural heritage for Hilton Worldwide’s flagship brand.

Words: Catherine Martin Photography: Courtesy of DiLeonardo

HiltonChennai

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knowledge and network, Hilton Chennai will be the preferred hotel for local and international business and leisure travellers in India.”

The hotel’s interiors are the work of international design firm DiLeonardo, who were also responsible for The Oterra Hotel and Sheraton, both in Bengalaru. For Hilton Chennai, the brief was to combine contemporary design elements with Southern India’s cultural heritage to create a sense of place. The state of Tamil Nadu, of which Chennai is the capital, provided much of the inspiration. “Convergence is the key word for our design,” reveals Associate and Studio Director Jose Olivares. “We combined elements of the traditional Tamil culture with European contemporary design to create unique spaces. From stone and carpet patterns to chandeliers, each area designed by DiLeonardo provides the spirit of cultural convergence that inspired us.”

Vibrant colours, rich textiles, and beautifully carved wooden panels characterise the public areas reflecting old Madras, as Chennai was once known. “For colour schemes we play with a palette that goes from soft beige tones to bright Indian orange and red accents,” Olivares explains. “Furniture is inspired by European modern classics with clean lines and timeless simplicity, whilst materials range from luxurious marble to fine Indian silk and exotic crafted woods.” He continues: “Henna patterns have been reinterpreted in the

Convergence is the key word for our design... We combined elements of the traditional Tamil culture with European contemporary design to create unique spaces Jose Olivares, Associate and Studio Director, DiLeonardo

ABOVE: The 204 guestrooms and suites offer a tranquil, modern and sophisticated experience and feature the signature Hilton Serenity Bed, a spacious work desk, flatscreen LCD television, a walk-in rain shower, and luxurious bathtub

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carpet and textured fabrics, whilst the layering and detailing of Tamil Nadu temples has been transformed into rich architectural features for columns and portals.”

Each of the five restaurants and bars are distinct spaces designed with subtle Indian elements in the furniture and finishes. Est is a casual contemporary café located at the lobby level with a glass enclosed live bakery. Intricately carved screens divide the space whilst a variety of armchairs and sofas reference European design.

Vasco’s is an all-day-dining restaurant serving fresh, innovative global cuisine from four live kitchens. It’s décor makes use of marble in countertops and columns, as well as carved wood and dark mirrored panels.

In addition, Vintage Bank is a chic wine and cheese bar, Ayla serves Kadoloram, or coastal fare, and the soon to be opened Q Bar is a poolside bar and grill on the rooftop.

The 204 guestrooms and suites offer a tranquil, modern and sophisticated experience and feature the signature Hilton Serenity Bed, a spacious work desk, flatscreen LCD television, a walk-in rain shower, a luxurious bathtub, and high-speed Internet access.

Hilton Worldwide has recently signed a management agreement with Eros Resots & Hotels for two properties in Delhi, whilst in a second phase of development at this site, Empee Group has plans to add a further 150 rooms, expected to complete in 2014.

Hilton Chennai124/1 J.N. SalaiEkkaduthangalChennai, India 600032Tel: +91 44 222 55555 www.hilton.com

„ 204 guestrooms‰ Est, Vasco’s, Ayla, Â Vintage Bank, Q Bar[ 24-hour fitness centre, outdoor pool + Hilton Grand Ballroom

Developer / Owner: Empee GroupOperator: Hilton Hotels & ResortsInterior Designer: DiLeonardo

EXPRESS CHECKOUT

ABOVE: Hilton Chennai is a new venture for owners Empee Group TOP RIGHT: The all-day-dining restaurant Vasco’s makes use of marble in countertops and columns, as well as carved wood and dark mirrored panels RIGHT: Henna patterns have been reinterpreted in floorcoverings and upholstery throughout the hotel

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In today’s competitive market, design and construction companies are increasingly finding themselves contemplating work in farther-flung

corners of the earth, particularly in the hotel sector. While each venture offers the prospect of growth and exposure to a new market, it is often difficult to determine whether they are in fact sound business opportunities.

With its vitality, sustained growth, and a consummate vibrancy, India certainly represents this sentiment. While global corporations have long spotted its potential, opening offices and establishing relationships, smaller, younger, and more opportunistic firms have only begun courting business prospects in India’s major

cities over the last decade. Whatever a company’s expertise, approaching a project in India is more complex, more challenging, yet often more rewarding, than in any other market in the world.

The opportunities in India are undeniable. Statistics reveal the incredible growth rate of the country’s GDP, the fact that it is second only to China in foreign direct investment, and, more importantly for the hospitality industry, that tourism is a steadily growing market with 650 million domestic travellers and 5 million international travellers. When compared to China’s 50+ million international visitors, one can immediately see the growth potential. What’s more, in 2009 and 2010, 14,000 branded hotel rooms were added to the Indian market with at

least as many slated in the coming year(1). Despite these figures, it is expected that new supply will be quickly absorbed.

An important takeaway of this steady stream of development is that developers will increasingly seek to differentiate their products – looking for the designers, consultants and management companies that can help them do so.

When it comes to the relative ease of doing business in India, this picture begins to become grounded in harsh realities. According to IFC’s Doing Business Report(2), India ranks 134th out of 183 countries with respect to the overall ease of doing business. It also ranks 177th on dealing with construction permits and 182nd on enforcing contracts.

High barriers to entry, a seemingly endless list of licences, and an often-lengthy decision-making process: Eileen Keribar offers an insight into

the practicalities and pitfalls of developing hotel projects in India.

Helping HandoversA guide to doing business in India

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In addition, an HVS White Paper(3), reveals that a typical hotel project may require approaching up to forty different agencies to obtain 70-110 licenses depending which state it is located in and the complexity of the development. Compare this with Singapore, which requires only six licenses. The report adds that most hotel development companies are advised to dedicate six to twelve months for the approval process, however even this is indicative as an environmental clearance or an AAI certificate alone may take up to two years. This can result in long delays and add to the overall project cost, which is already amongst the highest in the world due to high interest and land costs. Furthermore, the lack of transparency of the entire process can give rise to unethical business practices.

Ultimately, these considerations are important to sound business planning, and help to frame an understanding of the length of a commitment and barriers to entry into the market. With the potential of a market as vast as India, companies that stay the course and focus their strategies with a healthy understanding of how Indian clients and collaborators work will have the best chance of success. Where many groups falter

is in striking this delicate balance between the large potential and the challenges of doing business in new ways and with new understandings. Key principals of working on a project in India include the importance of patience, a humble attitude, and trust. While certainly of value on any project, it is important to approach a relationship without any preconceived notions or distrust. It can be very easy to misinterpret the way in which issues are communicated and a predetermined distrust or know-it-all attitude will only accelerate a path towards miscommunication.

There are numerous cultural differences that may have bearing on interactions. To

begin, hierarchy is of extreme importance. Decision-making authority is held at a very high level, and one will often have to first communicate with persons without the authority to make a decision. These individuals will almost never question authority, so if a decision has come from above, it can sometimes be difficult to negotiate. With this in mind, it is critical to get a true sense of the decision-making hierarchy at the outset of any project or relationship and to establish channels of communication appropriately.

This approach can also greatly assist in keeping a project to schedule, as Indian projects have a reputation, deserved or otherwise, for over running their set time frames. That said, time in general is perceived differently. One may be kept waiting forty minutes for a meeting despite arriving on time and meetings may be interrupted several times with key decision makers leaving the room. It is important not to consider this rude, but instead to work around a distinct set of rules surrounding time and its value. When in India, always schedule plenty of time between meetings and contingency time to be able to adapt your schedule with ease.

While most professionals in India will be English speakers, one shouldn’t be quick to assume that they are actually speaking the same language. Complex ideas that are not appropriately broken down, contractions and western metaphors can easily lead to misunderstandings. Also important to note is that Indian communications tend to be much more indirect than Western communications. One will very rarely come across a client who says ‘no’. More likely one will receive responses such as ‘we’ll see’. There is also a tendency to focus on the positive, so it is vital to push for information regarding concerns or issues.

Letting clients know you personally

will assist in encouraging more open communications. Relationship building, as with anywhere, requires an investment of time. At the end of every meeting clients and partners will undoubtedly want to know when you are returning to India. This carries a lot of importance as the perception of working at a distance with little communication can be very unappealing.

As with any project overseas, a local alliance can be a huge benefit. From a communications standpoint, a local team member can be at the ready for meetings and can help to interpret their outcome. From a cost standpoint, pooling resources on a project will often help make fees more competitive – it would be unwise to assume that the majority of Indian developers are accustomed to paying standard international fees.

One of the keys to understanding this polycultural, democratic society is that it does not necessarily aspire to be like anywhere else. The power of family and religion, and traditions like astrology and Vastu Shastra remain of extreme importance in everything from business decisions to the design direction for a project. What results is markedly Indian.

A successful business will understand that and look to fuse its expertise in a meaningful yet productive way without hoping to change Indian traditions or ways but by respecting and leveraging India’s own convention-defying brand of growth, progress and opportunity.

Eileen Keribar is an independent consultant with over ten years of senior management experience at global architecture and design firms. Her focus is on international business development. www.eileenkeribar.com

(1) Hotels In India – Trends & Opportunities, HVS Delhi, 2010 Edition (2) Doing Business 2011: Making A Difference For Entrepreneurs: Comparing Business Regulation in 183 Economies, World Bank, 2010 (3) Critical Issues Facing Indian Hospitality: An HVS White Paper, 2009

A typical hotel project may require approaching up to forty different agencies to obtain 70-110 licenses depending which state it is located in and the complexity of the development.Critical Issues Facing Indian Hospitality: An HVS White Paper, 10 January 2009

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When you scratch the surface of India’s latest head count, the trends reveal that the country’s economic future will most surely be shaped by the young. More people now live in India than in the United States,

Indonesia, Brazil, Pakistan and Bangladesh combined, and if the population continues to grow at its current rate, India will overtake China as the world’s most populous nation by 2030.

While the 2010 census figures reveal population growth of 181 million over the past decade to 1.21 billion, growth is slowing down: 17.5% compared to 21.5% growth over the previous decade. Dig a little deeper into the figures, and they show the number of people in the working-age population aged 15 to 64 is expected to increase from 781 million in 2010 to 916 million in 2020 to a staggering 1.02 billion in 2030.

India will remain a very young country for the next twenty years. It will also be better educated. Literacy is increasing, especially among females, although the numbers of those taking a college education remains pitifully poor. Urbanisation is also gathering place as more people seek work in the cities.

Overlay these statistics onto on the hospitality sector and India will see profound change at every level: investment sources, hotel design and management, customer profile and expectations.

A new wave of young entrepreneurs is redrawing the investment

With the working-age population of India expected to rocket over the next decade, the investment landscape looks set to change, having a profound effect on the hotel market, finds Ian Jarrett.

From Bureaucracyto Bollywood

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landscape in India, says Navjit Ahluwalia, Senior Vice President, Hotel Development, Marriott International. Ahluwalia is responsible for the development of Marriott’s established and emerging brands in the Indian Sub-Continent. He believes that post-global financial crisis, young entrepreneurs have emerged to challenge some of India’s biggest and wealthiest companies and family investor groups, the people who were scalded by the financial meltdown. “These previously unknown investors are high worth individuals who have made their money in sectors like cement or IT and are now looking for a single hotel asset as an investment,” says Ahluwalia.

Finding suitable land and unraveling the country’s bureaucracy are two of the biggest challenges facing hotel developers, but the new investors are not shirking these challenges. “Within their (Indian) states these

people know how to handle the red tape, they know how to get things done, and they are coming to us with good locations for hotels,” says Ahluwalia.

After a comprehensive study of the needs of local customers, Marriott is redesigning its Fairfield Inns brand especially for the Indian market, the first time it has done this in a foreign destination. In the past, international hotel groups tended, often unsuccessfully, to take a cookie cutter approach but quickly discovered a hotel design that works in Delaware may not work in New Delhi.

International chains expanding in India prefer not to own properties and limit themselves to management contracts, partnering with realty firms and wealthy individuals, but Marriott is forming a joint venture with New Delhi-based Samhi Hotels Pvt. Ltd., a hotel-investment fund, and intends to invest its own money in taking a 30% stake in Fairfield Inns in India. The target for the venture is around 15 mid-tier

hotels by 2015. “Secondary and tertiary cities that have had nothing but unbranded, poor quality hotels are seeing hotel developments going ahead with exceptional internal designs, architecture and service quality,” says Ahluwalia.

In India Fairfield Inns will differ from the US product by providing full F&B – “because you often can’t walk out of a hotel in India to eat”; multiple uses for public spaces (a meeting room by day and a bar at night); 20m2 rooms, smaller than the US prototype plus lifted levels of service (“Indians have very high expectations of service, starting in their daily life when someone brings them a cup of tea in the morning,” Ahluwalia says.)

Few hotels in India can survive without meeting spaces and Fairfield is looking at a160m2 meeting space in all hotels where local companies can conduct interviews, hold training sessions etc. Rates at Fairfield Inns are expected to be in the region of

US$70-US$90 per night.Other international chains are moving

into the mid-tier hotel space. IHG has signed a joint venture partnership with Duet India Hotels Group to develop 19 new Holiday Inn Express hotels across India. IHG is taking a 24% equity stake, and making a multi-year investment of US$30 million into the partnership. Says Anuj Gupta, Managing Partner and CEO India, Duet Group: “The mid-market hotel space in India offers a compelling investment proposition given favourable demand-supply dynamics and an attractive build cost to operating returns equation.”

In 2007 IHG introduced a new strategy in India, phasing out franchise agreements and reintroducing Holiday Inn with an on-the-ground management and development team after concerns that the hotel operating standards of local franchisees were damaging the brand.

Not to be left behind, Hilton Worldwide

has signed a management agreement with Eros Resorts & Hotels to manage two new properties in New Delhi’s Mayur Vihar district. The latest signings will allow Hilton to more than triple its presence in India in the next two years – from four trading hotels to a total of 14.

The Accor group is covering all bases. It will operate six brands throughout India by year’s end. Sofitel, Pullman and Formule1 brands will debut in India this year.

Local hero Indian Hotels Ltd plans to introduce a new hotel brand in the mid-scale segment. The company currently operates the Taj brand in the luxury five-star segment, the Vivanta brand in the four-star segment, Gateway Hotels in the three-star segment and Ginger in the budget space. “We are not in the mid-scale segment so that is one brand we will look at in the coming years,” comments Managing Director Raymond Bickson.

Finally, a Swedish hotel brand believes that niche is the way to go and has set out to attract the Bollywood set. Svenska Hotels plans to develop 30- to 100-room, highly serviced hotels and has so far opened in Mumbai and Bangalore. Svenska is targeting “the top-end of the market with focus on celebrities from the fields of fashion, movies, television and senior executives of top MNCs and Indian corporates”.

The investment flow isn’t all one way, however. The Delhi-based Bird group made its first overseas acquisition by buying the Royal Park Hotel in Hyde Park, London, and plans to expand its hotel business in the UK and India. And last year Sahara India acquired London’s Grosvenor House from the Royal Bank of Scotland.

Ian Jarrett is Editor of Hotel Analyst Asia Pacific, the news analysis service for the hotel investment community. For more information please see www.ha-asiapac.com

The mid-market hotel space in India offers a compelling investment proposition given favourable demand-supply dynamics and an attractive build cost to operating returns equation.Anuj Gupta, Managing Partner and CEO India, Duet Group

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Thank you for visiting.

See you next year.To keep up to date with the latest news and information visit:www.thesleepevent.com/india

Mumbai IndiaMay 2012

TheSleepEventIndia 2012Design / Development /Architecture

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One of the most ambitious projects in India, the Gurjarat International Finance Tec-City (GIFT) is a central business district between Ahmedabad and Gandhinagar, designed as a hub for the global financial services sector.

Conceptualised by Fairwood Consultants Pvt. Ltd and East China Architectural Design Institute, the 500-acre development is a joint venture between the Governor of the State of Gujarat represented by Gujarat Urban Development Company Limited (GUDC) and Infrastructure Leasing & Financial Services Limited (IL&FS). The objective is to design, develop, finance, construct, operate and maintain the city advancing the ideas of sustainability and ecology.

The masterplan shows 17 high-rise commercial buildings including a series of landmark structures. The 405m Diamond

Tower is set to be the tallest building in India and will primarily house office space. Framing this, two gateway towers mark the entrance to the city and feature sky gardens and rooftop restaurants. At the heart of the city, a 17-acre complex will house hotels, shopping malls, theatres, restaurants, a library and an auditorium. Also planned is India’s largest hotel with over 1,325 guestrooms. Crucially, state-of-the-art connectivity, infrastructure and transportation access have been integrated into the design of the city.

At the recent Vibrant Gujarat Summit 2011, a Memorandum of Understanding was signed with Gandhinagar Hotels Limited to develop two five-star hotels with a total of 700 guestrooms. The first phase is set for completion in 2013.

City of the future...

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India’s Premier International Furniture Trade Fair

India’s Premier International Furniture Trade Fair

Source from the world at your doorstep

The inaugural India International Furniture Fair (IIFF) features leading international furniture brands from China, Italy, Malaysia, Philippines, Singapore, Spain, Thailand, Turkey and Vietnam.

The fair, fi rst-of-its-kind, is a dedicated furniture and furnishings trade show that provides you a one-stop sourcing opportunity for premium residential, contract and offi ce furniture and quality furnishings.

Attractive showcase and highlights• Explore International Country Pavilions• Source for latest products and innovations at Product

Showcase• Receive latest updates at the Industry Seminars• Expand business network during IIFF Industry Night

Exhibit Profi le• Bedroom furniture • Contract furniture• Custom-made furniture • Dining room furniture• Furnishings and décor • Kitchen furniture• Living room furniture • Occasional furniture• Offi ce furniture

16 - 18 November 2011 | Bombay Convention and Exhibition Centre www.indiafurniturefair.com

I IFF

INDIA INTERNATIONAL FURNITURE FAIR

PRE-REGISTER NOW

IIFF 2011 is open to trade visitors from the industry. Visitors may pre-register online now.

A unique Hosted Buyer Programme is also available for India’s key trade buyers who are involved in key decision making.

Visit www.indiafurniturefair.com for more information.

Organised by Local Event Manager Supported by

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