Apeejay Hotels forays in mid-mkt segment with Zone by The Park

Hospitality chain Apeejay Surrendra Park Hotels, that runs The Park Hotels in the country, has forayed into the mid-market segment by launching 'Zone by The Park' hotels and is eyeing 20-25 properties in next 4-5 years under this brand.

"In the recent years the country witnessed a steady growth in mid-segment travellers, who are moving up fast on life's ladder.

"Though different from The Park, we wanted to create a brand that would channel its inimitable spirit. A new brand with a new vision for the global citizen," Apeejay Surrendra Park Hotels Chairperson Priya Paul told PTI on the sidelines of Ninth Annual Hotel Investment Conference - South Asia (HICSA) here.

Four hotels have already been signed under the brand and the first two hotels will be operational by the year end, she said.

"The company is already developing four properties with around 300 rooms under Zone by The Park, of which two hotels, one in Raipur and another in Coimbatore, will be operational by the end of this year", she said.

The other two subsequent properties are being developed in Dehradun and Delhi, she added.

The overall manpower is expected to be around 400 after the completion of all four properties, Paul said.

"We are hoping to develop 20-25 properties across the country in next 4-5 years under this mid market brand. These hotels will be of around 100 rooms, especially in the tier II and III cities" she said.

'Zone by The Park' will primarily be managed properties with an average room tariff of about Rs 3,500-5,000 per night depending on the city and location, she said.

"We have decided to go for the contract management model for this brand and will focus on design, food and beverage," Paul said.

Luxury boutique hotels Apeejay Surrendra Park Hotels had recently said it will invest Rs 1,200 crore over the next 4-5 years to set up four new properties that will add over 800 rooms.

The company announced a new brand identity, for which it has spent Rs 12 crore, and is also considering expanding its footprints into the global markets.

Currently the chain has 12 properties with over 1,200 rooms in total.