Gujarat heritage hotels open doors for private players

Promoters of some properties in the state are believed to be in talks with hospitality players like WelcomHeritage and Tulip Hotels. "The state government had offered certain incentives to encourage more conversion of heritage properties into hotels.

But conditions such as the properties need to have minium 10 well-furnished rooms were too stringent since most of the properties in the state have around 2-5 rooms at the most. Moreover, unless there are regular tourists frequenting heritage hotels like in Rajasthan, it is unviable to run these properties with so less rooms without any incentives," said Harendrapal Sinh, secretary of HHAG.

The association has around 32 member properties of which 17 are operational while the rest are on their way to conversion. Properties in Gujarat have been demanding soft loans of Rs 10-20 lakh per property for maintenance and upgradation of cultural heritage, ambience and architecture.

While players like WelcomHeritage have talked to few hospitality companies in the state, nothing has materialised so far since the national players are eager to provide management assistance instead of financial.

"We have been managing around 56 heritage hotels across the country but hardly have any presence in Gujarat. Which is why we have been in talks with some of the properties for a possible tie-up," said Somrajsinh Jhala, manager - sales, WelcomHeritage Hotels. The hospitality player believes it can bring a turnaround in performance of these properties through its sheer brand value and quality management.

Apparently, the state has a large number of heritage properties but has been unable to capitalise on them so far. The association has also been demanding a share of the total tourism budget of Rs 100 crore but in vain. "So far we have no share in the budget allotted for the tourism industry in Gujarat. Most of our members have either been incurring losses or running at break even point. Heritage hotels in Gujarat peg a total turnover of mere Rs 3-4 crore per annum," said Sinh.

Heritage hotels in Gujarat is a 200 room strong industry wherein the average tariff per day per person comes to around Rs 1,500-2,000. However, according to Sinh, there are over 400 potential heritage properties that can be converted into hotels and museums to boost heritage tourism in Gujarat.