Sarovar Hotels invests ₹120 cr in a TN project, its highest investment ever

Sarovar Hotels, a part of the French Louvre Hotels Group, has invested Rs 120 crore in its project Sarovar Portico, Sriperumbudur in Tamil Nadu, which is its largest investment in a hotel property till now, said the company’s top executives.

 

“This project (Sarovar Portico, Sriperumbudur) opens up in the next two months and is our largest investment till now,” said Ajay Bakaya, chairman, Sarovar Hotels and director, Louvre Hotels India. “This will change the dynamics of our revenue streams, and Sriperumbudur, which is a very strong large-scale manufacturing hub—from Apple’s iPhones (assembly unit for iPhones in India) to Saint-Gobain’s glass operations—will be a big thing for Sarovar Hotels.”

 

 

Bakaya further said that manufacturing hubs like Sriperumbudur are beneficial to the hotel’s business due to the region’s high volume of support hotels. Sarovar Hotels currently operates 137 hotels across 85 destinations in India, and it also has a presence in Nepal and Africa. He added that by the end of 2025, they expect to add 16 to 20 hotels, which includes regions in India and Nepal and a new opening in Somaliland in Africa. The company has already opened five hotels in the January–March quarter. In terms of international expansion, the hotel company has plans for Sri Lanka and re-establishing itself in the Middle East.

 

“With all the openings of new hotels and the existing performance of current hotels, we expect a 17 per cent increase in our overall revenue in 2025,” said Bakaya.

 

This comes after the hotel company recorded 27 openings and 43 signings and high double-digit growth in 2024, said Jatin Khanna, chief executive officer, Sarovar Hotels. He added that Sarovar Hotels has always maintained its identity as a mid-market hotel chain and that they do not have any plans to enter other segments in the country.

 

Khanna added that by the end of this year, the hotel would be present in 95 locations across the country. Currently, 65 per cent of the hotel’s portfolio is based in Tier-II and Tier-III cities.