Huge demand for business hotels in South India

Hong Kong's QI International plans slew of business hotels in south India.

Which are the most lucrative locations to set up star hotels in the country? Delhi, Mumbai and Kolkata, one would think. Not according to Vijay Eswaran, group managing director and CEO of QI International, a diversified group based in Hong Kong with interests in e-commerce, retailing, travel and leisure, media and hospitality.

Eswaran has worked out a three-year plan to develop world-class business in the fast-growing cities of south India "" Chennai, Trichy, Coimbatore, Madurai and Bangalore "" since the company's research threw up Tamil Nadu, Karnataka and Kerala as the fastest growing states which are bogged down by lack of business hotels.

Eswaran plans to cater to the small business traveller, without the five-star expense. "I see a glaring gap in the range of hotels available. Either there are the high-end, fancy five-star hotels, or an abundance of the low-end places. India needs at least 400 of these middle class business hotels, and we intend to provide at least 40," he says.

"Given that the demand is rising, this is just the right time to collaborate and invest in the industry. The south is only the beginning; we'll look at Punjab in the next phase," says the astute businessman who's tied up with international chains like Ramada, Copthorne and Golden Tulip.

While the $700 million QI intends to pump in $50-60 million in its hotel venture, it is also looking at investments in resorts and holiday packages.

QI's Indian subsidiary "" QuestNet India "" has recently bought 44 acres of land in Mahabalipuram, near Chennai, and plans to build a five-star resort and a water theme park at an investment of Rs 100 crore along the line of the Sunway Lagoon in Malaysia and the Al Wadi in Dubai.

Given the diversified capabilities of the group, it is also planning a host of other unrelated ventures in the fast growing economy of India spanning airline servicing hubs in secondary cities like Aurangabad, Agra, Vellore and Nashik, a gold mint in Andhra Pradesh for manufacturing neumismatics and Ayurvedic wellness centres across the country.

While Eswaran is a Malaysian of Indian origin, his inspiration continues to come from India "" from Chanakya on one hand to Swami Vivekanand on the other. And yes, he is the same person who wrote In The Sphere of Silence.