Occupancies in hotels across the six main cities are expected to rise sharply during the current financial year with Bangalore leading the way with 86 per cent occupancy compared with just 64 per cent two years back.
It is followed by Mumbai with 72 per cent occupancy despite 1,200 rooms coming into the market in the last 20 months and Delhi with 67 per cent occupancy despite over 200 rooms added in the last one year.
The only exception is Kolkata where occupancies dropped by only 4 per cent, partly because of supply increasing by over 50 per cent.
Interestingly, this upturn has not been fueled by a fall in average room rate (ARR) which in most cases is actually firming up.
Analysts say that since a hotel typically takes around 3-4 years to get operational, there
