Sarovar Hotels inks MoU with Vipul to set up five hotels

Leading hospitality management company Sarovar Hotels and Resorts has signed an MoU with Vipul Hospitality, (a part of Vipul Infrastructure Group), to open five new hotels in the country.

These will be Sarovar Premieres in Amritsar, Bhubneshwar and Raipur and Sarovar Portico in Mohali and Park Inn in Siliguri (West Bengal).

As part of the understanding, Sarovar Hotels will provide technical assistance from start to finish of all these projects besides managing and marketing the hotel operations, while Vipul Hospitality will build the hotels.

Each hotel will have 100-150 rooms with appropriate food and beverages outlets, banquet and conference facilities.

In an interaction with Business Standard, Punit Beriwala, managing director of Vipul Hospitality said, "We are going to invest Rs 300 crore for putting up hotels at these locations. The funding will be through internal accruals and debt. Further, we hope that the project will be completed within two years." He added the company had also planned to build hotels at Ludhiana, Patiala and Bathinda in Punjab.

Commenting upon the MoU with Sarovar, he said, "We are desirous of setting up independent, stand alone hotels and resorts as a part of retail and commercial development in various cities in India. For this, Sarovar Hotels is an ideal choice."

Ajay K Bakaya, executive director, Sarovar Hotels and Resorts said, "With Vipul Infrastructure's expertise in high-class reality development, we consider this association as a befitting match that would complement the technical know-how, finesse, and professionalism synonymous with Sarovar Hotels".

Sarovar is also coming up with a budget hotel having 130 rooms, with a conference room and other facilities in Chandigarh with an investment of Rs 30 crore in addition to the land cost. The proposed hotel in the Chandigarh is expected to be completed within 18 months.