Star hotels make a beeline for Gujarat

An overall upswing in business activity, coupled with Ahmedabad receiving the mega city status and other cities growing rapidly, have boosted the growth of the hospitality industry in the state.

New star hotels are coming up rapidly in Ahmedabad, Gandhinagar, Surat and other parts of Gujarat.

Recently the Pune-based Pride Group of Hotels started its Ahmedabad operations, while Ahmedabad-based Cama group has announced plans to start a hotel in Gandhinagar.

At least half-a-dozen other group of hotels are planning to set up hotels in different cities of the state. Cama Hotels, the oldest hotel of Ahmedabad, has plans to set up a hotel in Gandhinagar. The new hotel is expected to have around 100 rooms and the group will spend around Rs 70-80 lakh on each room.

"We have already acquired land and the hotel designing is on the floor, and the mega Gandhinagar hotel project will be completed in the next three-five years," said R K Singh, manager - sales and marketing, Cama Hotels.

He said for the growth of the tourism industry, the state government has to do something with the ban on liquor as such a concept prevailed only in Gujarat which is leading to the losing of tourists.

Industry experts believe that there are likely to be a number of new hotels being built in major cities of Gujarat as mixed-use property development is used as an entry level for hotels of all types from budget to five-star.

Arun Nayar, vice president - operations, Pride Hotel, said, "We targeted the business class as corporates and businessmen roam across the country for business purposes whereas other five-star hotels depend mainly on tourists for occupancy."

On why Pride chose Ahmedabad for a five-star hotel, Nayar said Ahmedabad got the mega city status and corporates, businessmen visiting the city throughout the year.

That apart, the state has a floating population from Mumbai and Delhi for business purposes. About the facility, Nayar said Pride Ahmedabad has a fully equipped business centre, a health club and swimming pool and the like.

The Shanku's Group is also setting up a five-star hotel with an initial investment of Rs 25 crore at Charodi near Nirma University along the Sarkhej Gandhinagar highway.

The project will start from October and will have 27 rooms, two luxury suites, 24 cottage rooms, four deluxe cottage rooms and 14 air-conditioned tents.

"The group is also working on a convention centre, entertainment complex and also on a hotel management institute besides health, education and holiday resorts," said Dilip Chaudhary, managing director, Shanku's Group.

Ishwarsingh, director, Ranjit Hotel's Pvt Ltd, said, "We are building a three-star hotel opposite Gurukul Tower with an investment of Rs 2 crore. The project will be completed by this November."

The Gujarat JHM group has plans to develop a five-star hotel at Ichaapur near Hazira in Surat. The group is talking with the government of Gujarat for acquiring land. The hotel will be completed in next three years and a memorandum of understanding was signed at Vibrant Gujarat 2004.