Chennai, Sept. 14 Chennai-based Sabari Group of Hotels has lined up Rs 300-crore investments over four to five years to build four 4-star hotels.
“Targeting mainly IT companies, we are planning to have six hotels in the IT corridors in Tamil Nadu, Andhra Pradesh, Karnataka and Maharashtra,” said Mr K.R.V. Ramani, Managing Director.The group has plans to set up hotels in Coimbatore, Hyderabad, Bangalore and Pune. In Coimbatore, the ground-breaking ceremony for a 100-room property is set to take place by the end of this month. It has also identified the location for its hotel in Pune. “Talks are in advanced stages for our properties in Bangalore and Hyderabad,” Mr Ramani said.
The hotels will be built on one-acre plots and will have 100 to 120 rooms “with all facilities that a guest from an IT company might require”. He said funding for the proposed investments will be met through debt and internal accruals in a ratio of 70:30. Axis Bank has agreed to lend for the Coimbatore project, he said.
The group, at present, has one property — Quality Inn Sabari — in Chennai’s commercial hub T. Nagar.
The company will open a new property – Sabari Classic – on the IT corridor, Old Mahabalipuram Road, on Saturday (September 15). The 90-room hotel is built with an investment of Rs 35 crore. The US-based hotel management company Choice Hotels International Inc will lend its ‘Quality’ brand and run the property.
The group registered a turnover of Rs 13 crore in the last fiscal. “With the launch of Sabari Classic and the proposed four hotels, we are expecting to post at least Rs 150-crore revenue in four years,” said Mr Ramani.