Estimates shared by JLL with ET showed a sharp rise in branded new hotel signings in the Northeast in 2023 with about 1,230 keys signed, up from around 449 keys signed in 2022.
Guwahati—considered as the ‘Gateway to the Northeast’—was the most active market, with 1100 keys signed since 2018, followed by Gangtok at 690 keys and Shillong at 280 keys.
As per JLL, midscale and upscale segments held a more prominent share of new hotel signings in tier 2 and tier 3 cities in the region such as Jorhat, Tezpur, and Dibrugarh in the past few years.
“Northeast India is witnessing a boom in hotel supply on the back of infrastructure growth with better roads and new airports connecting Northeastern cities to the rest of India,” said Jaideep Dang, managing director, Hotels and Hospitality Group, India, JLL.
“We are seeing Northeast India on the travel itineraries of both leisure and business travellers. This has encouraged hotel investors to develop bigger and better hotels. Hotel operating companies are realising this, and are signing projects across categories,” he added.Indian Hotels Company Ltd (IHCL)—the operator of hotel brands like Taj, Vivanta and Ginger has a portfolio of 14 hotels in the Northeast, totalling more than 1,200 keys. This includes five properties under development.The leading hotel chain is ‘well poised’ to double its portfolio in the region in the next few years, said Suma Venkatesh, executive vice president for real estate and development at IHCL.
Marriott International, the world’s largest hotel chain by number of rooms, has signed Courtyard by Marriott Beltola Guwahati, Fairfield by Marriott Guwahati and Marriott Hotels & Resorts Guwahati in the past 18 months, said Kiran Andicot, regional vice president, South Asia for hotel development at the chain. It currently has one hotel, the 200-room Courtyard by Marriott in Shillong.
“We are currently engaged in various stages of discussions to establish additional hotels and resorts in this region,” he added.
Hyatt said it signed a hotel in Guwahati at the start of this year and is in talks for more deals in the region.
Ajay K. Bakaya, managing director, Sarovar Hotels and director, Louvre Hotels India, said the company currently oversees a Portico brand of hotel each in Siliguri and Dibrugarh and is in discussions with promoters in Itanagar and Jalpaiguri to further its business interests in the region.
All leading international chains are looking to expand in the region, said Deepak Jain, founder of MayFair Consultants. “Currently, we have signed two mandates and are in advanced discussions for one upscale hotel and one midscale hotel in Siliguri and Darjeeling respectively. In the past one year, a lot of lead generation has been from the eastern part of India,” he added.
Nikhil Sharma, MD and area senior vice president, South Asia at Radisson Hotel Group said under the chain’s Park Inn & Suites by Radisson brand, it is focused on developing a strong pipeline of hotels across the seven northeastern states, specifically targeting tier 2 to tier 5 markets. “Our recent signing of Radisson Hotel Siliguri exemplifies this commitment,” he added.
Currently in the North East, Lemon Tree’s hotel in Gangtok has been operational since 2017. The chain said it has signed Lemon Tree Hotel, Agartala (Tripura), Lemon Tree Hotel, Tezpur (Assam) and Keys Select by Lemon Tree Hotels, Chirang (Assam) that are in the pipeline.
“We are also in discussions with numerous owners and partners with hotels and resorts in these states, and are looking for opportunities to further grow our presence in the North East,” the chain said in a statement.
