Bengaluru-based hospitality company Ferns Estates has purchased a 75-room luxury hotel in Goa from a local developer for ₹175 crore. The deal also includes a 2-acre plot nearby for building an additional 75 suites.
The company has secured a ₹150 crore project loan from Bajaj Finance for 10 years to fund this acquisition. They plan to construct high-end luxury suites next to the hotel, anticipating a strong demand for such accommodations. Errol Fernandes, chairman & managing director of Rosetta Resorts and Holiday Homes, stated that this move is expected to boost the company’s profitability in the long term.
Ferns Estates, operating under the Rosetta Resorts and Holiday Homes brand, intends to expand its resort portfolio by adding around 1,000 rooms over the next 3-5 years. They have identified potential properties in various locations to achieve this goal.
According to Fernandes, this strategic expansion will not only increase their capacity to serve a broader range of travelers but also strengthen their market position by acquiring lease and company-owned properties to enrich their asset portfolio.
In 2023, hotel investments in India saw a significant surge, reaching $401 million, nearly quadrupling the volumes seen in 2022. High net-worth individuals (HNIs) and financial institutions were the primary contributors to this growth, accounting for the largest share of 31% of hotel investment activity in 2023, as reported by JLL.
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