The firm manages a network of 135 hotels spread across 85 locations, offering a total of 9,000 rooms. Credit: hamdi bendali/Shutterstock.

Hospitality company Sarovar Hotels is focusing on more highway hotels and resorts near major cities, capitalising on expanding the road network of India.

The hotel chain is planning to undertake 80 projects in the coming years as a component of its expansion strategy.

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Sarovar Hotels’ latest decision coincides with the country’s continuous improvement of road infrastructure, which boosts connectivity and creates new prospects for both leisure and business travel, Press Trust of India (PTI) reported.

In an interview with PTI, Sarovar Hotels chairman Ajay Bakaya said: “Highway hotels and resort-concept properties close to cities, within a three-four hour journey, are a new high-growth segment for hospitality, at a time when competition is getting intense in urban centres.”

The company, a part of the French Louvre Hotels Group, which is a subsidiary of Jin Jiang International Holdings, manages a network of 135 hotels spread across 85 locations, offering a total of 9,000 rooms.

The majority of them are under management contracts and corporate services, but only four to five of those are built particularly as highway and resort properties.

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Bakaya added: “We will be adding 15-20 hotels comfortably every year over the next few years. We expect to cross 150 hotels by 2025, with a total of 12,000 keys. However, a limited number of these upcoming properties will be under the highway hotels and resorts segment.”

Given the capital-intensive nature of the hospitality industry, the top official from Sarovar Hotels has called for the sector to be granted infrastructure status.

Bakaya conveyed optimism that this status might be awarded in the forthcoming budget.

This change would enable access to extended credit lines of 15 years or more, as opposed to the existing ten-year terms.

Sarovar Hotels is making concerted efforts to enhance the representation of resort and highway hotel segments within its portfolio.