News APP

NewsApp (Free)

Read news as it happens
Download NewsApp

Available on  gplay

This article was first published 17 years ago  » Business » DLF, Bharat Hotels plan JV

DLF, Bharat Hotels plan JV

By Nayantara Rai in New Delhi
May 10, 2007 12:28 IST
Get Rediff News in your Inbox:

Realty major DLF and Bharat Hotels, owners of The Grand group of hotels, are working towards a joint venture for developing and running hotels. While DLF will own the land and be in charge of the actual construction of hotels, the latter will operate the hotels.

The two companies already have a hotel in Chandigarh.

The two companies are in talks to build hotels in the two townships that DLF is developing with Nakheel, a large property developer from the UAE. DLF and Nakheel have a 50:50 joint venture to develop a total 40,000 acres between Gurgaon and South Maharashtra, Goa at an initial investment of $10 billion.

"Yes, we are talking to Bharat Hotels. There are a lot of synergies between us. We already have an existing 50:50 joint venture with Bharat Hotels for a property and they in turn are in partnership with Nakheel for developing a hotel in Dubai," said a senior DLF executive.

Just last week, Bharat Hotels and Nakheel had announced a 50:50 joint venture for a 244-room luxury resort 'The Grand Fort Dubai', marking the Indian company's first international venture.

In the prospectus that DLF had filed with the Securities & Exchange Board of India for its initial public offering, it had stated that it would be making its foray into hotels in joint ventures with Hilton International and Bharat Hotels.

Sources told Business Standard that DLF is looking at developing 2,800 rooms in the next five years.

Incidentally, a senior management team of Hilton International - DLF's other joint venture partner for hotels - is currently in the capital to firm up its plans for India. DLF has a 74:26 joint venture with Hilton International for developing 75 properties across India.

"Hilton can also have hotels in the townships that we are developing with Nakheel. After all, each of these townships will be three times of our flagship DLF City in Gurgaon. It will require many hotels," said the DLF executive.

The first DLF-Hilton hotel is likely to roll out in south Delhi, adjoining one of DLF's malls.

Last year DLF and Bharat hotels had co-purchased a four-acre hotel site at Chandigarh for Rs 75 crore (Rs 750 million). The two companies are looking to develop a 240-room hotel here.
Get Rediff News in your Inbox:
Nayantara Rai in New Delhi
Source: source

Moneywiz Live!