2023 Hotel Signings Report: Uttar Pradesh Leads the Way

The Indian Hospitality Overview report by leading hotel consultancy, HVS Anarock reveals that Uttar Pradesh was the top market for hotel brand signings in 2023, with 37 new property signings and a total critical count of 3038. Rajasthan came in second place with 30 new signings and 2749 keys. In 2023, there were 328 new hotel signings in India, with a total inventory of 29,143 keys. This included 256 new hotels with 24,417 rooms and 72 rebranded hotels with 4,464 rooms.

According to the Indian Hospitality Overview report by HVS Anarock, the branded inventory in India has grown significantly. In the last year, the industry added 12,435 keys, a 13% increase from 2022, demonstrating the ability to adapt to market dynamics and expand. Almost half (47.6%) of the total brand signings were greenfield properties, 36.2% were brownfields, and 15.3% were brand conversions.

The Indian Hospitality Overview report by HVS Anarock underscores the dominance of domestic brands in terms of the number of properties signed. Domestic brands led the brand signings, accounting for 72% of the total. However, global brands have caught up with domestic brands in inventory, with their average room count of properties signed almost double the average key size of Indian brands. The average room count of international brands was 138 keys, compared to the domestic hotel companies' 70 keys.

Regarding brand openings, properties, and key count, IHCL (Taj Group) enjoyed the top position, followed by Lemon Tree Hotels. The report also indicates a significant shift towards smaller cities regarding hotel investments and brand signings. The Tier 3 and 4 markets accounted for 52% of the total signings by property in 2023.