HRA initiates hotel development

Mumbai: The Hotel & Restaurant Association (Western India) in a statement applauded the Central Government’s initiative to lease out land to private hotel developer and enter into revenue-sharing agreement.

As per the agreement, the statement said bidder who offers the Government the highest ratio will bag the project. However before finalising the project, the Centre would discuss it with the States as land is a state subject.

The revenue-sharing arrangement will also depend on the location of the project and may range from 20-30 years depending on the project.

Mr Dinesh Khanna, President-HRA said, “Tourism sector has immense growth potential and the major hindrance to the inbound tourist besides lack of infrastructure is insufficient hotel rooms. This initiative of the Centre will not just give room for five-star projects but also to mid-segment hotels.”

He further added that the Centre and the State Government should make the policy foolproof and mark the auction land exclusively for the hotel developers.

HRA (WI) was incorporated in February 1951 with the primary objective to serve the interest of the hotel and restaurant industry. It has been rendering professional advice and assistance from time to time to all its members on topics of vital importance.

The association admits and assists members operating in Maharashtra, Gujarat, Goa, Chhattisgarh, Madhya Pradesh and the Union Territories of Daman, Diu and Dadra and Nagar Haveli.