Saturday 18th, August 2018
canara news

EIH to focus more on managed properties

Published On : 01 Aug 2018


Kolkata, (IANS) Hospitality major EIH Ltd, which is intending to be "asset light", will focus on managed properties more rather than owning them, an official said here on Wednesday.

"We own too much real estates. We had taken a decision that we should also try managing hotels. Major hotel companies do not own too much properties. We wish to be asset light," company's Executive Chairman P.R.S. Oberoi said.

He also said the ratio between owned, substantially owned and managed hotels in the company was 70:30 and the proportion of managed hotels would increase. Oberoi, however, clarified that the hospitality major would continue on building hotels in future along with focus on managing properties of others.

"We got properties in Bengaluru, Goa, extra land in Agra. It does not stop us doing our own projects," he said.

According to him, the company has a very "low debt of Rs 500 crore".

He also said The Oberoi, New Delhi re-opened after 18-month renovation and restoration, three months ahead of schedule.

The Oberoi, Marrakech is in the final phase of completion and is scheduled to open in the first quarter of 2019 and the construction of The Oberoi, Doha is currently underway, he told shareholders at the 68th Annual General Meeting here.

"The GST for hotels charging Rs 7,500 or more is 28 per cent. Most international travellers are accustomed to much lower GST in other Asian countries. GST at the rate of 28 per cent will, undoubtedly, affect travel and tourism to India.

"The hospitality industry has made several representations to the government in this regard. We hope there will be reduction in GST for hotels in the immediate future," he said.

He also said 50 rooms would be added with an estimated cost of Rs 100 crore in its oldest-owned property Oberoi Grand in Kolkata.







More News

HP dominated India printing market with 47% share in Q2 2018
HP dominated India printing market with 47% share in Q2 2018
Hackers transfer Rs 94 crore from Pune's Cosmos Bank
Hackers transfer Rs 94 crore from Pune's Cosmos Bank
Rupee hits record low against US dollar; recovers a bit
Rupee hits record low against US dollar; recovers a bit

Write your Comments

Disclaimer: Please write your correct name and email address. Kindly do not post any personal, abusive, defamatory, infringing, obscene, indecent, discriminatory or unlawful or similar comments. canaranews.com will not be responsible for any defamatory message posted under this article.

Please note that under 66A of the IT Act, sending offensive or menacing messages through electronic communication service and sending false messages to cheat, mislead or deceive people or to cause annoyance to them is punishable. It is obligatory on CANARANEWS to provide the IP address and other details of senders of such comments, to the authority concerned upon request.

Hence, sending offensive comments using canaranews will be purely at your own risk, and in no way will canaranews.com be held responsible.