Hilton checks in, Meridien checks out of Mumbai

Visit the following link to read this story published in DNA Money dated January 4, 2010:
http://www.dnaindia.com/money/report_hilton-checks-in-meridien-checks-out-of-mumbai_1489950

“Good afternoon, welcome to the …” the front-office executive pauses and starts all over again. “Good afternoon, welcome to the Hilton Mumbai International Airport hotel. How may I help you?”

Those calling the board line of Le Royal Meridien hotel located at Sahar airport road in Mumbai these days are likely to face this situation for some time now. Reason: From January 1 the hotel moved on from its earlier brand (as part of Starwood Hotels & Resorts portfolio) to flaunt a new name.

DNA had first reported this development on November 22, 2010.

The 171-keys boutique five-star deluxe hotel has now become part of the global network of another leading international hospitality chain — Hilton Worldwide. The hotel’s new management officials (Hilton personnel who replaced Starwood officials) were not available for a comment.

The development marks the return of Hilton to the Mumbai market after its association with PRS Oberoi promoted East India Hotels (EIH) ended in 2008. It also marks exit of Meridien brand from the city.

The two had a four-year-long marketing and co-branding agreement, and Trident Hilton properties accounted for 45% of the overall room inventory of EIH then. The separation had wiped out Hilton’s presence from the Mumbai hospitality market and the global hospitality major has been vying for a hotel in Mumbai since then.

Hilton had also signed a management contract last year with realtor Housing Development & Infrastructure Ltd (HDIL) for a hotel in Mumbai. This hotel in upmarket Juhu will mark debut of Hilton’s Conrad brand in the country. With work on the site yet to start, the hotel will likely take three years or more to become operational.

The Hilton Mumbai International Airport hotel is owned by DB Hospitality which is part of Dynamix Balwa Group (DB Group).

DB Hospitality officials did not comment on development citing “not authorised to comment” as reason.

Among DB Hospitality’s other developments include a property each in Ahmedabad (Le Meridien) and Rajasthan. It has also tied up with Hyatt International for its upcoming projects in South Mumbai (Park Hyatt and serviced apartments), Goa (Grand Hyatt), Pune (Grand Hyatt), Hinjewadi (Hyatt Place) and Mundra (Hyatt Place).

Apart from the tie-up with Hyatt, DB Hospitality is developing around 2,500 rooms. The asset owning company also has the largest land parcel in the DIAL airport hospitality district in Delhi wherein the project will consist of four hotels, a serviced apartment and a convention centre.

The company is envisaging an investment of Rs5,500 crore to be funded through internal accruals, equity and debt. Its other partners include Japanese company JAL Hotels operating under the Nikko brand.