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| Kempinski Ambience Hotel Delhi |
This story first appeared in DNA Money edition on Tuesday, September 04, 2012.
Third time lucky! Kempinski Hotels appears to be betting as it prepares to re-enter the Indian hospitality market.
This time around, however, Europe’s oldest luxury hotel group has taken the management contract route as opposed to the marketing alliance approach it had taken twice earlier with Capt C P Krishnan Nair’s The Leela Group.
After parting ways with Leela in February this year, Kempinski has joined hands with Delhi-based Ambience Group.
A real estate development company focused on premium developments primarily in the National Capital Region, Ambience will own the hotel asset while Kempinski will manage its day-to-day operations.
Branded Kempinski Ambience Hotel Delhi, the property in east Delhi, with 480 guestrooms and suites and the largest banqueting facility (it can take 6,000 guests), will be launched sometime between October and December this year.
A Kempinski spokesperson confirmed the development saying Vella Ramasawmy, president, Ambience Group and a seasoned hotelier, has been appointed general manager. He will be in charge of the pre-opening team and will be responsible for smooth operations of the luxury hotel.
The spokesperson, however, did not provide details on Kempinski’s commercial arrangements with the Indian partner or confirm if it was a multi-property arrangement.
The management agreement between the two sides was inked around December last year, industry sources said, hinting, it could well have been the reason for the Leela-Kempinski split.
The spokesperson did not comment on the reasons for discontinuing the marketing alliance with Leela, which was inked in 2005-06. The Leela management had earlier said it was done to pursue future growth opportunities for which it was required to set up its own marketing and distribution system.
The Delhi hotel will be Ambience’s second such project in the country. Interestingly, the realtor’s first project, with 322 guestrooms and 90 serviced apartments, was the launchpad for the The Leela Group’s entry into north India, which is being managed under the banner The Leela Kempinski, Gurgaon.
Third time lucky! Kempinski Hotels appears to be betting as it prepares to re-enter the Indian hospitality market.
This time around, however, Europe’s oldest luxury hotel group has taken the management contract route as opposed to the marketing alliance approach it had taken twice earlier with Capt C P Krishnan Nair’s The Leela Group.
After parting ways with Leela in February this year, Kempinski has joined hands with Delhi-based Ambience Group.
A real estate development company focused on premium developments primarily in the National Capital Region, Ambience will own the hotel asset while Kempinski will manage its day-to-day operations.
Branded Kempinski Ambience Hotel Delhi, the property in east Delhi, with 480 guestrooms and suites and the largest banqueting facility (it can take 6,000 guests), will be launched sometime between October and December this year.
A Kempinski spokesperson confirmed the development saying Vella Ramasawmy, president, Ambience Group and a seasoned hotelier, has been appointed general manager. He will be in charge of the pre-opening team and will be responsible for smooth operations of the luxury hotel.
The spokesperson, however, did not provide details on Kempinski’s commercial arrangements with the Indian partner or confirm if it was a multi-property arrangement.
The management agreement between the two sides was inked around December last year, industry sources said, hinting, it could well have been the reason for the Leela-Kempinski split.
The spokesperson did not comment on the reasons for discontinuing the marketing alliance with Leela, which was inked in 2005-06. The Leela management had earlier said it was done to pursue future growth opportunities for which it was required to set up its own marketing and distribution system.
The Delhi hotel will be Ambience’s second such project in the country. Interestingly, the realtor’s first project, with 322 guestrooms and 90 serviced apartments, was the launchpad for the The Leela Group’s entry into north India, which is being managed under the banner The Leela Kempinski, Gurgaon.
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