Oberoi Bets on Asset-Light Model With 25 New Hotels in the Pipeline

The Oberoi Group is certainly taking advantage of the upward momentum of the hotel industry in India, but with the Oberoi touch - premium services call for premium prices and EIH Limited is not shying away from charging for it.

Indian luxury hotel chain The Oberoi Group plans to add 25 new hotels to its portfolio by 2030, the company’s Chief Financial Officer Vineet Kapur said during an earnings call Friday. The expansion will add over 2,000 rooms.

The group's next phase of growth will follow an asset-light model. Of the 25 upcoming properties only eight will be owned by parent company EIH Limited, while the remaining 17 will be managed by the group under management contracts.

This marks a major shift from the group's current approach. In Oberoi’s current portfolio of 29 hotels, only seven are managed by the group. The other 21 are either owned by EIH Limited or involve some level of ownership interest.

The group had first announced