### **Overview** Chalet Hotels Limited, part of the prominent K Raheja Corp Group, is a vertically integrated real estate developer and operator focused on high-end hospitality and commercial real estate across India. The company functions as an owner, developer, asset manager, and operator, with a strategic emphasis on luxury, upper-upscale, and premium lifestyle hospitality sectors. It also actively develops commercial, office, and selective residential projects as part of its diversified, asset-led growth model. Operating under a "Double Engine" strategy—leveraging both **hospitality** and **commercial real estate**—Chalet has positioned itself as a market leader in integrated mixed-use development, primarily in high-barrier, high-density urban centers and premium leisure destinations. --- ### **Core Business Segments** 1. **Hospitality (Hotels & Resorts)** 2. **Commercial Real Estate (Office & Retail)** 3. **Residential Development** --- ### **Portfolio Overview (As of Nov 2025)** #### **1. Hospitality Portfolio** - **Operational Hotels**: 11 hotels with **3,351 keys**, including world-renowned brands under Marriott, Accor, and Hyatt (e.g., JW Marriott, The Westin, Novotel, Courtyard by Marriott). - **Key Flagship Properties**: - JW Marriott Mumbai Sahar (588 keys) - The Westin Mumbai Powai Lake (604 keys) - Marriott Hotel Whitefield, Bengaluru (512 keys) - Courtyard by Marriott Aravali Resort, NCR (158 keys) - The Westin Resort & Spa, Himalayas (141 keys, acquired Feb 2025) - **Pipeline Projects**: - Taj Delhi Airport (390 keys) – Target FY26 launch - Hyatt Regency Airoli, Navi Mumbai (~280 keys) – Under development - Luxury resort in Varca, Goa (~190 rooms) – Target FY28 completion - ATHIVA Resort & Spa, Khandala (147 rooms) – Launched Oct 2025 - **Under Development / Expansion**: - ~1,200 rooms currently under development, bringing total pipeline to **~4,550 keys** by FY26–27. #### **2. Commercial Real Estate** - **Leasable Area**: 2.4 million sq. ft. (current), expanding to **3.3 million sq. ft. by FY27**. - **Key Properties**: - *The Orb*, Mumbai (0.5 million sq. ft.) - CIGNUS Powai Tower I, Mumbai (0.9 million sq. ft.) - CIGNUS Whitefield, Bengaluru (1.0 million sq. ft.) - Upcoming: CIGNUS II Powai (Launch FY27) - **Performance (as of Jul 2025)**: - 70% leased across portfolio - Monthly revenue run rate: **>₹210 million** - Annual revenue: ₹2 billion (59% YoY growth), EBITDA: ₹1.5 billion (56% growth), **EBITDA margin: 78%** #### **3. Residential Development** - **Project**: Raheja Vivarea, Koramangala, Bengaluru - **Size**: 0.86 million sq. ft. across 321 units - **Sales Status**: 84% sold (0.86 million sq. ft.), average price ~₹19,700–₹21,700/sq. ft. - **Collections**: ₹8.3 billion realized, ₹4.1 billion receivables - **Future**: Two additional towers and a 0.15 million sq. ft. commercial block under development --- ### **Strategic Initiatives & Highlights (Oct 2025)** #### **Launch of ATHIVA® – A New Premium Lifestyle Hospitality Brand** In October 2025, Chalet Hotels announced the launch of **ATHIVA®**, a **proprietary, premium lifestyle brand** designed for **millennial and Gen Z travelers**, blending wellness, sustainability, and immersive local experiences. - **Debut Property**: **ATHIVA Resort & Spa, Khandala** (formerly The Dukes Retreat), repositioned with 147 rooms and 11 suites. - **Initial Rollout (6 properties)**: 1. Rebranded **Navi Mumbai business hotel** 2. **The Resort at Aksa Beach** 3. **Three greenfield projects** in **Goa** and **Thiruvananthapuram** - **Launch Scale**: Over **900 rooms** - **Growth Ambition**: **Double capacity within 3 years** by leveraging Chalet’s operational expertise. #### **ATHIVA Brand Differentiation** - **Experiential Guest Offerings**: - *Breakfast@Anytime* - *Binge Box* snacks (curated late-night treats) - *Dollops of Joy* (unexpected surprise treats) - *Local Immersions* (cultural and community-based engagement) - **Sustainability & Wellness Focus**: - Energy-efficient design, waste-conscious operations, local sourcing - Alignment with **Parivartan Initiative** (Chalet’s ESG platform) - Circular, inclusive, and regenerative hospitality model - **Target Markets**: Business, leisure, bleisure, MICE (Meetings, Incentives, Conferences, Exhibitions) --- ### **Growth Strategy & Business Model** #### **1. "Double Engine" Growth Model** - Diversifies risk by balancing **hospitality** and **commercial real estate**. - Integrates **business (CBDs)** and **leisure (drivable destinations)** segments. - Achieves strong financial resilience amid macro volatility. #### **2. Ecosystem Approach** - **Co-location of hotels and commercial assets** in prime locations to generate **mutual demand**: - Hotels benefit from corporate footfall - Offices attract premium rentals due to nearby hospitality infrastructure - **Enhances asset utilization, drives blended returns** #### **3. Capital Efficiency & Development Focus** - Prioritizes **greenfield projects, brownfield acquisitions, and mixed-use developments**. - Focus on **capital-efficient expansion**, leveraging: - Organic growth (room expansions at Bengaluru Marriott, Dukes Retreat) - Inorganic growth (acquisitions in Goa, Uttarakhand) - Targets **~38% increase in hospitality keys and ~37% expansion in commercial assets by FY26–27**. --- ### **Key Acquisitions & Strategic Moves** | Date | Asset | Details | |------|-------|--------| | Feb 2025 | **The Westin Resort & Spa, Himalayas** | Acquired for ₹5.3 billion; 141-key luxury wellness resort; strategic entry into leisure/spiritual tourism; expected >60% occupancy once stabilized | | Aug 2024 | **11-acre beachfront land, Varca, Goa** | ₹1.4 billion acquisition; developing a 190-room upper-upscale resort (FY28) | | Jul/May 2025 | **Lakeview Mercantile Co. (Bambolim, Goa)** | 15+ acres beachfront land; term sheet signed for a ~170-room luxury resort | | Mar 2023 | **The Dukes Retreat, Khandala** | ₹1.33 billion; acquiring 80-key leisure resort; rebranded as **ATHIVA Resort & Spa** after expansion to 147 rooms | --- ### **Financial & Operational Performance** - **Revenue Diversification**: - Hospitality (75%), Commercial (25%) – targeted long-term split - Reduced cyclical exposure via annuity-like commercial income - **EBITDA Margins**: - Hospitality: **44.7% (record high in FY25)** - Adjusted EBITDA margin improved from **42.1% (FY24) to 44% (FY25)** - **Staff-to-Room Ratio**: **1.0** (significantly below industry average of 1.1–2.1), reflecting **high operational efficiency** - **Financial Highlights (FY25)**: - Hospitality Revenue: **₹15.2 billion**, EBITDA: ₹6.8 billion - RevPAR: **₹8,781**, Average Room Rate (ARR): ₹12,094 - **Record performance** across metrics, driven by strong corporate, MICE, and wedding demand --- ### **Sustainability & ESG** - **Parivartan Initiative**: Focuses on environmental, social, and economic sustainability. - Core to **ATHIVA brand**, promoting a **circular and regenerative model**. - LEED-certified properties (e.g., The Westin HITEC City). - Energy efficiency, waste reduction, and community partnerships central to operations. --- ### **Leadership & Governance** - Led by an experienced leadership team with over **243 years of combined experience**. - Appointed **Shwetank Singh** as Chief Growth & Strategy Officer (Aug 2023) to focus on leisure expansion. - Awarded among **India’s Great Mid-Sized Workplaces** (4 years) and **Top 10 for Women** (3 years).