Oberoi rejects Mumbai’s all-suite news
Oberoi has rejected a news article that it is planning to convert its Mumbai hotel to an all-suite property. "There is no truth in this," said Ketaki Narain, Oberoi Group’s director for corporate communication.
The report by Bloomberg-UTV’s website did not provide a specific quote, either by an Oberoi official or an industry expert.
The article stated: "…The move makes sense for the group as it already has two business properties in the city – Trident at Nariman Point, which has 555 rooms, and Trident at Bandra-Kurla Complex (BKC), which has 400 rooms.
The two properties give the group the freedom to ceate a niche upmarket premium luxury property at Nariman Point, especially given that market conditions are on an upswing after last year, which was one of the worst years in the history of the Indian hospitality industry…
Experts say that premium luxury properties are largely unaffected by the vagaries of the market. They also add that from a cost point of view, apart from the Rs 120 crore EIH has already spent on the property, there will not be a huge cost impact as structurally the hotel was not demolished…..
In the wake of the stake-sale battle that is on-going currently, the move assumes tremendous significance as it could become a huge feather in the group’s cap…from a pure revenue and margin point of view, the new hotel will have an extra edge as its pricing will be in the range of Rs 40,000-80,000 per day…"