“Victor Hugo once said ‘all the forces in the world are not as powerful as an idea

whose time has come.’ Lucknow's time has come. India cannot grow without
UP growing & Lucknow is the destination.

The recent Investors Summit (21st-22nd February’18) has immensely proved

that Lucknow is very well going to be the Corporate Destination.

Some of the key developments favoring Lucknow are:

 An ‘IT City’ is being built on about 100 acres of government land at Gajaria
farms on Sultanpur Road in Lucknow. The state government had given
approval for the city in April 2012. The state has proposed 40 IT/ITeS parks
(apart from IT SEZs), two biotech zones and a knowledge park.
 Uttar Pradesh has the largest number of mobile subscribers in the country,
total of 121.60 million mobile phone connections out of 861.66 million in India,
according to the telecom regulator, Telecom Regulatory Authority of
India, TRAI, as of May 2013.
 Uttar Pradesh is the most populous state in India.The state contributes
16.16% of India's population. The population density is 828 people per square
kilometer, making it one of the densest states in the country.
 It has a young demographic population which is bringing global experiences
back home

INDIAN HOTEL INDUSTRY

Over the last decade and half the mad rush to India for business opportunities
has intensified and elevated room rates and occupancy levels in India. Even
budget hotels are charging USD 250 per day. The successful growth story of
'Hotel Industry in India' seconds only to China in Asia Pacific.
Hotels in India has supply of more than 150,000 rooms and it is still short of
another 100,000 rooms. According to the tourism ministry, 8 million tourists
visited India last year and at current trend, demand will soar to 10 million in
2019 – to accommodate 350 million domestic travellers. 'Hotels in India' has a
shortage of 150,000 rooms fuelling hotel room rates across India. With
tremendous pull of opportunity, India is a destination for hotel chains
looking for growth. The World Travel and Tourism Council, India, data says,
India ranks 18th in business travel and will be among the top 5 in this decade.
Sources estimate, demand is going to exceed supply by at least 100% over the
next 2 years. Five-star hotels in metro cities allot same room, more than once a
day to different guests, receiving almost 24-hour rates from both guests
against 6-8 hours usage. With demand-supply disparity, 'Hotel India' room
rates are most likely to rise 25% annually and occupancy to rise by 80%, over
the next two years. 'Hotel Industry in India' is eroding its competitiveness as a
cost effective destination. However, the rating on the Indian Hotels' is bullish.
'India Hotel Industry' is adding about 60,000 quality rooms, currently in
different stages of planning and development and should be ready by 2018.
MNC Hotel Industry giants are flocking India and forging Joint Ventures to
earn their share of pie in the race. Government has approved 300 hotel
projects, nearly half of which are in the luxury range. Sources said, the
manpower requirements of the hotel industry will increase from 7 million in
2002 to 16million by 2018.

With the USD 23 billion software services sector pushing the Indian
economy skywards, more and more IT professionals are flocking to Indian
metro cities. 'Hotel Industry in India' is set to grow at 15% a year. This
figure skyrocketed in 2010, when Delhi hosted the Commonwealth Games.
Already, more than 50 international budget hotel chains are moving into
India to stake their turf. Therefore, with opportunities galore the future
'Scenario of Indian Hotel Industry' looks rosy.

The Future of the Hospitality Industry 5 years from now

The Hospitality Industry has grown at a tremendous pace over the years and
has emerged as one of the key drivers of growth of the services sector in
India. The fortune of the hospitality industry is intrinsically linked with that
of the tourism Industry with both foreign as well as national tourists playing
an important role in its growth. With the burgeoning middle class in the
country as well as India emerging as a global player, more people are aiming
towards India, thus fuelling growth for the Hospitality Industry. The industry
is seeing a cumulative annual growth rate of 14% every year and is expected
to grow further, leading to several expectations of what the future holds for
the Hospitality Industry.
About Lucknow District “the aspiring metro city” an overview.

Lucknow is the capital city of Uttar Pradesh and it has always been a multicultural
city. Courtly manners, beautiful gardens, poetry, music, and fine cuisine patronized
by the Persian-loving Shia Nawabs of the city are well known amongst Indians and
students of South Asian culture and history. Lucknow is popularly known as the
City of Nawabs. It is also known as the Golden City of the East, Shiraz-i-Hind and
The Constantinople of India. Lucknow, the capital of Uttar Pradesh, lies in the
middle of the Heritage Arc. This bustling city, famed for its Nawabs era finesse and
amazing food, is a unique mix of the ancient and the modern. It is home to
extraordinary monuments depicting a fascinating blend of ancient, colonial and
oriental architecture. Lucknow is the biggest city and also the capital of Uttar
Pradesh. An essential metropolitan city of the nation, Lucknow is the legitimate
headquarters of the eponymous District and Division of Uttar Pradesh. It is the third
biggest city in north after Delhi and Kolkata. It has reliably been known as a
multicultural city that flourished as a North Indian social hub and the seat of
Nawabs in the eighteenth and nineteenth century. It keeps on being a basic point of
convergence of business, education, tourism, music and verse. The Biryani of
Lucknow is on the similar level with that of Hyderabad and it consists of various
types of Biryani with various flavors.

Population of Lucknow

Predicting the 2018 population of Lucknow is not easy but we can get the idea
after analyzing the population from the year 2013 – 17. As we have seen that
every year the population increases by approximate 0.0884 Million people.
Hence, the population of Lucknow in 2018 is forecast to be 3.382 Million +
0.0884 Million = 3.4704 Million. So, the population of Lucknow in the year
2018 as per estimated data = 3.4704 Million. It continues to be an important
centre of governance, administration, education, commerce, aerospace,
finance, pharmaceuticals, technology, design, culture, tourism, music and
poetry.

The city stands at an elevation of approximately 123 meters (404 ft) above sea
level. Lucknow district covers an area of 2,528 square kilometers. Bounded on
the east by Barabanki, on the west by Unnao, on the south by Raebareli and in
the north by Sitapur, Lucknow sits on the northwestern shore of the Gomti
River.
 Lucknow, along with Agra and Varanasi, is in the Uttar Pradesh Heritage
Arc, a chain of survey triangulations created by the Government of Uttar
Pradesh to boost tourism in the state.
Lucknow Metro is a rapid transit system which started its operations from 6
September 2017. Lucknow Metro system is the fastest built metro system in
the world and most economical high-speed rapid transit system project in
India. The commencement of civil works started on 27 September 2014.

Charbagh Metro Station

 In February, Chief Minister Akhilesh Yadav gave the approval to set up a

metro rail system for the state capital. It is divided into two corridors with the
North-South corridor connecting Munshipulia to CCS International Airport
and the East-West corridor connecting Charbagh Railway Station to Vasant
Kunj. This will be the most expensive public transport system in the state but
will provide a rapid means of mass transport to decongest traffic on city
roads. Construction of the first phase will be complete by March 2017. The
completion of metro rail project is the primary object of Uttar Pradesh
government currently headed by the chief minister Yogi Adityanath.
 On 5 September 2017, Home Minister, Rajnath Singh and CM ,Yogi
Adityanath showed green flag to the Lucknow Metro.
 Uttar Pradesh ranks first in domestic tourist arrivals among all states of India
with more than 71 million, owing to its rich and varied topography, vibrant
culture, festivals, monuments, ancient places of worship, and viharas. Uttar
Pradesh is also home to three World Heritage Sites: the Taj Mahal, Agra Fort,
and the nearby Fatehpur Sikri.
 Millions gather at Allahabad to take part in the Magh Mela festival on the
banks of the Ganges. This festival is organized on a larger scale every 12th
year and is called the Kumbh Mela, where over 10 million Hindu pilgrims
congregate in one of the largest gatherings of people in the world.
 Lucknow, the capital of the state, has several beautiful historical monuments.
To promote tourism, the Directorate of Tourism was established in the 1972
with a Director General who is an IAS Officer. In 1974 the Uttar Pradesh
State Tourism Development Corporation was established to look after the
commercial tourist activities.

Uttar Pradesh Tourism Policy 2018

 Uttar Pradesh government has accorded industry status to tourism, 18 years

after it formulated the sector's first policy. The Tourism Policy 2018 covers
culture, entertainment, heritage and handicraft besides an investor-friendly
capital and interest subsidy scheme for fresh investments. The last tourism
policy came out in 1998, since then a lot has changed. Uttarakhand was
carved out of Uttar Pradesh during this period and tourism today has become
a high visibility and high revenue-earning sector. Realizing its potential in not
just boosting revenue but also enhancing the image of Uttar Pradesh, we have
declared industry status for tourism sector. There will be a investor- friendly
capital and interest subsidy scheme for setting up hotels, amusement and
theme Parks. Besides providing rebate in Nagar Nigam taxation, the policy
also allows for providing subsidized land in various schemes of UPSIDC.
Some new circuits like the Ramayana circuit, Mahabharata Circuit, Jain
Paripath, Sufi Paripath have been conceived besides the Heritage Arc of Agra,
Lucknow and Varanasi. Some unique out-of-the box circuits like 1857 Trail
and a Craft, Cuisine and Culture Trail have also been designed. The subsidy
scheme would be applicable for all fresh investments and also expansion of
existing projects, and an additional incentive has been provided for
investments in the Bundelkhand and Buddhist circuits, whose potential has
not been fully realized till now and where we lack good hotels and other
tourism related infrastructure. The state recorded arrival of 29 lakh foreign
tourists, and 18 crore domestic tourists last year. And the State hopes to
increase foreign and domestic arrivals by about 8% this year riding on the
back of promotion of new circuits, publicity and fresh investments due to the
new policy”.
 Lucknow might be famous as the city of Nawabs and their legendary
hospitality but the capital of Uttar Pradesh has for long been bereft of
quality hotel accommodation, barring the Taj. Not anymore. Over the past
year, five-star chains such as Hilton, Hyatt and Accor have opened hotels in
the city. Hotel chains are planning more launches in Gorakhpur, Jhansi,
Bareilly, Allahabad, Mathura and Aligarh. The chains say improving
infrastructure is among the contributing factors leading to more hotel
 launches in the state. The Hyatt Regency Lucknow opened in September last
year in Gomti Nagar. The hotel has 206 rooms and more than 18,500 square
feet of indoor and outdoor meeting space, including a 4200 square foot
ballroom. “Lucknow has always been on the radar as a key travel destination
in the country as it attracts both Indian and foreign tourists equally. Carlson
Rezidor has opened a property in the state capital besides having hotels
under construction in Bareilly, Gorakhpur and Ghaziabad. Its brands include
Radisson, Radisson Blue and Country Inn & Suites.
 Everybody has opened hotels in Lucknow in the last two years. The supply
growth has been 1,000% in the last two years. Most have achieved a fair share
in less than one year because of high demand. It usually takes three years.
 In the meantime; another chain Accor Hotels has set up a hotel in Lucknow.
Lucknow has been a laggard in the past few years. According to a 2017 report
by consulting firm HVS; Kolkata saw the highest growth in room supply in
FY17 at 18.4% to 3,199 rooms. In absolute terms, New Delhi continued to have
the largest base supply of hotel rooms at 14,296, followed by Mumbai at
13,494 (including Navi Mumbai) and Bangalore with 11,995. Agra added 2,092
Rooms in FY17-18.

Despite its size, UP on its own would have fared at the bottom in terms of
hotel chains and room supply growth. The 125-room Hilton Garden Inn was
launched in Lucknow in December 2017 with meeting and event space of
7,000 square feet. Budget brand Lemon Tree has launched its hotel in
Lucknow in the month of July’18.
ABOUT THE PROJECT: To set up a Hotel (Budget) having all the modern facilities
in an area of ________________ Square meters in Lucknow, very close to the Up-
Coming iconic Ekana International Cricket Stadium in the state of Uttar Pradesh,
adjacent to the most busy Shaheed Path, the road which connects four National
Highways, that is, Lucknow-Kanpur Road; Lucknow –Sultanpur Road;Lucknow-
Rae-Bareilly Road; and Lucknow –Faizabad Road

Executive Summary of the Project :

Location
Land Area Proposed
Built –Up Area
Current Status of Site
Site Surroundings
Site Accessibility
Topographical
Features

Tourism and Hospitality Industry at a Glance, it is boom time for India's

Tourism and Hospitality sector. Driven by a surge in business traveller arrivals and
a soaring interest in India as a tourist destination, for the previous years has been
the best year till date, with foreign visitor arrivals reaching a record 3.92 million,
resulting in international tourism receipts of US$ 5.7 billion. Boom time! According
to global hotel and hospitality consulting firm, HVS International, the strong
performance in tourist arrivals in the recent past can be attributed to a strong
sense of business and investment confidence in India inspired by:-

 India's strong GDP performance

 Strengthening of ties with the developed world, and
 Opening of sectors of the economy to private sector/ foreign
investment.
 The efforts made by the Ministry of Tourism & Culture in the last few
years have had a salutary effect on India's tourism industry.
 Foreign tourist arrivals are expected to witness a growth of 78 % in the
coming years.
 Growth in foreign exchange earnings is expected to be of the order of
122 %.
 As per estimates, on an average, about 3.1 million additional jobs per
year have been created directly and indirectly in the tourism sector in
the last four years.
 India is fast emerging as one of the most enticing destinations for the
global leisure traveller.
 The Incredible India campaign has also been a huge success.
Lucknow, along with Agra and Varanasi, is in the Uttar Pradesh Heritage Arc, a
chain of survey triangulations created by the Government of Uttar Pradesh to boost
tourism in the state.
LOCATION ADVANTAGES it is also very easily accessible by Air, Train and Road. It
is also growing as leading Corporate Destination State of India will start getting
International Chartered Flights in view of extended Airport run way of by the
Airport Authority of India. International Chartered flights have started operating
from Lucknow Airport. Uttar Pradesh is going to make headway in the area of
spiritual tourism, eco tourism, health tourism and rural tourism. Heritage tourism,
which is one of the strengths, is going to be strengthened further.
Efforts are also being made to facilitate shooting of films in Uttar Pradesh.
Today, Uttar Pradesh is one of the most favoured destinations of film industry.
Uttar Pradesh Lucknow is witnessing an unprecedented growth of Medical
Tourism in the recent past

Hospitality industry well placed in Lucknow,

There are two key factors that any business needs to focus on, to grow: demand for
the product or services, and structural and policy level clarity. While the hospitality
industry, along with other businesses in India, is currently facing the effects of an
economic slowdown, from the policy angle, it does enjoy certain benefits. Unlike
other real estate classes, the hospitality industry enjoys industry status, which
provides it access to easy and cheaper funding. The smooth entry process and the
high level of clarity on policies have attracted various international hotel chains to
enter India. While domestic players such as Taj, Oberoi, ITC, EIH, Leela, Sarovar
and Lemon Tree have laid a strong base over the years, the entry of leading
international operators such as Marriot, Hyatt, Accor, Starwood, the
Intercontinental Hotel Group and Carlson has added depth to the industry. Shift
and expansion – drivers for growth A quick look at the Indian hospitality industry
reveals that existing operators have started offering their services across segments,
with the introduction of other brands under the same group. As the hospitality
market matures, we are seeing the entry of more midscale and budget brands into
India, and this has opened up the industry and increased options across the
categories. Some of the newer brands who have just entered, or are looking to enter
into the Indian Hospitality market, are Rotana Hotels, Menninger Hotels, Hotusa
Hotels, Caesars Hospitality, MGM Hospitality, Centara Hotels & Resorts, Movenpick
Hotels, Tune Hotels, Six Senses and Trump Hotels. Another shift, that has been
witnessed, is the entry of hotel operators into Tier II and Tier III cities,
including industrial towns and religious and tourist destinations. It is expected
that nearly 68,000 hotel rooms to become operational over the next few years, of
which at least 35% will be in Tier II and Tier III cities. During the past decade,
the organised hotel industry has extended to various new markets, increasing the
reach to the target audience.

Lucknow has recently witnessed a growth in the Hospitality Sector, with a

number of well known brands setting foot here. India's most populous state and
its capital Lucknow seem to be gaining the attention of hotel chains. Lucknow
might be famous as the city of nawabs and their legendary hospitality but the
capital of Uttar Pradesh has for long been bereft of quality hotel accommodation,
barring the Taj. Not anymore. Over the past year, five-star chains such as Hilton,
Hyatt and Accor have opened hotels in the city. Hotel chains are planning more
launches in Gorakhpur, Jhansi, Bareilly Allahabad, Mathura and Aligarh. The
improving infrastructure is among the contributing factors leading to more
hotel launches in the state. “Lucknow has always been on the radar and many
visitors has always seen it as a key travel destination in the country as it
attracts both Indian and foreign tourists equally,” Accor Hotels launched the
Novotel Lucknow in April last year. Quite a few Hotel Chains has opened hotels in
Lucknow in the last two years.

Project Implementation Schedule

S.No Particulars Date of Starting Date of

Completion
1 Acquisition of Land
2 CLU Obtained
3 Approval of Building Plan
4 Building Construction
5 Purchase of furniture and
fixture
6 Purchase of Gym & Spa
Equipments
7. Kitchen Equipments
8 Application Submission for
Bar License
9 Recruitment of Staff

Project Approval Requirements & Status

Type of Clearance Status

CLU
Building Plan Approval/LDA/UPAV
Pollution Control
Bar License
NOC from Fire Department/ License
Electricity
Water Connection
NOC from concerned Police Department
NOC from Municipal Health
Officer/Sanitary Inspector
Solar Water Heating

Project SWOT Analysis

1. Strengths:
 Experience of the Promoters in real-estate and hospitality industry is
available (10 years)
 Indian Govt./State Govt. pro-tourism approach will contribute to the
success of the industry
 The Hotel Project will have tie –up with an Internationally /Nationally
acclaimed Hotel-Chain, who will also provide national and international
room booking
 Experienced Human Resource/Staff/Employees

2. Weakness :

 The Construction of the Hotel Project is yet to begin and the New Tourism
Unit is yet to begin/start and obtain all required approvals and NOC’s.
 The bank loan has to be applied for construction/ Loan disbursement will
depend on the approvals obtained as per the real-estate policy of the bank.
 The promoter’s entire construction is proposed by way of unsecured loans
making the project as highly leveraged. The same needs to be re-examined in
detail.
 High dependency on influx of Tourists and Corporate Residential Meets, and
is highly sensitive to sudden political events in the State.

(The promoters are experienced in relationship management in the political

circles and also intend to tie-up with noteworthy consultants for timely
execution of all approvals/NOC)

3. Opportunities

 Increasing Globalisation is leading to more international and national

travellers and tourists , especially from emerging economies
 Lucknow as a State Capital is growing at a fast pace in the recent past. IT
City, Economic Zones are being promoted on fast pace in the city.
 Ekana International Cricket Stadium is almost ready for all major Sports
events to be officially promoted here
 The City is going METRO Scale with all around development. The city has
also made it to the second list of Smart Cities released by the Centre.
Although there may be a difference in what one sees on-ground and the plan
envisioned, the Centre has decided to give assistance and funds to make the
city come up in terms of liveability quotient
 Destination Wedding, Residential Conferences by major Corporate and is
expected to generate more revenue available for running a promising project
of this scale

 Lucknow, the state capital of Uttar Pradesh, has shed its image of a Tier-II
city and grown much beyond the expectations. The city is now witnessing
developments ranging from transit corridors to rising information technology
sector, and growing housing to revised master plan.
 A 100-km Outer Ring Road (ORR) will surround city's periphery and include
all the new townships, housing projects, CG City, Awadh Shilp Gram and
cricket stadium developing on the outskirts. The feasibility report of ORR
has already been submitted by the National Highways Authority of India or
the NHAI to the Centre for approval.
 Lucknow is also emerging as a medical tourism spot. Multi-specialty
hospitals such as Medanta with a capacity of 1,000 beds, Narayana
Hrudalaya Aarogyam with 326 beds as well as women and child care
hospitals, have made their way into the city. This is in proximity to Gomti
Nagar extension, a central business district in itself.

4. Threats

 Climatic Conditions which will affect long distance travelers and political
instability.

Short description of the New Tourism Unit

The recent Investors Summit, the International Conclave from February 20-22,
2018, in Lucknow was held to develop the State of Uttar Pradesh and promote
the tourism avenues of Uttar Pradesh on the global map.

Simla Cottage Private Limited, a company into real-estate took this

opportunity and signed the MOU with the State Government to set up a 120
keys Hotel on a prime land and very close to the Up-coming Ekana International
Cricket Stadium on Shaheed Path.

The project / new tourism unit will be constructed on 13790 Square Meter land
and will have a built-up area of nearly 1, 00,000 square feet. The Project will
have the best of Hotel Rooms, tastefully furnished on international standards,
with the best of floorings, modern furniture, equipments, LCD’s, mini bars ,tea
& coffee makers and all the luxury for a high level of comfort for the hotel
residents. There will be MICE (Meetings, Incentives, Conferencing, and
Exhibitions) facilities for large corporate groups coming to the city. The project
will have Restaurant, Bar, Business Centers, Banquet Halls, and Gym & Spa
Centre. There will be a massive marriage lawn with its own Guest house.

The new tourism unit is easily accessible by road, air and rail and has good
connectivity.

LAYOUT PLANNING The following is the proposed layout for the New
Hotel/Unit:

Hotel Rooms & Suites The hotel will be of stylish, comfortable, well-furnished
and air-conditioned rooms with contemporary luxury and gracious service.

Banquet and Conference The Hotel will have a banquet hall with a capacity of
150 and 400 for parties, banquet hall also be used for exhibitions/events. The
banquet hall is very essential for the hotel and will be done in a western
concept. There will be 1 conferencing hall for business meeting, conference and
gathering etc. the hall will be equipped with all the modern conferencing aids.

Restaurant and Bar The hotel will be having 2 nos. of restaurant, a Lounge Bar
and a coffee shop, which will be offering a choice of continental, Chinese and
variety of food from Indian cuisine, with live piano music, and one open
restaurant with the above amenities for the outside visitors. The bar will be well
stocked with best of spirit and wine where guests can spend their time with
gossiping watching television.

Other Facilities in hotel, Travel Desk The hotel will also have a Travel Desk,
which will help visitors to gather information and sketch a tour for visiting the
tourist place. Pick up Facility The hotel will also having a Pick up facility, the
company will be buying vehicles to pick the guests from the suitable place.

Business Center The business center is equipped with the latest office
automation equipment to provide secretarial services and allied services like
courier services, E-mail services, Telecommunication services and other support
services.

Currency Exchange Facility The hotel will also provide the currency exchange
facility to overseas guests.

Gymnasium, Spa and Swimming Pool A gymnasium will be surrounded by

state of the art equipment.

Lawn & Garden In the proposed project there is also a beautiful and decorated
Marriage Garden and its well kept gardens infuses a breath of fresh air and fill
both young and old with vitality, which will be provided on rent for the Marriage
Purpose or Big Parties. The capacity of the garden will be around 1000 people
with huge car parking capacity.