Ramee Group of Hotels is executing one of India's most ambitious hospitality expansions, targeting 100 properties by 2027 after starting with just nine hotels in 2023. According to The Times of India, the company has already signed 25 properties with 15 operational, tripling its portfolio in roughly three years. Saurab Gahoi, Senior Vice President-India at Ramee Group, emphasizes that the expansion is strategically focused on Tier II and III cities, spiritual tourism destinations, and wildlife locations where supply remains significantly underpenetrated compared to demand.
India's hospitality sector is experiencing unprecedented growth in non-metro markets, with Gahoi noting that "India's branded hotel market is significantly underpenetrated. You could double the number of branded rooms in this country and still maintain 70 per cent occupancy across the board." The company is targeting cities that have acquired airports and industrial corridors but are only now beginning to develop quality hospitality infrastructure. As reported by The Times of India, the UDAAN scheme alone has dramatically expanded air routes to smaller cities, creating new opportunities for branded accommodation where previously only budget options existed. This trend is further supported by the growing preference for experience-led travel, where guests increasingly expect both authentic outdoor experiences and modern hotel amenities in a single stay.
According to Navneet Nagpal, founder and principal consultant at Spectra Hospitality, small-key boutique hotel formats are delivering average daily rates of ₹40,000-60,000, with operating margins north of 45%. As reported by Mint, large parcels of land with low room counts are commanding premium rates, with boutique resorts benefiting from lower development costs and strong operating margins. The company's Ramee Collection brand targets micro-markets with 35-50 room properties that can support quality boutique accommodation in smaller cities where larger hotels are not economically viable. This pricing strategy aligns with the growing demand for luxury outdoor accommodation that places guests directly in natural settings while maintaining hotel-level comfort.
Ramee Group is implementing an asset-light strategy with most expansion through management contracts, similar to Atmosphere Core's approach. According to The Times of India, the company is taking a more direct role in only three properties—the Juhu flagship, a five-star deluxe resort on five acres near Bangalore airport, and a near-airport property in Indore—which together cost about ₹1,000 crore and are being developed by HNI investors. The company operates across multiple price points from Ramee Dream (180 rooms) to Ramee Collection (35-50 rooms). This approach allows the company to capitalize on the growing demand for outdoor lodging without the capital-intensive investment required for traditional hotel development.
Gahoi anticipates that AI-driven displacement in IT and BPO sectors will push talented young people toward hospitality industries over the next two to three years, addressing the current talent shortage. As reported by The Times of India, he expects the hospitality sector to benefit from automation trends in other industries, as "hotel management is, at its core, something that technology cannot replace. You need people who can read a guest's mood, who can solve a problem at two in the morning with warmth and competence." The company is transitioning from family-run operations to professional management while maintaining its 40-year F&B heritage that differentiates it from traditional hotel chains. This strategic positioning aligns with the industry's shift toward experience-led travel and the growing demand for outdoor lodging that combines nature with modern hotel amenities.
