Mahindra Holidays Commits ₹1,000 Crore to Launch Premium Resort Brand, Eyes 12,000 Rooms by FY30

Mahindra Holidays & Resorts India Ltd (MHRIL) has reportedly announced an ambitious expansion into the luxury leisure hospitality segment with the introduction of a new premium brand called Mahindra Signature Resorts. According to industry reports, the company has allocated approximately ₹1,000 crore towards developing this luxury vertical as part of its broader strategy to scale total room inventory to 12,000 keys by FY30.

First Luxury Property Scheduled for Himachal Pradesh

The company's inaugural Mahindra Signature Resort, a 150-room luxury property, is reportedly set to open in Theog, Himachal Pradesh, by FY27. Industry experts suggest this strategic location aligns with growing demand for premium hill station destinations for vacation homes across India.

Under the new luxury brand, MHRIL is expected to add approximately 2,000 rooms, contributing significantly to its overall FY30 expansion targets. This development comes at a time when housing supply is falling sharply in popular hill stations like Nainital, Shimla, and Dehradun, pushing property prices upward.

Strategic Departure from Traditional Business Model

This expansion reportedly marks a strategic shift for MHRIL, which has traditionally operated under the vacation-ownership model through its Club Mahindra brand. The Signature Resorts brand will function as an open-access luxury hotel model, targeting affluent leisure travellers rather than long-term membership holders.

This approach mirrors the growing trend among hospitality companies exploring new market segments. Similar to how Prestige Estate plans to double hospitality holdings with significant investments, MHRIL appears focused on capturing the premium leisure travel market.

Ambitious Growth Targets Set for the Decade

The company has reportedly set ambitious targets to triple its room count and revenues between FY20 and FY30, while aiming to quadruple its profit after tax during the same period. Industry observers suggest this represents one of MHRIL's most aggressive growth phases to date.

The expansion strategy aligns with broader hospitality sector trends, including ITC Hotels expanding its resort footprint across key leisure destinations and international players developing luxury properties in Mussoorie.

Implications for India's Hospitality Landscape

Rising disposable incomes and growing demand for immersive, experience-driven leisure travel are reportedly driving hospitality brands to explore new destinations across India. Mahindra Holidays' expansion could potentially accelerate luxury resort development across hill stations, nature destinations, and scenic leisure markets.

The move is expected to strengthen India's branded hospitality ecosystem, offering high-quality alternatives to unorganised resort operators. For investors interested in the hospitality sector, India's luxury property market developments continue to present significant opportunities.

This expansion also reflects the broader trend of India's ultra-wealthy investing heavily in premium real estate and leisure properties, with affluent buyers increasingly seeking quality hospitality experiences.

Disclaimer: This news article is based on information available from various sources at the time of publication. Readers are advised to conduct their own research and due diligence before making any investment decisions related to the hospitality sector or real estate. The views expressed herein are for informational purposes only and do not constitute financial, legal, or investment advice. Market conditions and company plans may change without prior notice.