Lemon Tree Hotels signs an MoU with Omaxe to operate around 4,000 rooms across eight locations in India
In order to expand its presence across Tier II and Tier III cities in India, Carnation Hotels, a wholly owned subsidiary of Lemon Tree Hotels, and Omaxe have signed a Memorandum of Understanding (MoU) for the operation of around 4,000 rooms across eight locations, including Lucknow, Vrindavan, Amausi, Amritsar, Ghaziabad, Greater Noida, Kaushambi and Faridabad.
In a press statement, Lemon Tree Hotels says that the proposed hospitality properties will cater to accommodation demand across transit hubs, pilgrimage destinations and commercial districts. The arrangement will also accelerate the company’s asset-light growth strategy by expanding its managed hotel portfolio across different markets and property formats, it adds.
Neelendra Singh
“Tier II and Tier III cities have long been central to our India growth strategy, and this operating arrangement lets us scale it faster, from transit hubs in Lucknow to temple towns like Vrindavan. Omaxe brings nearly four decades of real estate development experience across these markets, while Lemon Tree brings over two decades of hospitality expertise and guest trust. This alliance combines developer scale with operating strength, and two trusted Indian brands with a proven record of execution, to build the next phase of growth. This will accelerate Lemon Tree Hotels’ asset- light growth strategy, enabling the Company to expand its managed portfolio across diverse markets and asset formats,” says Neelendra Singh, Managing Director, Lemon Tree Hotels.
The statement adds that the partnership will combine Omaxe’s development capabilities with Lemon Tree Hotels’ operating expertise to establish hospitality properties suited to the needs of different markets.
Mohit Goel
“India’s hospitality opportunity is expanding beyond established metropolitan markets, with Tier II and Tier III cities emerging as important destinations for business, leisure and pilgrimage travel. Temple towns, growing commercial centres and transit hubs, each have distinct accommodation needs, creating an opportunity to develop hospitality assets that are aligned with the demand drivers of their respective markets. Our arrangement with Lemon Tree Hotels brings established operating expertise to this strategy, while our sale-led development model enables us to pursue this expansion with a disciplined approach to capital deployment,” says Mohit Goel, Managing Director, Omaxe.
