Branded hospitality makes inroads into Gujarat’s hinterlands

Ahmedabad: Over the past two years, Gujarat has quietly become a hotbed for branded hotel expansion, not just in major cities, but across its hinterland. Some 25 new properties from national and international chains have been announced or launched in Tier-2 and Tier-3 locations of the state. Domestic tourism surge along with improved connectivity, focused state-led promotion of religious and heritage circuits, and early bets on upcoming industrial zones are key factors driving the expansion.While major cities like Ahmedabad, Gandhinagar led this rise in the past decade alongside Vadodara, Surat and Rajkot, the expansion story is rapidly shaping up beyond big cities. Brands entering or expanding across these locations include IHCL (Taj, SeleQtions, Ginger), Marriott, Radisson, Lemon Tree, Sarovar, Fern, Lords, Evoke, Pride Hotels, and Fortune (ITC group). New properties are coming up in Mandvi, Kutch, Una, Gir, Dholera, Godhra, Nadiad, Ekta Nagar and beyond. After signing a property in Ahmedabad last month, developer Vikram Bharwad now plans to invest in Kandla and Dholera. "Gujarat's expanding industrial hubs are attracting executives from across the globe, and with them comes the demand for quality, standardised accommodation," he said. "We plan three properties targeting the growing need for well-run business hotels. With infrastructure like the Dholera airport taking shape, the viability of hospitality ventures in these regions is set to grow."Pilgrimage destinations like Dwarka, Somnath, and Palitana are also being reimagined as year-round spiritual-leisure getaways. With new properties from Ginger, Sarovar, and a 65-key Taj Palitana Palace, religious tourism is now demanding clean, well-managed, branded stays."There is growing demand across categories — from luxury to mid-market and budget — driven by travellers who now see all travel as an experience," said Keenan McKenzie, cluster general manager, ITC Narmada. ITC Hotels has announced a new hotel in Kevadia."Guests are willing to pay for comfort, service, and reliability, whether they're visiting a tourist destination or an industrial hub. This shift reflects rising aspirations and a broader trend of experiential travel across India's heartland."Ankit Bajaj, a travel expert from Ahmedabad, said, "Spending capacity has gone up, and so has the ticket size of travel. People are now booking better properties, and tourists' aspirations have evolved. There's a clear preference for branded stays, where standardised service and consistency matter."Industry insiders point to two major shifts: a post-pandemic rise in regional road travel among Indian families, and the Gujarat govt's sustained tourism and industrial promotion through projects like the Statue of Unity zone, Dholera SIR, and heritage circuits.Unlike earlier decades where chains stuck to metros, today's brands are placing bets on spiritual tourism, nature escapes, and demand from MSME and logistics sectors in small towns. Ahmedabad-Gandhinagar, meanwhile, is expected to see seven new five-star hotel launches over the next five years. Among them is the 164-key Le Meridien Ahmedabad, opening this Friday. "Ahmedabad is fast emerging as a progressive hospitality hub, fuelled by Gujarat's industrial growth and visionary governance," said Prashant Chadha, general manager, Le Meridien Ahmedabad. "Improved infrastructure, global events like the G20 and the Coldplay concert, and a rise in inbound travel have elevated the city's appeal."