New Delhi, April 14: India’s listed hotel operators are expected to add over 70,000 keys by 2030 as the sector moves from post‑pandemic recovery into structural maturity, a report said on Tuesday. The report from CBRE South Asia Pvt. Ltd. said the sector’s market size is expected to rise from $24.6 billion in 2024 to around $31 billion by 2029, driven by domestic tourism, which posted a 40 per cent YoY rise to 4.1 billion visits in 2025.
The supply pipeline in 2025 shifted decisively towards premiumisation, addressing the heightened consumer appetite for luxury experience. Upper Midscale, Upper Upscale and Upscale categories accounted for about 60 per cent of new openings last year. The report noted that the hospitality sector is transitioning from a phase of post-pandemic recovery into structural maturity, characterised by disciplined expansion and pricing stability.
The total hotel deal value grew 2.5-fold YoY in 2025 to roughly $456 million. Since 2024, India’s hospitality sector has witnessed a substantial surge in investment activity, with institutional players aggressively acquiring large stakes. “The hospitality sector’s trajectory is a testament to India’s economic resilience, supported by rising disposable incomes and improving accessibility facilitated by large‑scale infrastructure development,” said Anshuman Magazine, Chairman & CEO, India, South‑East Asia, Middle East & Africa, CBRE. As the industry accelerates its transition towards experience-driven travel and captures institutionalised demand across spiritual and cultural centres, he added, forecasting robust and long-term expansion for the country’s hospitality ecosystem.
The sector maintained strong growth momentum throughout 2025 despite year-end headwinds such as geopolitical tensions and operational disruptions in the aviation sector. Occupancy averaged around 64 per cent in 2025, with revenue per available room surging 11 per cent YoY and average daily rates up 8.7 per cent, the report said.
“Investor interest is increasingly shifting towards diversification into leisure destinations, pilgrimage centres, and emerging commercial cities with a constrained supply of branded inventory,” said Rami Kaushal, Managing Director, Consulting & Valuations, India, Middle East & Africa, CBRE.
IANS
