Room shortage, per night prices exceeding ₹2 lakh at Delhi luxury hotels ahead of BRICS Summit

Ahead of the BRICS Summit in New Delhi, luxury hotels are reportedly witnessing a room crunch and a steep rise in tariffs.

New Delhi is preparing to host the BRICS Summit this year, scheduled to take place from September 12 to 13. Ahead of the high-profile and key global event, the national capital's luxury hotels sector is witnessing a sharp squeeze with a shortage of rooms and a steep rise in prices.

The tariffs and availability of the hotel rooms in New Delhi ahead of the BRICS Summit is subject to change based on bookings, cancellations, and other factors. (Representative Image/Reuters)

Several marquee properties are either showing no availability around the event or the prices per night are skyrocketing, reported news agency PTI.

No availability, six-figure tariffs at Delhi hotels

Taj Mahal and The Oberoi, New Delhi: Showing zero room availability for September 11 and 12.

Taj Palace, New Delhi: Completely booked with no rooms available for September 10 to 12.

The Leela Palace, New Delhi: Not accepting any bookings for September 10-12.

ITC Maurya, New Delhi: Starting prices exceed ₹2.3 lakh per night for accommodation for September 10-13.

Notably, the tariffs and availability are dynamic in nature and are subject to change based on bookings, cancellations, and other factors.

What the industry leaders say

K B Kachru, President, Hotel Association of India (HAI) and Chairman - South Asia, Radisson Hotel Group, told PTI that the BRICS Summit will put considerable focus on room inventory.

"India is commanding global attention at a defining moment -- as the nation prepares to host marquee international events and cements its position as a premier MICE destination, the world is watching how we scale to meet our tourism targets," Kachru said.

"The BRICS Summit alone will put considerable focus on room inventory and that spotlight is exposing a hard truth: our hospitality infrastructure has not kept pace with our tourism ambition," he added.

Furthermore, Kachru noted that currently there are only about 200,000-220,000 branded hotel rooms in India.

Rahool Macarius, Market Managing Director, Eurasia, Wyndham Hotels & Resorts, said that the summit is creating a distinct demand dynamic for Delhi and the national capital region (NCR).

"At Ramada Encore by Wyndham, Dwarka Expressway, this event-led demand is reflected in occupancy for September 12-15, currently tracking at 65 per cent, significantly ahead of the broader market demand," he said.

The LaLiT New Delhi emphasised that it is preparing to welcome international guests and delegates who will be in Delhi for the summit, the report added.

"Delegations and representatives from countries including South Africa, Burundi and the UAE among other countries are expected to stay at the hotel, contributing to the diverse international presence that The LaLiT New Delhi will host during the summit period. As we welcome delegates and visitors from across the world during the BRICS Summit, our focus will remain on delivering an experience that is seamless, personal and genuinely warm," noted Vishal Sharma, General Manager, The LaLiT New Delhi.

Nikhil Sharma, Managing Director and COO, South Asia, Radisson Hotel Group, said that the upcoming event in the national capital is contributing to heightened demand, particularly in the days around the summit.

"September is showing stronger momentum, with average room rates across our portfolio pacing more than 25 per cent higher year-on-year. The upcoming BRICS Summit in New Delhi is contributing to heightened demand, particularly in the days around the event, with shorter booking windows further supporting rate growth," said Sharma.

"We expect demand to remain strong as the summit approaches, with more travellers likely to make last-minute bookings closer to the event dates," he added.

(with inputs from PTI)