Hotel Leela promoters in hospitality venture

The promoters of Hotel Leelaventure Ltd have floated a private held firm, Zillion Hotels & Resorts Pvt Ltd, to set up projects in the hospitality sector. 

Hotel Leela chairman and managing director Vivek Nair and his brother Dinesh Nair hold 50% stake in Zillion, while the other half is held by their old-time friends Suraj Handa and Vishay Handa.

The hospitality firm recently soft-launched its first venture, a serviced apartment property, Oakwood Premier, in Juhu, Mumbai. The apartment would be managed by Oakwood Worldwide, a global provider of furnished and serviced apartments.

While confirming business association with the Nairs, Vishay Handa refused to divulge company’s holding structure, investment, future plans and other details.

However, industry sources told DNA Money that Zillion Hotels is a 50:50 partnership firm between the Nairs and the Handas, and has plans to launch more hospitality projects.

Zillion Hotels was earlier christened Oceanic Hotels Pvt Ltd, which was planning to set up a residential complex. However, that project was dropped due to coastal regulation zone issues.

The cost of Oakwood Premier Mumbai is estimated at Rs 80 lakh to Rs 1 crore per key, excluding land cost.  For Oakwood Worldwide, which manages the serviced apartment, India is one of the focus areas in Asia.  P G Mathew, MD, Oakwood Asia Pacific, said, “Presence in India includes plans for a portfolio of 10 properties by 2012. New projects are expected in Chennai, Hyderabad, New Delhi and Thiruvanathapuram.”