Chalet Hotels Limited announced the Board’s approval for developing a significant new hospitality project in Madhapur, Hyderabad. The project entails a proposed ~330 room Luxury Hotel alongside approximately ~36,255 sq. ft. of commercial/retail space. The total investment required is estimated at ~Rs.6,328 Million, expected to be completed by FY2029. Financing will be secured through a combination of internal accruals and debt, aligning with the company’s growth strategy.
Board Sanctions Major Hyderabad Project
The Board of Directors of Chalet Hotels Limited met today, February 23, 2026, and formally approved the development of a substantial new asset in Hyderabad. This strategic move marks the Company’s third hotel venture in the city.
Project Details and Scale
The planned development includes a proposed ~330 room Luxury Hotel. Crucially, the development also incorporates approximately ~36,255 sq. ft. of accompanying commercial/retail space. The structure will be developed on premises acquired via a warm shell lease agreement. The existing capacity and utilization levels for the company are currently listed as Nil.
Financial Commitment and Timeline
The total Investment required for this undertaking is calculated at ~Rs.6,328 Million, which includes a Security Deposit component. The proposed capacity addition is targeted for completion and inclusion within the company’s portfolio by FY2029. The financing structure approved by the Board involves a Combination of internal accruals and debt.
Strategic Rationale
This expansion is explicitly stated to be in line with the investment and expansion strategy of the Company, focusing on increasing its operational footprint in key metropolitan areas.
Source: BSE
