Upload
5e-consulting
View
353
Download
6
Embed Size (px)
DESCRIPTION
5e Consulting City Profile Hotels Hyderabad(Feasibility Study, Demand Study, etc). We have conducted a detailed city level assessment for hospitality industry for one of our assignment. Attached is a brief snapshot of the same
Citation preview
City ProfileCity ProfileCity ProfileHyderabadCity ProfileHyderabadyy
With best compliments fromWith best compliments from
Varishta Consultants Pvt. Ltd.5e Consulting.
Hyderabad | Mumbai | Delhi | Ahmedabad | Kolkata
HO & Registered Office ‐ HyderabadContact Mr. Raghuram AVG, 102 A, Sri Dattasai Commercial Complex, Opp. Saptagiri Theatre, RTC ‘X’ Roads, Hyd ‐ 500020Landline +91‐04‐27627607 : Mobile +91‐9701010000Email : [email protected], [email protected]
Mumbai
B 29/113 Sundar NagarNear Ganesh TempleSundernagar , Santacruz East
6 Mangal , 3A Vishrut Bunglows , Opposite A SchoolSubhash chowk, Memnagarh d b d 3800 2
Ahmedabad
12/3 Monohar Pukur Road 3 rd FloorNear Uttam Mancha Kolkatta ‐ 700026
KolkataDelhi
10‐B, JangpuraMathura RoadNew Delhi ‐ 110014
Mumbai 400098
Contact Mr. Sourabh AgarwalLandline Mobile +91‐9930868608
Ahmedabad 380052
Contact Mr. Haresh DesaiLandline +91‐79‐40055790Mobile +91‐9662124866Email info@5econsulting in
Contact Mr. Ashutosh NigamMobile +91‐9831022820Email ‐ ashutosh nigam@rediffmail com
Contact Mr. Rajiv JhaLandline Mobile +91 99715 44299
Email [email protected] Email [email protected] ‐ ashutosh [email protected] [email protected]
Associated Companiesp
5e Consulting Wise Financial Solution Pvt Ltd
One IMPEX, HyderabadSolution Pvt. Ltd.
HyderabadHyderabad
IntroductionIntroduction
Parameter Description
Population (2001 census) 3.63 million
Population (2010 projected) 4.20 million
Area 621.48 sq. km
•Greater Hyderabad Municipal Corporation (GHMC): 625 sq km•Hyderabad Urban Development Authority (HUDA): 1905 sq km (including the SCB area)Administrative Status Hyderabad Urban Development Authority (HUDA): 1905 sq km (including the SCB area)•Hyderabad Metropolitan Development Authority (HMDA): 6850 sq km (Enlarged Jurisdiction of HUDA) Note: HMDA has become the sole jurisdiction authority thus abolishing HUDA, HADA, CDA and BPPA, w.e.f 24th August 2008
ClimateHyderabad gets about 32 inches (about 810 mm) of rain every year, almost all of it concentrated in the monsoon months. The highest temperature ever recorded was 45.5 o C (113.9 °F) on 2 June 1966, while the lowest recorded
6 1 C (43 °F) 8 J 1946temperature was 6.1o C (43 °F) on 8 January 1946
Connectivity
Air: Rajiv Gandhi International Airport providing flight services to all major cities within India and abroad.Road:Well connected by a road network is major National Highways, leading to Mumbai – Vijayawada (NH‐9) & Bangalore ‐ Nagpur (NH‐7) connected to different cities in towns within the State through State Highways.Rail:Well connected by rail network to all major cities and towns in the country.y j y
Real Estate Outlook
Commercial ↔
Residential ↔
Retail ↔
Growth Potential
•Location advantages ‐ connected well by road, air and rail;•The administrative status as the metropolitan city and the capital city of the State;•Good potential for expanding its economic base as it is one of the major IT/ITeS, Pharmaceuticals, Bio‐Technology, Tourism and Industrial hub of South India.
Constraints forDevelopment
Development of fringe areas which essentially constitute the Growth Corridors, are in the process of being equipped with necessary Physical and Social infrastructure facilities. Hence, any comprehensive real estate development promulgated by Developers (Private parties) may be constrained due to the aforementioned aspect, in general. However, the GoAP has initiated necessary steps to overcome the said constraint.
Geographical FeaturesGeographical Features
Railway Station
Airport
Railway Station
Airport
y
Bus Stand
y
Bus StandBus StandBus Stand
International Airport
International Airport
Hyderabad – Socio Economic & Infrastructure ProfileHyderabad – Socio Economic & Infrastructure Profile
Economic Profile Hyderabad Mumbai Delhi Chennai KolkataGDP/Capita Rs. 23,000 Rs. 43,000 Rs. 39,000 Rs. 34,000 Rs. 33,000Population Below Poverty Line 23% 27% 8% 20% 6%p yEconomic Disparity (% of lowand lower middle Incomehouseholds, 2002) 37% 27% 18% 42% 32%
Education Hyderabad Mumbai Delhi Chennai KolkataEducation Hyderabad Mumbai Delhi Chennai KolkataLiteracy Rate 79% 87% 83% 80% 81%Drop Out Rate 66% 42% 52% 46% 42%
Socio Profile Hyderabad Mumbai Delhi Chennai KolkataHousing ‐ % of population living in slums 37% 55% 35% 40% 31%Health ‐ Child Mortality Rate 6.9% NA 2.6% 3.7% 1.6%
Water Hyderabad Mumbai Delhi Chennai KolkattaPiped water supply per day 2 NA 2 1 NA p pp y p yPer capita Availability in lpcd ofpotable water 110 168 180 106 173 Household water connections 36.0% 58.0% 51.3% NA 23.0%
I f t t H d b d M b i D lhi Ch i K lk ttInfrastructure Hyderabad Mumbai Delhi Chennai KolkattaSanitation 41% NA 55% 55% NAAverage commute time (minutes) 60 30 45 NA NA Public Transport Utilization rate 44% NA 62% 36% NA% Area covered by roads 6% 10% 18% 10% 12%% Area covered by roads 6% 0% 8% 0% %Vehicles Density (passenger car units per KM of road length) 723 242 NA 293 NA
Source ‐ CDP, Hyderabad, JNNURM
DemographicsDemographics
The city's population in 2001 was 3.6 million and it has reached over 4.0 million by 2009 making it among the mostpopulated cities in India , while the population of the metropolitan area was estimated above 6.3 million. Muslims forma majority in the city. Hindus constitute about 40% of the population, making Hyderabad's Muslim community thelargest in Andhra Pradesh. Muslims have substantial presence across the city and especially they are denselyconcentrated in and around Old City (Hyderabad), where they form 70% of the population. Christians constitute a smallamount of the city's population. Churches are located across the city and the popular ones are in Abids andSecunderabad areas.
Economy & DevelopmentEconomy & Development
Hyderabad is the financial, economic and political capital of the state of Andhra Pradesh. The city is the largestcontributor to the state's gross domestic product, state tax and excise revenues. The workforce participation is about29.55%. Starting in the 1990s, the economic pattern of the city has changed from being a primarily service city tog , p y g g p y ybeing one with a more diversified spectrum, including trade, transport, commerce, storage, communication etc.Service industry is the major contributor, with urban workforce constituting 90% of the total workforce. Hyderabad isknown as the city of pearls, lakes and, lately, for its IT companies. The bangles market known as Laad Bazaar issituated near Charminar. Products such as silverware, saris, Nirmal and Kalamkari paintings and artifacts, unique, , p g , qBidri handcrafted items, lacquer bangles studded with stones,silk ware, cotton ware and handloom‐based clothingmaterials are made and traded through the city for centuries. Hyderabad is a major centre for pharmaceuticals withcompanies such as Dr. Reddy's Laboratories, Matrix Laboratories, Hetero Drugs Limited, Divis Labs, AurobindoPharma Limited, Lee Pharma and Vimta Labs being housed in the city. Initiatives such as Genome Valley, Fab City and, g y y, ythe Nano Technology park are expected to create extensive infrastructure in bio‐technology.
SEC classification
Hyderabad – Growth DriversHyderabad – Growth Drivers
Knowledge Corridor and Biotechnology Park
Apparel Export ParkApparel Park is set up by APIIC –a layout plan for 174 acre of land, with 117 plots for exporters ofapparels, made‐ups and hosiery goods. This park has facility for uninterrupted power, roads,drinking water, drainage and effluent discharge by pipes, sewerage system and other supportive
Hi‐Tech CityHyderabad Information Technology
Biotechnology ParkIn its Vision 2020 document, the state government has proposed to develop a knowledge corridor focusing on biotechnology /medical sciences industrial technology and
drinking water, drainage and effluent discharge by pipes, sewerage system and other supportivefacilities. The site for the park is located at Gundla‐Pochampally, at a distance of 18 km fromHyderabad.
Hyderabad Information TechnologyEngineering Consultancy (Hi‐Tech) Cityproject was developed by the stategovernment in association with L&T asan integrated techno township to offera one‐stop solution to the business and
sciences, industrial technology and ITES. Located at Turkapally village at a distance of 18 km from Hyderabad, the Park is being developed by a private developer and the state government as a jointp
social needs of IT sector. Launched inyear 1997 on 158‐acre site with acapital investment of over INR 15billion in phases over 6 to 8 years, HI‐Tech city has already attracted
and the state government as a joint Venture project.
Financial Districtmultinational software giants likeMicrosoft, IBM, Metamor, GE Capital,Toshiba and Oracle and Indiancompanies like Satyam Computers andWipro.
Financial DistrictA sophisticated and state‐of‐the‐artfinancial district is proposed toaccelerate the speed of developmentand provide multiplier effect to theeconomy. The Financial District will
Hardware ParkAn area of approximately 5000 Acres of land has been earmarked in
economy. The Financial District willfocus on insurance sector, financialresearch institutions, financial markets,commodities exchange, banking, lawand secretarial firms, consulting firms,etc. The site for the project comprisingAn area of approximately 5000 Acres of land has been earmarked in
Mamidipalli near the proposed International Airport. An extent of 1,565acre has already been handed over to APIIC for this purpose. A pilothardware park of about 100 Acre catering to about 10 units is to becreated initially with an Infrastructure of world‐class standards.
p j p gof 130 acres has been earmarked atKhanamet Village, near Hitech City. TheAPIIC is the nodal agency for theimplementation of the project.
Economy & DevelopmentEconomy & Development
Medhchal
Growth Pattern Ring Roads
Kukatpally
Shamshabad
Kukatpally
The growth regions in suburbs, Source: Market Survey, Map source: HUDA
MRTS Proposed InfraTOTAL HUDA
Area: 1865 Sq Km
Population: 62 L
DGR: 36.8%
Proposed 600 Acre Township
CDAEstablished
Singapore Township & proposed IT
GENOME Valley – Biotech Park @ Shamirpet – 150 Acre
Apparel Park on 175 Acres
TOTAL HUDA
Area: 1865 Sq Km
Population: 62 L
DGR: 36.8%
TOTAL HUDA
Area: 1865 Sq Km
Population: 62 L
DGR: 36.8%
Proposed 600 Acre Township
Proposed 600 Acre Township
CDAEstablished
Singapore Township & proposed IT
GENOME Valley – Biotech Park @ Shamirpet – 150 Acre
Apparel Park on 175 Acres
Financial District
130 Acres
Convention Center
Township @ Tellapur
Hardware park & FAB City
ORR – Upcoming& proposed 22
Townships along ORR
proposed IT Park
Financial District
130 Acres
Financial District
130 Acres
Convention Center
Township @ TellapurTownship @ Tellapur
Hardware park & FAB City
ORR – Upcoming& proposed 22
Townships along ORR
ORR – Upcoming& proposed 22
Townships along ORR
proposed IT Park
Golf Course250 Acres
Emmar Township550 Acres
International Airport
Proposed 600 Acre Township
@ Maheshwaram
FAB City
ORR – Phase 18 Lane Express way
Golf Course250 Acres
Emmar Township550 Acres
International Airport
International Airport
Proposed 600 Acre Township
@ Maheshwaram
FAB City
ORR – Phase 18 Lane Express way
ORR – Phase 18 Lane Express way
CBD & Commercial AreasCBD & Commercial Areas
The Hyderabad CBD comprising the areas of Abids, Nampally, Koti, etc. is the oldest CBD of the city. This is more popular as a retail destinationrather than office destination. With increased population and traffic problems, the CBD has expanded into adjacent areas of Himayatnagar andBasheerabagh. The characteristics of the areas falling under the Hyderabad CBD are detailed below.
Submarket Type of occupants Remarks
CBD ‐1: Himayatnagar, Abids, BasheerabaghCBD‐2: SD Road, SP Road, SecunderabadCBD‐3: Begumpet, Rajbhavan Road, Banjara Hills, Jubilee Hills
Cyberabad: Madhapur, Gachibowli, KondapurPeripheral: Kukatpally, Bachupally, Uppal, Nacharam & ShamshabadTable 5.1‐1: Characteristics of Commercial Market
NH – 7Pune Highway
Submarket Type of occupants Remarks
CBD ‐1 No such prominent tenantsThis is more popular as a retaildestination rather than officedestination.
Satyam, Sonata Software, Wipro,
This is the area in the northern partof the city connects Begumpet andSecunderabad The activity on SP
Cyberabad
CBD - 2CBD - 3CBD ‐2 NCR,Airtel, Brigade software, GFC,
Coramandal corporate office
Secunderabad. The activity on SProad is mostly commercial withseveral banks and governmentoffices and corporate offices.This area is in the northern part ofthe city located between the CBD ofSecunderabad and new CBD of
CBD ‐3
Graphics, Satyam, APPlabs, ATI, Dhanalakshmi Bank, Tuch, Mars Telecom, American Express, International, Madhuconcorporate office,
Secunderabad and new CBD ofSomajiguda. With the domesticairport being located in this area andwith the railway station in thevicinity this area has severallocational advantages, including acatchment population of high‐
CBD -1NH 7
p p gincome group.
Cyberabad
Dell, 24/7, GE, Microsoft, PatniComputersGE., Concesco,BostonTechnologies, Bank of baroda,Microsoft, Market Tools, Google,Computer Associates, Cognizant
Ameerpet, along with Somajigudaand Banjara Hills forms the new CBDarea of the city. Located in thenorth‐western part of the city, thisarea has developed as a natural
NH – 7Bangalore Highway
Upcoming International Airport
Technologies, Zenzar, YashTechnologies, Oracle, TCS, HSBC (bpo)
response to the growth of the city inthis direction particularly in the lastThree decades.
Peripheral Not yet DecidedAll the projects are in Planning &Excavation stage.
Residential Real estate Residential Real estate
Zones Important Locations Profile
I Prime: Residential Banjara Hills, Jubilee Hills, Red Hills, etc
This area reflects the cosmopolitan culture of the city and the catchment of this area consists of mostly higher income groups. It's the upmarket side of town and is witnessing a rapid increasej It's the upmarket side of town and is witnessing a rapid increase in the number of malls.
II Secunderabad , Padma Rao Nagar, A.S Rao Nagar, Malakajigiri, Trumalgiri
No new developments are happening since most of the land belongs to railways & Cantonments. , Mettuguda, Sitafalmandi, Malkajgiri & Chilkalguda are the major residential catchment.There is a mix of integrated townships Mega townships with
III Western SuburbMadhapur, Gachibowli, Kondapur, Kukatpally, Miyapur, Tellapur, Gopanpally, etc
There is a mix of integrated townships, Mega townships with independent homes /villa as well as residential apartment developments is more in these areas.Most of the foreign developers are coming forward in these areas with township projects in the Joint Venture mode. Demand for 2BHK 3BHK 4BHK and villas are more in these areasfor 2BHK, 3BHK, 4BHK and villas are more in these areas.
IV Northern Suburb Kompally, Medchal, Shameerpet, Yamjal, Gajularamaram, and Jeedimetla
The real estate activity in these areas is in the form of layout developments with a combination of independent houses and apartments (Township Development)Most of the developments in these areas are coming along and between starting from Jedimetla, Shamirpet and .between starting from Jedimetla, Shamirpet and .
V Eastern Suburb
Habsiguda, Uppal, Nacharam, Pocharam Nagaram, Bogaram, Rampally, Ghatkesar, Koremula, Chengicherla, Boduppal, andMaidpally
Development in this region is not as prominent as in the western and northern suburbs.An area known for high profile national science institutes and a growing cluster natural cluster for biotech research, training and manufacturing activities. In this zone, the development of p y g , presidential apartments is more.
VI Southern Suburb
L.B Nagar, Rajenderanagar, Shamshabad,Pedda Amberpet, Tukkuguda, Maheshwaram, Mamidipally,
The Southern suburbs have gained prominence with thecommencement of work for international air port in this region.Also attracting a lot of attention because of the proposeddevelopments such as , Fab city, , Infosys Campus, ring roads and
Kottur etc link roads etc. Moreover, several residential plots are being soldin the site region.
Residential Real estate Residential Real estate
High end Villas & Independent Homes
High end Apartments & Integrated Townships
Small & Medium Scale Apartment
Developments
Large Scale Layouts (Plotted
Developments)
Retail Real estate Retail Real estate
ZonesMajor Market Areas
Remarks
CBD - 2
NH – 7Pune Highway CBD ‐1
Himayatnagar, Abids, Basheerabagh
Part of old CBD area of the city. Retailshowrooms of jewellery, ready madegarments and saree. Jewellery shopsare mostly ground floor level. Retailand commercial activity is observedCBD 2
Suburb
g yon station road connecting Nampallyand Abids
CBD 2
, , Secunderabad
Part of Secunderabad CBD withintensive retail activity in Parklane,Swapnalok complex and Minerva
CBD -1
CBD - 3
CBD ‐2 bad Swapnalok complex and Minervacomplex, CMR building are prominentshopping centres here.
Begumpet, , Banjara
Part of new CBD area of the city. Primelocality with high end retail,
NH – 7B l Upcoming International Airport
Suburb CBD ‐3Hills, Jubilee Hills
commercial activity, restaurants andpubs. Prime locality for retail andcommercial with Three star and Fivestar hotels.
Madhapur C i l ti it ith id fBangalore Highway
Upcoming International Airport
Suburbs
p, Gachibowli, Kukatpally
Commercial activity on either side ofthe main road (NH) Major activity:Cinema theatres and educationalinstitutions. Commercial developmentis along the main road in the form of,
Dilsuknagar
shopping arcades and commercialcomplexes.
Tourists & Business VisitorsTourists & Business Visitors
Overview of hospitality sectorOverview of hospitality sector
Hyderabad is emerging as a potential market, driven bythe growth of the IT, ITES, and financial services
findustries. The entry of new companies, typically,generates significant room night demand during thestart‐up period, for extended periods. Since there arevery few branded extended stay products, the demand isb b d b h l d d habsorbed by hotels. A new and interesting trend is thatHyderabad has seen substantial improvement in theperformance in terms of occupancy, growing at 83.31%with an average rate per hotel is INR 6,400, an 8.5%
h h i ’ l l h i d dgrowth over the previous year’s level has witnessed andAverage rates grew by 23.1%.
Hotels are now able to guarantee a specific level of usagefrom the extended‐stay segment on a daily basis and thisfrom the extended stay segment on a daily basis, and thishas enabled them to substitute business from airlinesand group bookings that usually negotiate deeplydiscounted room rates. Hotels across Hyderabad are nowadopting an integrated dynamic pricing model for theiradopting an integrated dynamic pricing model for theircommercial clients as opposed to the traditional fixed‐rate allotment model. They have also aligned the processof commercial rate contracts to fill periods of lowoccupancy and quickly displace this demand whenoccupancy, and quickly displace this demand whenhigher‐rated non‐contracted business offers betterpotential.
Overview of hospitality sectorOverview of hospitality sector
Hotels ClustersHotels Clusters
Major HotelsMajor Hotels
Name Location Category Number of rooms
Tariff (INR )
ITC Kakatiya Sheraton Somajiguda ‐Begumpet 5 Star Deluxe 188 INR 5,400 ‐ INR 6,500Taj 1 5 star Deluxe 257 INR 14,220 ‐ INR 19,800Taj Residency Or 1 7 star 140 INR 9,570 ‐ INR 11,425Taj Banjara 1 5 star Deluxe 118 INR 9,570 ‐ INR 11,426The Manohar Begumpet 5 star 135 INR 8,200 ‐ INR 10,000Hotel Viceroy Tankbund 5 star 180 INR 6,500 ‐ INR 8,000
Ameerpet 5 star 148 INR 5,015 ‐ INR 7,250Secretariat Road, Saifabad 5 star 97 INR 4,000 ‐ INR 4,500
Fortune Katriya 4 Star 132 INR 5,800 ‐ INR 8,500Hotel Golconda Masab Tank 4 Star 150 INR 8,300 ‐ INR 12,700Quality Inn Residency Nampally 3 Star 95 INR 3,750 ‐ INR 4,250Central Court Lakdikapool 3 Star 77 INR 2,795 ‐ INR 3,500Aditya Park Inn Ameerpet 3 Star 88 INR 4,800 ‐ INR 5,700Comfort Inn Woodbridge AC Guards 3 Star 55 INR 4,800 ‐ INR 5,701Kamat Lingapur Hotel Begumpet Business 77 INR 2400 ‐INR 3400Hotel Aditi INN Ameerpet Business 127 INR 2200 ‐ INR 2300
Proposed hotels as per market intelligenceProposed hotels as per market intelligence
Name/Project LocationSupply
(number of Rooms)
CategoryStatus
(Estimated opening)
The Hyatt Road No 3 in Banjara Super DeluxeThe Hyatt Road No. 3 in BanjaraHills NA Super Deluxe 2009‐10
Hotel Leela NA 150 Super Deluxe 2008‐09The Park 150 Super Deluxe End 2007Hilton Hotel NA NA 5 star deluxe 2010L M idi 250 5 t 2009Le Meridien 250 5 star 2009Mind space Hotel hi‐tech city NA 5 star End 2007Taj Falaknuma Manikonda 80 5 star 2009Taj GVK Begumpet 120 5 star 2009Taj GVK ‐ Taj Expansion Banjara Hills 125 5 star 2009‐10IVRCL Hotel Gachibowli 300 5 star End 2007Taj GVK ‐ Taj Expansion Banjara Hills 65 Service Apartment 2008‐09Taj GVK ‐ Taj Residency / Expansion Banjara Hills 120 Service Apartment End 2007Taj GVK ‐ Taj Banjara Hills 100 Service Apartment 2008‐09IVRCL Gachibowli 135 Service Apartment Mid 2007IVRCL Gachibowli 135 Service Apartment Mid 2007The Manohar – Expansion Begumpet 160 Service Apartment 2008‐09
Demand Supply GapDemand Supply Gap
Anticipated Stock Anticipated D d
Anticipated S l
Demand Supply G ( b fAnticipated Stock
(number of Rooms) Demand(number of Rooms)
Supply(number of Rooms)
Gap (number of Rooms)
Current FY 06 2,064 7,335 286 4,985Projected FY 07 2,350 7,555 470 4,735Projected FY 08 2,820 7,933 1,633 3,480Projected FY 09 4,453 8,329 3,584 292
j dProjected FY 10 8,037 8,996 455 504Projected FY 11 8,492 9,715 980 243
A total of 7 408 new rooms with brand affiliation are being planned to be built from now through the year 2011 in 39 hotels acrossA total of 7,408 new rooms with brand affiliation are being planned to be built from now through the year 2011, in 39 hotels acrossstar categories. The Existing HICC and the upcoming international airport in Shamshabad, which is expected to be commissioned inearly 2008, will keep room occupancy rates high for five‐star hotels for in near future. Despite all the interest generated by mid‐marketand budget hotel development, around 53% of the development is still concentrated in the luxury and first class (Five‐star Deluxe andFive‐star) segment.
Future OutlookFuture Outlook
With an upcoming supply of over 8,000 rooms by 2012 there is a possibility of an over supply in the market. While onone hand, this is likely to increase the level of competition among the hotels, on the other hand, the surge in supply isexpected to reduce occupancy levels and ARRs with most of these hotels becoming operational in the next few years. Atp p y g p ypresent, many developers who had planned projects are now postponing construction activity due to the slowdown inthe market. Since the existing hotels would have an advantage in the market, the upcoming ones would need toformulate a new stratagem to compete and create a niche for them in the market.
With the recent terrorist attacks in Mumbai, the hospitality industry in Hyderabad has seen a considerable effect on itsbusiness. There has been an incremental cancellation of 15% seen in the week post the attacks and a decrease of 10% inthe occupancy rates.
Assuring you of the best servicesAssuring you of the best servicesAssuring you of the best servicesThanking youAssuring you of the best servicesThanking youThanking youThanking you
Helping execute your projectsHelping execute your projectsHelping execute your projectsHelping execute your projects