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Hotel for Sale in Indore, India

Acquire profitable Indore-based 4-star hotel with premium amenities, 40,000 sq. ft. land, and 94 rooms.
This transaction has concluded.
This Business is on a Premium Plan
Established 1-5 year(s)
Employees 100 - 500
Legal Entity Sole Proprietorship/Sole Trader
Reported Sales USD 1 - 2 million
Run Rate Sales USD 2.06 million
EBITDA Margin 40 %
Industries Hotels
Locations  Indore
Local Time 1:00 AM Asia / Kolkata
Listed By Business Owner / Director
Status Active
Overall Rating
Full Sale
Asking Price: USD 12.2 million (Native Currency: INR 1,070,000,000)
Reason: The reason for the sale is that the owner is exploring new opportunities in real estate investments.... View More
Includes physical assets worth USD 9.1 million
Interested to connect with advisors
Documents
GST Certificate
Business Overview
Franchised and flagged: The hotel operates under a leading hospitality brand, ensuring high standards and a strong global reputation. They charge 7%-8% of the revenue as a commission for managing the hotel.
Accommodation: Features 100 contemporary rooms designed for modern travellers, offering premium comfort and amenities.
Facilities: Includes an all-day dining restaurant, bar, rooftop pool, wellness centre, business lounge, and event spaces.
Prime Location: Strategically located in a bustling commercial hub, ensuring accessibility for business and leisure travellers alike.
Revenue model: Generates income through room bookings, dining services, event hosting, and wellness offerings, catering to a diverse clientele.
Promoter expertise: Operated by seasoned hospitality professionals with proven success in managing high-quality properties.
Business relationships: Benefits from being part of a global franchise, accessing advanced systems, marketing support, and a worldwide network.
Local contribution: Provides over 100 jobs, promoting economic growth and development in the region.
Recognition: Known for its excellent service and modern design, reflecting the standards of its global parent brand.
Products & Services Overview
The hotel's top-selling offerings include luxury accommodations for tourists and business travellers, banquet and conference facilities for events, fine dining and in-room services for guests, and travel packages for tourists. These are tailored to meet diverse customer needs, driving consistent revenue and customer satisfaction.
Assets Overview
Tangible assets the buyer would get:
Land worth INR 40 crore.
The property is built on a plot of approximately 40,000 square feet, owned outright under a single name.
Fully constructed hotel building worth INR 38 crore:
8 floors, including a basement, with a total built-up area of around 55,000 square feet.
Rooms and infrastructure.
94 rooms (currently operational) with the potential to add 45 more rooms in a new wing, subject to ready permissions.
All rooms are furnished with modern interiors and fixtures.
Interior and fit-outs.
Fully furnished and equipped rooms, lobby, restaurant, bar, business lounge, meeting and event spaces, and wellness facilities.
High-quality furnishings, decor, and fittings throughout the property.
Operational amenities.
Restaurant and bar facilities, kitchen, equipment, and service areas.
Conference and banquet facilities with necessary furnishings and equipment.
Wellness centre, rooftop pool, and fitness centre.
All operational assets such as elevators, HVAC systems, and plumbing.
Parking Facility.
Available parking spaces for guests and staff.
Intangible assets the buyer would get:
Brand and Trademarks.
The hotel’s brand identity, including trademarks, logos, and marketing materials associated with the property’s reputation.
Hotel licenses and permits.
All licenses, permits, and approvals for operating the hotel, including health and safety certifications, liquor licenses, and business operating licenses.
Customer relationships and database.
Access to existing customer relationships, loyalty programs, and client databases, which may include repeat guests and corporate contracts.
Operational know-how.
Proprietary operational procedures, staff training, and service standards have been developed to run the hotel efficiently.
Vendor and supplier contracts.
Established business relationships with suppliers for linens, food and beverages, maintenance, etc. , as well as any existing service agreements.
Marketing and online presence.
Established digital presence, including websites, social media profiles, and online booking systems.
These tangible and intangible assets would provide the buyer with not only a fully functional hotel but also all the essential elements for seamless operations and potential for growth.
The hotel offers a ready excellent Gross Operating Profit (GOP) annually, making it a plug-and-play business. This means that the buyer can immediately start benefiting from the established operations, revenue stream, and systems in place, with minimal transition effort required. The hotel’s current operational structure, combined with its assets and client base, ensures continued profitability and growth potential without significant restructuring or delays.
Facilities Overview
Total number of floors: 8 (including basement), offering ample space for various facilities.
Room capacity: Currently 94 rooms with the potential to add 45 more in a new wing, providing room for future growth and increased revenue.
Built-up area: 55,000 square feet, ensuring a spacious environment for guest services, dining, events, and amenities.
Plot area: Approximately 40,000 square feet, providing a solid foundation for current and future developments.
Ownership: The property is fully owned under a single name, ensuring clear legal title and control.
Facilities: Includes dining services, meeting/event spaces, a wellness centre, a rooftop pool, and a business lounge.
Location: Strategically located in a prime area of the city, ensuring ease of access for both business and leisure travellers.
Development potential: With the permissions in place for a new wing, there's potential for significant expansion to meet growing market demand.
Revenue streams: Income is generated from room bookings, restaurant and bar services, event hosting, and additional amenities like wellness and recreation.
These details highlight the hotel's current capacity and its potential for expansion, making it an attractive investment opportunity.
Capitalization Overview
The business is currently funded through a combination of owner equity and external financing.
Ownership structure: The hotel is fully owned by a single owner, with no external shareholders or partners involved.
Funding source: The business has been partially funded through a loan from a nationalized bank, which has been utilized for operational setup and property development.
Debts/loans outstanding: There is an outstanding loan from the nationalized bank, the details of which can be provided upon request, including repayment schedules and terms. The loan has been secured against the property and is being serviced as per agreed terms.
This structure enables the business to maintain full ownership control while leveraging external funding for growth and operational needs.
Recent Activity
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This transaction has concluded. View similar business opportunities on SMERGERS
Disclaimer: SMERGERS is a regulated marketplace for connecting business sell sides with investors, buyers, lenders and advisors. Neither SMERGERS represents nor guarantees that the information mentioned above is complete or correct.
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