Gurgaon hotel plot goes for Rs 255.2 cr

The expected demand of at least 10,000 hotel rooms in the National Capital Region (NCR) during the Commonwealth Games in 2010 has boosted the price of hotel sites in the region, and Gurgaon seems to be already upbeat. In an unprecedented development, the Haryana Urban Development Authority (HUDA) sold a five-acre plot for a five-star hotel in Sector-47 for Rs 255.2 crore. The authority had withdrawn the sale of the same plot pegged at Rs 220 crore on December 15, 2007.

Gurgaon is a hot destination since it's close to Delhi and particularly so for its proximity to the international airport.HUDA has also decided to auction at least one large hotel plot every month for the next six months. Its administrator SP Gupta, said, "We are aware of the increased demand of rooms in the NCR and will auction at least one hotel plot every month so that rooms are in place by 2010." The Millennium Plaza of the Eros Group bought the hotel site to create more than 400 rooms before the Commonwealth Games. "During the last auction, this hotel site fetched only Rs 220 crore which was not accepted as we expected the bidding to go up to Rs 250 crore. Now we have sold it at a much higher price. We put enough efforts to ensure that top developers participated in the auction," said Gupta.

The auction proved how Gurgaon is emerging as one of the favourite destinations for hotel chains, Gupta said. Avneesh Sood, director of Eros Group, which owns hotels such as Shangri-la, Park Royal, Crowne Plaza in Delhi and another upcoming hotel in Faridabad, Crowne Plaza, said, "We have a target to complete the project before the Games. Gurgaon is a hot destination since it's close to Delhi and particularly so for its proximity to the international airport." He added that the group will invest almost half the amount of auction price for construction of the hotel.
In total, auction for 11 sites in Sector-5, 7-extn, 10A, 21, 55, 56, 47 and 9A was held, which included the hotel site.