Rituparna Chatterjee – Mumbai
A five-star luxury property, Resort Rio Goa is all set to expand in Goa by adding three properties to its portfolio in the coming years. The new additions will include a 60 room Rio Royale (phase two of Resort Rio Goa) to open by October 2015 in close proximity to the existing property, followed by a 25 room Rio Boutique in 2016, located four km away from Panaji and, a Rio Convention Centre in Mapusa, having 250 rooms and a capacity to host 1000-1500 pax. The development of the convention centre will start by 2016 and is expected to get completed in two-three years’ time. Moreover, the brand will also be foraying into Maharashtra with a property in Malvan, Sindhudurg. It will be spread over seven lakh sq m of land and is expected to be operational by 2020.
Speaking about this expansion, Tirthram Arondekar, chief financial officer, Resort Rio Goa stated, “We have purchased lands in Mapusa and Malvan, but their planning will take time since we are presently busy with the development of Rio Royale and Rio Boutique. We chose Mapusa for our convention centre since it has a centralised location and is close to the railway station. Companies coming with a budget can opt to host their conventions here.” An approximate investment of Rs 50 crore each have been made for the Rio Royale and Rio Boutique properties, added Arondekar.
Resort Rio Goa, the brainchild of London-based lawyer Anup Shah and also his maiden hospitality project, has been positioned as a MICE and wedding destination from the time it came into operation in 2010. “Our focus is on the wedding and MICE segments which contribute 50 per cent to our hotel revenue in any given month,” mentioned Anup Shah, managing director, Resort Rio Goa, adding that, they have been getting domestic and international travellers from markets like Mumbai, Gujarat, New Delhi, Europe, Russia, among others.
When asked about the Goa hospitality market, Shah opined, “There is massive competition in the market with many hotels being launched as well as international brands coming in. As a result, revenue is coming under pressure. Also with the charter business absolutely diabolical this year, the supply is outstripping demand. Despite this downturn, Resort Rio Goa has experienced 16 per cent growth in revenue over the year with profitability up by 50 per cent. This year we are targeting a growth in turnover of around 25 per cent.”