Why developers and hotel chains see opportunity in projects blending hospitality standards with luxury

In real estate, what comes after luxury? Developers, investors, and affluent homebuyers, as if answering this very question, are shaping a new category in India—Branded Residences. Here, hotel operators lend their names, management, and design ethos to high-end apartments. These are now popping up across India’s wealthiest cities and leisure destinations.

The ‘Landscape of Branded Residences Report 2024’ by hospitality focused research and advisory firm NOESIS Capital Advisors defines the segment as mixed-use developments where residential apartments are sold alongside a hotel with both jointly branded and managed. These residences are designed with hotel-like service standards, while still retaining layouts expected in a home—kitchens, multiple bathrooms, and living spaces adapted to Indian preferences. The promise? A blend of exclusivity and prestige, attributes that resonate with India’s expanding class of high-net-worth individuals (HNIs).

During the Covid-19 pandemic,India’s wealthy sought larger homes, second residences, and premium amenities, as global travel was restricted. This demand surge lifted luxury property prices and emboldened developers to consider branded residences, often in partnership with established hotel chains. For investors, the segment combined two trusted asset classes: real estate and hospitality. The formula—properties backed by the credibility of a Taj, a Marriott, or a Radisson—made the product both aspirational and relatively secure.

Though still at an early stage, activity is picking up in Mumbai, Bengaluru, Delhi-NCR, and Hyderabad. Delhi is home to the largest number of branded residence units with a supply of 915, including two projects that are in the pipeline. This is followed by Mumbai and Pune, home to 672 and 684 units respectively. Ahmedabad, Trivandrum, Goa, Pune, Kolkata, and Chennai are debuting this concept.

Lobally, branded residences are a tested model. There are more than 105,000 units across 750 projects worldwide. Hotel operators account for 80% share. The rest are with non-hotel brands such as Trump Towers, YOO, Versace, etc. India currently holds about 3% share, or about 2,900 units, and by 2027 the number of projects is expected to rise nearly 60% (to 1,200) according to NOESIS.

India’s price premiums, 21–40% above comparable non-branded luxury apartments, are modest relative to markets like Dubai or Miami, where premiums of 50% or more are not uncommon. This suggests headroom for growth with deepening consumer awareness. For brands, the pitch is simple: consistent service, standardised quality, and prestige. For buyers, these projects serve as markers of wealth, investment vehicles, and lifestyle choices.

Hotel groups have been quick to spot this opportunity. Marriott International, ITC Hotels, Taj, and Radisson Hotel Group are all pursuing tie-ups. Each brings global experience in mixed-use developments, but strategies differ.

The Tata-owned Indian Hotels Company Limited (IHCL) is developing a mixed-use complex in Chennai. Spread across 3.5 acres, it will House a 235-room Taj hotel and 123 branded residences.

Four Seasons debuted in Bengaluru with Embassy One, a 109-unit project that became ready in 2020. It’s new project in Mumbai—Four Seasons Private Residences Mumbai—in collaboration with Indian real estate firm Provenance Land, has 41 residences, including full-floor three-bedroom homes and five-to-six-bedroom duplexes. Located in the heart of the upscale Worli district, the 64-storey tower is already 80% sold. As per real estate retail site Magic Bricks, the price of flats ranges between Rs 23.81 crore and Rs 55.74 crore.

TC hotels is weighing whether its boutique label Storii could anchor villa projects, while also considering opportunities in its Welcomhotel brand. Marriott International, too, is exploring branded residences—from St. Regis and Ritz-Carlton to Westin and Sheraton.

The first of this is Westin Residences Gurugram, developed by Whiteland Corporation. Slated for completion in 2031, it is expected to be the largest Westin-branded residential project in the world. Units start at Rs 6.5 crore and pre-sales have been brisk. Penny Trinh, Vice President, Mixed-Use Development, Marriott International, Asia Pacific (Excluding China), described Westin Residences Gurugram as a model project: designed around Westin’s “Six Pillars of Well-being,” with sustainable architecture and 24/7 hospitality services. “As a valuable brand extension across all luxury and premium brands, branded residences open opportunities for Marriott to generate meaningful unit growth,” says Trinh.

In India, Marriott has even assembled a team focused solely on expanding its branded residences portfolio. Target markets include the NCR, Mumbai, Bengaluru, Hyderabad, and Chennai, along with leisure hubs such as Goa and Udaipur.

Radisson Hotel Group is positioning itself in leisure and secondary markets, considering projects in Jaipur, Goa, and Tier I cities. With experience in branded residences in Istanbul and Dubai, the group intends to replicate similar models through Radisson Blu and Radisson Collection.

Minor Hotels, owner of the Avani and Anantara chains, has also joined the fray. Its first project in Visakhapatnam, the Avani+ Sunray Beach Visakhapatnam Resort, will combine 117 hotel rooms with 58 branded villas, slated for completion by 2028.

“Our approach to branded residences is to seamlessly integrate hospitality and residential offerings, providing elevated living experiences backed by the strength of our global brands.

As India’s luxury market matures, we believe branded residences will become a key driver of value and differentiation,” says Dillip Rajakarier, Group Chief Executive Officer of Minor International.

Economically, the logic is simple. “Branded residences can serve as a powerful tool for accelerating ROI in hospitality projects and, in some cases, even support funding of the overall development,” says a spokesperson of Hotelivate, a hospitality consulting firm. In saturated residential markets such as Delhi NCR and Mumbai, the added value or premium from hospitality branding is still being tested. However, in leisure destinations, with a lack of luxury developments, the premium achievable on branded holiday homes can be significant, he adds.

Brands enjoy asset-light growth: licensing their name and expertise without large capital outlays. Buyers receive homes linked to a globally recognised name, along with property management services and resale advantages.

“For developers, these projects differentiate them in an increasingly crowded luxury market,” says Akash Datta, Managing Director (South Asia) at HVS ANAROCK. “For hotel brands, it opens lucrative revenue streams while building deeper engagement with customers beyond their hotels.”

Underlying the expansion is a demographic shift. Rising affluence, combined with globalised tastes and brand consciousness, is pushing Indian buyers toward projects that offer not just square footage, but an entire lifestyle. According to Knight Frank, India’s HNI population, estimated at 85,698 in 2024 is expected to rise to 93,753 by 2028.

Developers and operators say today’s buyers seek wellness amenities, sustainable design, and expansive living spaces. Dedicated concierge services, private clubs, sky lounges, and gourmet dining are now considered standard features. For non-resident Indians, branded residences also serve as a reliable investment and a foothold in India’s luxury market.

@smitabw