There is pampered living, and then there are branded residences. A label that itself is a legacy, topped with all the frills of hotel living, but for life. That is the lure of branded residences, a category that is drawing the attention of hotel chains in the country.
It is ironic, considering how much of a boom—and expansion—that almost all of India’s leading hotel chains are experiencing right now. But they all have a finger on the pulse on what could be the next big wave: that of branded residences.
For example, ITC Hotels managing director Anil Chadha told THE WEEK that “the company has been actively evaluating opportunities in both standalone residential developments, as well as integrated mixed-use projects in India as part of its broader asset-right growth strategy.”
ITC tested the waters with Sapphire Residences in the neighbouring country of Sri Lanka, where it had opened the luxury property ITC Ratnadipa along with Sapphire as a branded residences complex on the Galle Seaface in the capital Colombo in recent years. Obviously, it is now hoping to replicate the same back home in India, as well.
Others are already off the block. The Marriott Group’s Four Seasons is generally considered the first in the spate of branded residences from hospitality chains, having launched branded residences along with the first Four Seasons hotel property in the country at Worli in Mumbai in the mid-2010s.
But the Taj Group caught up and streaked ahead fast enough, with its Wellington Mews in Mumbai and Chennai (there is one in the UAE as well). Leela’s residences in Bengaluru and Gurugram all stand testimony to how adding a trusted hospitality partner can work wonders to what is otherwise essentially a real estate project. Its next is said to be a pure-play residential project in West Delhi, in partnership with the Rahejas, as well as a mix of studio and penthouse options in Bengaluru in a tie-up with another realty developer.
The Wyndham Group, one of the world’s leading hotel groups with brands like Ramada and Wyndham Grand under its wings, is also looking at the category with gusto. Its President (EMEA) Dimitris Manikis, who was on a visit to India last week, said the group was set to launch its first branded residence property by the end of the year.
“Branded residences are the fastest growing segment in the hospitality sector,” he said.
The attraction stems from the trustworthiness and brand value that a hospitality major brings in, added with the plush promise of five-star living—not as an interlude during a business trip or a vacation, but as a standard.
While premium residential managed properties are present in major Indian realty spots and some big brands did walk in earlier with co-branded apartment projects with the ‘designer’ tag—Pune’s Yoo Pune (tie-up with Yoo and the designer Philippe Starck) as well as the Trump Residences (also in Pune), hotel chains have been able to add an additional dimension of a 'taken-care-of lifestyle’ to the whole premise.
And that has become a defining factor. As Akshay Shetty, research analyst with Mirae Asset Sharekhan, a well-known full service wealth management firm, said:
“Branded residences are gaining traction in India as affluent buyers increasingly look for a combination of luxury housing, professional management and high-quality services, along with the trust that comes with a big brand.”
“We expect this segment to remain a niche but fast-growing part of the premium/luxury residential market,” he added.
