Newstrack

Claridges, Mandarin Oriental to join hands

Savio Rodrigues - Mumbai

The Nandas' owned Claridges Hotels & Resorts (CHR) is close to finalising its business alliance with the Hong Kong based Mandarin Oriental. This step is expected to end the months of speculation that have been doing the rounds of the industry.

Though non-committal on the finalisation of the arrangement, Sanjeev Nanda, managing director, CHR, did say, "We are in close talks with Mandarin Oriental." However, he also added that the group is in talks with other hotel companies as well.

Neverthless, a top management official from the company revealed that the group has indeed reached the closing stages of its negotiations with Mandarin Oriental, and it is just a matter of time for the Mumbai property to bear its brand name. Sources also informed that Claridges is also keen to extend its new formed relationship with the southeast Asian hotel group to its other properties as well. However, nothing has been finalised.

The expansion plan of the Claridges group is moving into top gear, from two anchor properties in New Delhi and Mumbai, to more properties across India. It is actively considering properties in Bangalore and other locations for future expansion. Speaking on the Hotel Searock, Nanda further added, "Our vision is to relaunch Hotel Sea Rock as a landmark luxury hotel, which also substantially expands our footprint."

The settlement on the disputed property was arrived at recently, after both The Claridges Hotels & Resorts and Vikas Oberoi owned Skydeck Properties jointly filed consent terms at the Mumbai High Court, with CHR having an option to buy the remaining 30 per cent stake or sell its current 70 per cent. Hotel Sea Rock was valued at Rs 450 crore, following which, Claridges bought out the Skydeck share for Rs 135 crore to acquire the property.