A mark of prestige

At a time when a number of real estate players are making their entry into the hospitality sector, Prestige Group has already made its mark with its Prestige Leisure Resorts. Nawabzada Omer Bin Jung, its MD, shares his vision for the company and the industry. By Gayatri Vijaykumar

Nawabzada Omer Bin Jung Managing director Prestige Leisure Resorts

The hospitality sector is the next best area to diversify for real estate companies and Bengaluru-based Prestige Group did just that with its hospitality division Prestige Leisure Resorts that made its foray with the launch of Angsana Oasis Spa & Resorts - a tie-up with the Singapore-based Banyan Tree Hotels & Resorts.

Speaking about Prestige Leisure Resorts, Nawabzada Omer Bin Jung says, "We aim to set up and own properties that are unique and modern in design and international in their experience. We would like to be recognised as leaders in all products and properties we undertake. We would like to be known as owners of properties that are modern visually and in design, technologically advanced and still maintain the essence of India in the personal experience they provide."

According to Bin Jung, the hospitality division is looking at working with the best operators suited for a particular location and positioning in order to set up international projects. Nevertheless, Prestige Leisure Resorts has a number of projects in the pipeline - the Marriott Golf Resort & Convention Centre in Bengaluru, Bangalore Hilton with the Hilton Group, and the Oakwood Premier Prestige that will mark its entry into the service apartment segment.

It is also seriously looking at mixed use in other cities which it plans to integrate with its mall and retail development. "This seems like the logical transition for us as we can feed off hospitality projects of a shared infrastructure, thereby providing us economies of scale as well as cost and energy-efficient properties," explains Bin Jung.

Vision for the industry

Bin Jung feels that growth in the hospitality sector would be in excess of India's GDP. He also expects that with the increased focus on India by leading hotel chains, more modern and state of art properties with an international essence will come up. "With the increased room inventory a more realistic and mature market will evolve - one that is not as highly monopolistic and one where the customer has a rational choice as opposed to the Hobson's choice they have today in choosing a hotel room. It is either an expensive room or a more expensive room," prophecies Bin Jung.

The hospitality industry will also be witnessing stringent energy and pollution norms and according to Bin Jung, properties will have to invest in and plan for greener technologies. He adds that compliance with international regulations such as HACCP, plastic and waste disposal and use of natural energies like solar will become the order of the day. "Technology will improve tremendously and with increased connectivity - both over land and via satellite - internet-based bookings and online sales will increase manifold in the next decade or so," predicts Bin Jung. According to him, IP TV will play an increasingly larger role in the guest convenience and experience.

So what are the trends that Bin Jung sees emerging by 2020? "I feel that there will be an increase in standardisation of properties, especially those managed by large hospitality chains coupled with an increased spending on external visual impact of properties making them more prominent and eye-catching." He sees a paradigm shift towards increased focus on the sense of arrival and guest experience, both at check-in and check-out. "There will be a larger focus on the non-traditional revenue generation such as F&B, spa, recreation, etc. There will also be an increase in smaller boutique properties which will maximise built space on much smaller land areas," forecasts Bin Jung.

India, with its diverse offerings, has the potential to become a larger tourism attractor at a national level, feels Bin Jung. "We have all the ingredients to become one of the largest tourism destinations in the world with the size, regional diversity, history, natural landscape, culture and inherent hospitable citizens. We should work towards leveraging this to the maximum and provide a platform that will fuel an increase the number of foreign and domestic travellers," states Bin Jung. His vision is to be able to provide a hospitality product, international both in its construction and experience that is financially viable at all levels of room rates. "We should be able to provide products which cater to all ranges be it a B&B, resort spa, city hotel or a luxury product. We have to provide services at rates that are realistic and provide value for money," advices Bin Jung.

He feels that the industry can achieve this vision by being conscious, ethical, transparent and united as an industry. According to him, it is necessary to enlighten the industry that the properties set up, and the vision propagated is realistic, rewarding and both socially and financially viable. "We have proven this by setting up the first spa resort in India the Angsana Oasis Spa & Resort in Bengaluru and being the first to have brought in a group like the Banyan Tree Hotels & Resorts, Singapore," concludes Bin Jung.