Report: India’s hospitality sector to attract $1B by 2028
India’s hospitality industry is expected to attract $1 billion in investments by 2028, up from $340 million in hotel transactions last year, according to JLL India. RevPAR rose 16.3 percent from January to March compared to the same period last year. It also rose 8 percent from the fourth quarter of 2024.
“The pipeline of 79 new hotel signings, representing 9,478 keys this quarter, reflects investor confidence in India’s hospitality fundamentals,” said Jaideep Dang, JLL India’s managing director for hotels and hospitality group. “With JLL projecting $1 billion in investments by 2028, we are seeing a market shift that balances short-term performance gains with strategic long-term positioning across all tiers and segments. This growth follows $340 million in hotel transactions last year.”
The report showed Bengaluru led with 38.3 percent year-on-year RevPAR growth, driven by the Aero India 2025 event, which boosted occupancy and ADR, JLL said. Delhi and Mumbai followed with RevPAR growth of 26.2 percent and 21.3 percent, supported by occupancy levels.
Chennai recorded 18.7 percent RevPAR growth, driven by increased corporate travel, the Annual Leather Fair, and the USICON event at Chennai Trade Centre. Hyderabad posted 15.1 percent RevPAR growth despite a slight occupancy decline, showing strength in rate growth.