Hotel Palacio has unveiled a Rs eight billion (bn) expansion roadmap to strengthen its footprint across the Northeast amid rising investor interest in the region’s tourism and business sectors. The company plans to develop 10 hotels over the next decade, with the Northeast remaining its primary growth market as it explores opportunities elsewhere in India. With the launch of the new property, Palacio Hospitality now operates three properties, two in Guwahati and one in Alipurduar. The move aligns with a shift of hospitality investment towards emerging regional cities.

The Guwahati property at Paltan Bazar opened this week and is expected to serve both transit and destination travellers owing to its central location. Poddar Group chairman Anup Poddar said the company sees the Northeast entering a new phase of economic and tourism growth and described the brand as one built in Assam that the group values. He cited rising aspirations, better connectivity and increasing demand for quality hospitality as drivers of the expansion.

The group’s next major Northeast project is the Hyatt Regency Gangtok, which is under development in Sikkim. Managing director and chief operating officer Ankit Poddar outlined a flexible expansion approach combining owned properties, lease models and hotel management agreements. He said the Rs eight bn roadmap reflects a long-term disciplined strategy and that the group will consider opportunities across India where alignment exists.

Industry observers said the announcement highlights the region’s rising importance as improved airports, highways and tourism circuits draw more visitors to cities such as Guwahati, Shillong and Gangtok and to emerging destinations in Arunachal Pradesh and Meghalaya. The Paltan Bazar hotel has 83 rooms, more than 6,000 sq ft of banquet space, conference facilities and a 7,000 sq ft rooftop venue targeted at corporate events and social gatherings. It includes the restaurant Omara developed with chef Vikey Ratnani and a cocktail bar cum listening room as part of a push towards experience-led hospitality. Founded in 2015, Hotel Palacio has become one of the few hospitality brands from Assam pursuing large-scale regional expansion.