Battle for Taj Mansingh is over
Finally Tata retained the five star property for another 33 years. It is paying nearly the double amount of INR 7 crores per month as…
Finally Tata retained the five star property for another 33 years. It is paying nearly the double amount of INR 7 crores per month as lease fees.
Tta Quick recap:
It started the hotel in 1978. It was on a 33 year lease.
Lease ended in 2011. While NDMC auctioned the property, Tata’s objected, as originally the land belonged to them.
Taj group earns INR 200 crore approx from the property. Now nearly 30% of the revenue will go as fees.
Why did Taj not let it go?
Vir Sanghvi writes that it was Taj Mansingh that established Taj as a national chain.
Before Taj Mansingh Oberoi’s and Ashoka were the two premium destinations.
After Taj Mansingh opened it beat Oberoi’s with its emphasis on food and hospitality. Oberoi’s is back, and better than Taj.
Two stalwarts of Indian hospitality Ajit Kerkar and Camilia Punjabi did not just establish Taj as a chain, they also established India as destination for the world travelers.
Palace tourism for Rajasthan, God’s Own Country did for Kerala and Fort Agoda for Goa are Taj’s gift to India. Also, India is the only developing nation, where home grown hospitality sector is better than the international chains.
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