- CBRE: India’s listed hotels to add 70,000+ keys by 2030.
- Industry to grow from $24.6B in 2024 to $31B by 2029.
- Occupancy reached about 64 percent.
INDIA’S LISTED HOTEL operators are projected to add more than 70,000 keys by 2030 to capture growth potential, according to CBRE. The sector is transitioning from post-pandemic recovery to structural maturity, marked by disciplined expansion and pricing stability.
CBRE South Asia’s “India Alternate Sectors Outlook 2026” projects the industry’s market size to rise from about $24.6 billion in 2024 to about $31 billion by 2029. Domestic tourism is expected to drive this growth, with visits rising 40 percent year on year to 4.1 billion in 2025.
“The hospitality sector’s trajectory is a testament to India’s economic resilience, supported by rising disposable incomes and improved accessibility through large-scale infrastructure development,” said Anshuman Magazine, CBRE chairman and CEO for India, South-East Asia, Middle East and Africa. “As the industry accelerates its transition towards experience-driven travel and captures institutionalised demand across spiritual and cultural centres, we anticipate robust long-term expansion for the country’s hospitality ecosystem.”
The sector maintained growth momentum through 2025 despite year-end headwinds such as geopolitical tensions and aviation disruptions, the report said.
During the year, occupancy levels reached about 64 percent, supporting improved financial performance for operators. RevPAR rose 11 percent year on year, above the 9 percent growth recorded in 2024, while ADR increased 8.7 percent.
The 2025 supply pipeline shifted towards premiumisation, reflecting demand for luxury experiences. The upper midscale, upper upscale and upscale categories accounted for about 60 percent of new openings.
Since 2024, India’s hospitality sector has seen increased investment activity, with institutional players acquiring larger stakes. In 2025, total hotel deal value reached about $456 million, a 2.5 times year-on-year increase from $184 million in 2024.
A recent Agoda report found that India ranks third in Asia for prioritising sustainable travel, with 88 percent of Indian travellers considering sustainability when choosing travel options this year. The trend is expected to continue over the next three years as travellers focus on community benefits and nature preservation.
