By Dinesh Yadav, Founder and Managing Director of Fine Acers
Q1: Why are branded resorts in India becoming such a sort after investment opportunity right now?
A: The branded resorts on sales leaseback model have become one of the most attractive investment options in India now. The reason is mainly the strong growth in the hospitality sector. The occupancy rates have rebounded to about 68% in 2024 and are expected to reach 70% by 2025 while the Average Daily Rates (ADR) and Revenue Per Available Room (RevPAR) have been improving steadily. The luxury and resort segment has been the major driver of this scenario — the luxury hotel market in India is estimated to be around USD 3.64 billion by 2025 and then to grow at a rapid CAGR of 11.5% reaching USD 6.27 billion by 2030. The main source of this boom is not only the international tourists but also the increased number of domestic high-spending travelers, who are in search of the new experiences and the places to unwind.
With the emergence of tier 2 and tier 3 cities as the Indian market is going to see 100,000 new branded resorts / residences in the next 5 years — a whopping 58% hike which speaks of the confidence of the investors in this segment.
Q2: How has 2025 shaped up for the hospitality/resort investment space in India, and what are the indicators you’re watching?
A: According to industry sources, India’s hospitality sector is expected to attract around USD 1 billion by 2028, up from ~USD 340 million in hotel transactions in the prior year. The Performance recovery: Key metrics such as Occupancy, ADR, RevPAR are all recovering strongly. For example, in FY2024 occupancy was ~68% and ADR USD 97; in FY2025 forecasts point to ADR ~USD 109, RevPAR ~USD 76.
The key indicators we watch include: brand affiliation strength, location/tourism catchment (especially for resorts), operational contracts (lease/share), projected cash-flow yield, projected appreciation, and exit/liquidity potential.
Q3: Why would an investor choose your branded resort model (Fine Acers) instead of traditional real estate or hotel investment? What makes it different?
A: This is a question we often hear, and it strikes right at the heart of our proposition. Traditional real estate (residential, commercial) has its place but branded resort on sales leaseback model assets offer several compelling advantages: leisure demand tailwinds, brand-driven premium pricing, global travel and luxury trends moving in India’s favour, and growing awareness of stay-experiences rather than just owning space.
Independent hotels or resorts carry higher operational risk (management, marketing, brand building, asset maintenance). In our model you get the benefit of a recognized brand, professional management, structured investment terms, and less hands-on overseeing running of resorts.One of our core missions at Fine Acers is to enable “retail investors” to participate. That means breaking the traditional barrier of “only large institutional or HNI investors” being able to invest in branded resorts. We provide structured stake/investment models, so more people can participate without taking full operational risk.
For an investor who wants exposure to luxury/resort hospitality, but wants mitigated risk, professional structure, brand advantage and access (even with modest ticket size) — our model offers a strong alternative. And given India’s hospitality trajectory, the timing is favourable.
Q4: What does the “low-risk return value” mean in your model, and how is Fine Acers making branded resorts accessible to common investors?
A: Accessibility and risk-mitigation is core to our proposition at Fine Acers. Here’s how we articulate it and how we operationalize it. Risk mitigation via Hotel and Resort professional operators, rather than an investor owning and managing an independent resort (which involves higher operational risk, management complexity, uncertain marketing, etc.), we partner with reputable brands and operators. That means much of the operational risk is managed by the brand/expert operator, and our investors benefit from that. At Fine Acers, we structure opportunities where smaller ticket investors (what you referred to as “commoners”) can own or stake into high-quality branded resort assets, rather than only large institutional money. This opens up the luxury hospitality investment space to a broader base. Our contracts typically define clear revenue share, lease or operating-profit share, fixed returns or minimum protections (depending on project), which helps yield projection and lowers downside exposure. Also branded resort assets tend to attract better resale markets and value appreciation (thanks to strong demand + brand premium), the “return value” side is meaningful.
So when we say “low-risk return value”, we mean, professional operations via brands, structured revenue mechanisms, entry into a growing segment, and visibility on value-appreciation — all of which combine to make the investment less speculative than an unmanaged asset.
Q5: How has 2025 shaped up for the hospitality/resort investment space in India, and what are the indicators you’re watching?
A: According to industry sources, India’s hospitality sector is expected to attract around USD 1 billion by 2028, up from ~USD 340 million in hotel transactions in the prior year. The Performance recovery: Key metrics such as Occupancy, ADR and RevPAR are all recovering strongly. For example, in FY2024 occupancy was ~68% and ADR USD 97; in FY2025 forecasts point to ADR ~USD 109, RevPAR ~USD 76.
The key indicators we watch include: brand affiliation strength, location/tourism catchment (especially for resorts), operational contracts (lease/share), projected cash-flow yield, projected appreciation, and exit/liquidity potential.
