Interview: Ms. Taran Chhabra, Director of SKYE Hospitality, an end-to-end comprehensive Hospitality company

Interview: KYE Hospitality is set to reimagine Branded Residences in India

In our recent interview, we had the privilege of speaking with Ms. Taran Chhabra, Director of SKYE Hospitality. She offered valuable insights into the burgeoning market of branded residences in India and shared her vision for its future.

As SKYE Hospitality positions itself at the forefront of this evolving sector, Ms. Chhabra’s expertise sheds light on the transformative potential of branded residences and the company’s pivotal role in shaping this emerging market.

Branded Residences are gaining footprint in India as a premium lifestyle asset? What do you think are the key growth drivers?

Taran Chhabra: India has witnessed a remarkable surge in Ultra High Net Worth Individuals (UHNIs) and High Net Worth Individuals (HNIs) since the 1990s.

This emerging cohort of affluent individuals, comprising self-made entrepreneurs, family business owners, CXOs, and media luminaries, has developed a refined taste for premium lifestyle assets.

Their extensive travel and exposure to global cultures have instilled a desire for experiential and lifestyle-driven living, mirroring the preferences of their peers in Europe, the Americas, Oceania, and the Asia-Pacific region.

These discerning individuals are willing to pay a premium for residences that offer a harmonious balance of health and wellness, community, and comfort.

Branded Residences have emerged as a preferred choice, providing not only luxurious amenities but also ample space for relaxation, networking, and personal growth.

These bespoke living spaces offer an aspirational lifestyle that transcends mere opulence, instead focusing on rich experiences, exclusivity, and curated services.

Key growth drivers for Branded Residences in India include:

• Rising demand for experiential living
• Increasing willingness to pay premium prices for luxury assets
• Growing emphasis on health and wellness
• Desire for community-driven living
• Aspirational lifestyle seeking exclusivity and curated experiences

How do you think the Branded Residence(s) differ from other premium properties in the country? Is it okay to say they are subclass of luxury living in India?

Taran Chhabra: Branded Residences diverge from other premium properties in India, forming a distinct niche segment. They are empowered by the presence of a reputable brand, either from hospitality or non-hospitality sectors, such as fashion, lifestyle, or apparel companies.

This brand association brings significant social value, ensures timely project delivery, and guarantees adherence to brand guidelines.

Brands conduct thorough due diligence before partnering with developers, providing valuable inputs on design, fitouts, and interiors. Branded Residences offer an unparalleled array of amenities and services, including:

• Valet parking and concierge services
• State-of-the-art techno gyms and wellness centers
• In-house hospitality and pet care
• Exclusive wine cellars, modern libraries, and cigar lounges
• Meeting rooms and other luxury features

Furthermore, Branded Residences are typically priced higher than their luxury counterparts, offering potential for greater capital returns and rental yields.

This unique combination of brand reputation, premium amenities, and investment potential sets Branded Residences apart from other luxury properties in India.

Currently what is the size of the Branded Residence market in India? Which all brands are active in the space?

Taran Chhabra: As per our research, the Indian Branded Residence Market currently stands at an estimated INR 27,000 crores, comprising a total inventory of 2,900 units (both delivered and in the pipeline). This represents approximately 10% of the market share.

The sector is experiencing robust growth, with an average ticket size of INR 9-10 crores. Moreover, there exists a viable opportunity for the market to expand into lower price segments (INR 6-7 crores), rendering it relatively more affordable compared to international markets such as Europe, the Americas, and Thailand.

In terms of active brands, several hospitality giants are present in the space, including Four Seasons, Oberoi, IHCL, Marriott, and others.

Additionally, key players like Atmosphere Core and Wyndham are poised to announce their projects shortly. On the non-hospitality front, prominent brands like Yoo, Versace, and Trump Towers are already active in the market.

How SKYE plays a pivotal role in the Branded Residence ecosystems?

Taran Chhabra: SKYE plays a vital role in the branded residence ecosystem by facilitating a synergistic convergence of brands, developers, and investors. Our unique value proposition lies in providing a comprehensive platform that nurtures connections, fosters collaborations, and drives growth.

Leveraging our expertise in real estate and hospitality, we offer end-to-end support across the value chain, from initial feasibility assessments to strategic matchmaking between brands and developers. Our services encompass:

• Due diligence and risk assessment
• Strategic analysis and market research
• Development assistance and project planning
• Vendor identification and procurement
• Project management and execution oversight

By streamlining these processes, SKYE enables its partners to navigate the complexities of branded residence development with ease, ensuring successful project delivery and long-term sustainability.

Can you let us know about some of the successful projects that you have executed?

Taran Chhabra: We have recently facilitated a deal between Westin group and Whiteland developers. The project named Westin Residences will be located at Dwarka Expressway, Gurgaon. in sec-103.

Spread across a sprawling 20-acre land parcel, it will be strategically located with just 15 mins drive from the CBDs of Gurugram.

It will also be conveniently placed with residential areas of South and West Delhi alongside IGI airport, international convention centre, new diplomatic enclave, etc.

The total cost of the project is INR 5600 crores, which includes a construction cost of around INR 5000 crores.

The remaining is the land cost. The total topline of the project is tentatively around INR 15,000 crores. Westin Residences will deliver close to 1600-1800 units in cumulative terms.

Likewise, we are also working on multiple high-ticket size projects across the length and breadth of India. At the opportune time, we will brief the media about the same.

What advice you will like to give to new developers who would like to explore opportunities in Branded Residence Space in India?

Taran Chhabra: To excel in the branded residence space in India, developers should conduct thorough research and execute strategic partnerships.

Firstly, collaborate with a reputable brand, either hospitality or non-hospitality, ensuring symbiotic alignment and shared vision for delivering exceptional value and disrupting the market with innovative offerings.

Secondly, assemble a cohesive team of associates, including consultants, designers, and market research agencies, to work in tandem towards a unified goal.

Thirdly, focus on differentiation by investing in meticulous planning, curated amenities, and exceptional landscaping to surpass competitors.

Throughout this process, leverage guidance from brand partners and consulting associates, who possess industry expertise and can provide invaluable insights to drive success.

Ms. Taran Chhabra’s perspectives on branded residences highlight a promising future for this niche in India’s real estate landscape. With SKYE Hospitality at the helm, driving innovation and quality, the sector is poised for significant growth.

Her insights underscore the dynamic nature of the market and SKYE Hospitality’s critical role in setting new standards and expanding possibilities in branded living solutions.

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