The Onnet Group of Hotels, owned by Regent Resorts & Properties, is targeting the four star hotel segments in a bid to attract business travellers. The company, which is run by the Parikh and Taunk families, has added a 67-room hotel in Kolkata its second property after setting up a 69 room property at Jamshedpur.

Built at a cost of Rs 30 crore, the Sonnet Group management is confident that its four star properties will continue to attract business travellers as they offer value both in terms of comforts and pricing. While five-star hotels in India are on par with their global counter parts, there is a near absence of internationally acceptable four star hotels.

This applies to major metros. Today, travellers have become value conscious and demand upscale rooms but at a cost that is not five star. We feel there is huge scope for four-star properties, Ravi B Parikh, director, Regent Resorts & Properties told FC Estate.

According to the tourism ministry checklist, four star as well as five-star hotels share many similarities when it comes to air conditioning requirements, speciality restaurants and 24-hour room service. However, there is at least a 10-30 per cent difference between tariffs of a four-star and a five-star hotel in major cities towns.

This is because five-star hotels have a higher percentage for skilled staff, supervisory staff, biggers rooms and bathrooms, swimming pool and conference facilities. The Sonnet Kolkata has all- day multi-cuisine restaurant, a plush lobby lounge and bar, a gym and open-air Jacuzzi and pool to address the needs of business travellers.

The Sonnet Kolkata has a business centre offering services such as secretarial support, office infrastructure cars on hire as well as banquet facilities for up to 350 guests. The two hotels at Jamshedpur and Kolkata are located near potential business districts, said Parikh. Officials said the daily rack-rate is Rs 7,500 plus taxes for a standard room and Rs 10,000 plus taxes for a suite.

While its Jamshedpur property was built to tap business from Tata Steel cold rolling mill unit, the Kolkata hotel is situated at Salt Lake, near the Rajarhat business hub. It is a 25-minute drive from the airport. Parikh feels his new property will do well, especially with corporates who require bulk bookings. The company expects the demand to come from telecom, infotech and steel sectors.

The minimalist approach for Sonnet Kolkata was guided by architect interiors specialist Vinoo Chadha of Design Cell. For the new project, Sonnet Group believes, an occupancy level of 55-60 per cent would see the project achieve break even in the next 4-5 years.

The hotel company is also exploring management contract option for other hotels in the Eastern region. Parikh said the company would expand in locations that it is comfortable and where the economics of hospitality is compelling as land cost in metros elongates the pay-back period.

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