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Massive Expansion of Lemon Tree Hotels in the Middle East

News Lemon Tree Hotels, the third largest hotel operator in India, has ambitious plans about the Middle East, so the region’s mid-range hotel sector will welcome new properties by Lemon Tree in future. To make that possible, the Indian hotel company partnered with Raine & Horne Dubai. Together, the companies will open at least eight hotels within next three years.

Middle East expansion plans are a logical step for Lemon Tree Hotels as in India the company is known as the fastest growing hotelier of the country. First, Lemon Tree and Raine & Horne will focus on opening hotels in Dubai and Abu Dhabi, and later they will add properties in Saudi Arabia, Qatar, Kuwait and Oman.

Currently, Lemon Tree is the third largest hotel brand in India with the market share of almost 4%. The company operates 29 hotels in 18 cities across India with 3200 guestrooms in total. Another 11 hotels with 1500 guestrooms are under development. The hotels are primarily targeted at Indian visitors who suffer from lack of quality but affordable midscale hotels and long stay apartments. Lemon Tree has own loyalty program with more than 500,000 members. Indian hotel market develops quickly and the number of visitor arrivals is expected to grow to 20 million by 2020. When it comes to demand in the UAE, there is steady demand for midscale hotels in prime locations, when efficient space and capital management allow offering lower rates than in luxury hotels.


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