India hotel investments jump 67% to $567M in 2025; Tier II-III cities capture 40% of deal volume
JLL data shows 28 hotel transactions closed in 2025 with institutional capital dominating, led by Warburg Pincus's $107M bet for a 41% stake in Lemon Tree's Fleur Hotels. Branded signings hit a record 51,647 keys across 424 hotels, up 23% YoY. Q1 2026 momentum continues with $185M deployed, a 58% jump.
JLL reports India hotel investments surged 67% to $567M across 28 deals in 2025, with Tier II-III cities taking 40% share. Branded signings hit 51,647 keys; Warburg Pincus committed $107M to Lemon Tree's Fleur Hotels.
Why this matters
Hotel capital surge contrasts with India retail leasing slipping 15% QoQ to 3.1M sq ft in Q1 2026, signaling investor rotation toward hospitality assets and Tier II-III geographies as mall supply tightens.
Retail-company theme steady with 524 signals in 90d as hospitality capital flows accelerate alongside.