State-run tourism firm signs franchise deals with private hotels
August 27th, 2009 - 3:08 pm ICT by IANSNew Delhi, Aug 27 (IANS) Two privately promoted upcoming hotels in Chandigarh and Surat will use “Ashok” hotel brand, owned by the state-run hospitality major India Tourism Development Corp (ITDC).
ITDC, which has launched Ashok Alliance Scheme to tie up with the private sector through franchise deals, Thursday signed two such agreements with the four-star “Welcome City Beautiful” hotel in Chandigarh and “Riverfront Hotel” in Surat.
The Chandigarh property will have 66 rooms, while the three-star Riverfront Hotel will have 55 rooms, ITDC said.
According to the three-year agreements, the member hotels will suffix “Ashok” to their names.
They will also have access to personnel trained by the Ashok Institute of Hospitality and Tourism Management.
In return for these incentives, ITDC has proposed to charge 3 percent of the gross room revenue from its alliance hotels.
ITDC is in talks with other hotel projects in Kolkata, Manesar (Haryana), Malout (Punjab) and Coorg, the company said.
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