Uttar Pradesh is experiencing a significant surge in branded hotel investments, from luxury heritage homestays to new airport locations. This boom is fueled by a dramatic increase in tourist numbers, prompting major hospitality groups to announce numerous new properties across diverse destinations.

Uttar Pradesh (UP) is seeing a steady and considerable increase in branded hotel investments from the first luxury heritage homestay in India's perfume capital Kannauj to branded hotels in Hapur, Vrindavan and Prayagraj, and new airport locations.

Jaiveer Singh, the tourism and culture minister for Uttar Pradesh, said the state welcomed nearly 65 crore tourists in 2024, and in the first quarter of 2025, the number has already crossed 109 crore. "This unprecedented rise in tourism has directly encouraged a wave of hotel signings and new projects across the state," he added.

Singh said in 2025 alone, several national and international hospitality groups have announced new properties.

"This momentum is far ahead of the previous year both in scale and diversity of destinations. IHG Hotels & Resorts signed the Holiday Inn Express & Suites in Hapur, while ITC Hotels announced its new Fortune property on the Lucknow-Kanpur Road, marking its seventh project in Uttar Pradesh," said Singh. "IHCL added a new Ginger hotel in Kanpur, its 34th property in the state. Ayodhya continues to attract multiple branded hotel projects as the city emerges as a major global pilgrimage destination," he added.

Hoteliers said feasibility studies have gone up across branded 3-, 4-, and 5-star categories. Noesis Capital Advisors sees a strong momentum in signings and new projects across Noida, Greater Noida, besides Lucknow, Kanpur, Varanasi, Ayodhya, and Prayagraj, said founder and CEO Nandivardhan Jain.

"Cities such as Kanpur, Agra, Varanasi, Moradabad, and Jhansi are among those where we are currently engaged in mandates. Brands are also willing to explore opportunities with smaller inventory," said Deepak Jain, founder of Mayfair Consultants.

Demand is also expected to go up around the Jewar airport. "The Yamuna authority is coming up with auctions based on the demand from the industry," said Shailendra Kumar Bhatia, Nodal officer, Noida International Airport, Jewar.

Driven by rapid infrastructure development, improved connectivity, and rising tourism potential, Uttar Pradesh is one of Radisson Hotel Group's key growth markets, said Nikhil Sharma, MD and COO (South Asia) at the chain.

"We take pride in introducing the first internationally branded hotels in key cities such as Ayodhya, Prayagraj, and Varanasi, marking significant milestones in the state's hospitality landscape," said Sharma. "Cities like Lucknow, Ayodhya, and Prayagraj are witnessing a notable uptick in signings, driven by rising demand for quality hospitality options across both business and leisure segments," he added. The chain recently opened Radisson Hotel Prayagraj and Park Inn by Radisson Lucknow Vikas Nagar. It has eight hotels currently in the development pipeline in the state.

UP Tourism is also trying to revive and repurpose zamindari and heritage properties by connecting them with luxury hospitality chains, said Singh. He said hotel signing activity is the strongest in Ayodhya, Varanasi, Agra, Lucknow, Kanpur, Prayagraj, and Mathura-Vrindavan, but new corridors like Hapur, Kannauj, and Gorakhpur are also showing significant promise.

Roseate Hotels and Resorts is seeing a strong demand from HNIs and NRIs for 'second homes with services' in 'heritage-rich' locales, especially where connectivity is improving, said CEO Kush Kapoor.

In Uttar Pradesh, heritage properties offer attractive sites for hotel chains to redevelop and expand, said Anshuman Magazine, chairman and CEO for India, South-East Asia, Middle East & Africa, at CBRE.

Singh said destinations such as Dudhwa, Chitrakoot, and Varanasi are drawing new kinds of travellers seeking immersive experiences. "These shifts have encouraged hotel developers to enter new markets and diversify their presence."

As tourists check into Uttar Pradesh, so do branded hotels