Asia -  Agra, India

Agra is one of India’s most important cities from a Leisure tourism standpoint. The Taj Mahal (located here) receives over eight million visitors annually and consequently the city has historically benefitted from steady Individual and Group Leisure demand. The 165-kilometer-long Yamuna Expressway commenced operations in April 2012 linking Delhi and Agra via a two-hour drive. Since Agra does not have a commercial airport, it would previously take travelers over four hours to reach the city necessitating at least a one-night stop-over. This trend is slowly diminishing over the last two years, with the commissioning of the expressway, resulting in occupancy and rate corrections in the city’s hotels. This in turn has led to hotel values in Agra dropping by approximately 21% in 2015. The city is expected to see the addition of approximately 475 more hotel rooms in 2016, which is likely to result in a further reduction of RevPAR in the market and consequently hotel values as well. Post that, pace of supply increase is expected to ease off and have a positive impact on hotel values over the medium term.

Change In Value For Market:

Legend
Significant Value Increase: Greater than +10%
Moderate Value Increase: Between +3% and +10%
Stable Values: Between -3% and +3%
Moderate Value Decline: Between -3% and -10%
Significant Value Decline: Less than -10%

Agra RevPAR Change

Agra RevPAR

Year RevPAR
2013 63.50
2014 69.16
2015 61.69
2016 58.25
2017 (f) 66.81
2018 (f) 72.31

For more information, please contact:

Achin Khanna, MRICS
akhanna@hvs.com
  • +91 124 4616000 (w)
Pooja Goel
pgoel@hvs.com
  • +91 124 4616000 (w)