Mayfair group acquires Oberoi's Gopalpur hotel

The Oberoi Group has sold its 100-year-old hotel property at Gopalpur on Sea in Orissa to Mayfair Hotels and Resorts, a local hospitality company owned by former cabinet minister and industrialist Dilip Ray. The property, Oberoi Palm Beach, was bought by Rai Bahadur MS Oberoi in 1947 from an Italian lady and was the third hotel in his portfolio after Shimla and Kolkata. EIH, formerly East India Hotels, the flagship company of the Oberoi Group, has handed over the property to the Mayfair Group, which now has eight properties, said top executives at both companies.

For the Oberois, the Gopalpur property, though small, had a lot of sentimental value. However, with any significant expansion not possible due to the Coastal Regulation Zone restrictions and high overhead costs, the EIH management decided to lease or sell it. For a few years, they leased the hotel to a Bhubaneswar-based hotelier, but it did not work well, said an EIH source. Ray, who has been expanding his hospitality business in the past few years, said: "It is a dream acquisition. We will try our best to develop this hotel to international standards and expand it."

The Mayfair group now plans to spend 25-30 crore to expand the hotel and add another 15 rooms to the existing 20 rooms. It will also add a spa to the property along with villas.

 Gopalpur on Sea has been a popular destination among the Russian tourists throughout the year. Domestic travellers visit during winters. With Gopalpur port being developed from a seasonal to an all-weather port, commercial and industrial activity is expected to pick up. Tatas too are planning an industrial park at Gopalpur where it will be the anchor investor. The 100-crore Mayfair group operates mid-segment hotels inBhubaneswar, Puri, Rourkela, Goa, Darjeeling and Gangtok. It also will soon open hotels in Kolkata, Satpada and a new hotel in Puri. Mayfair plans to spend 25-30 crore to expand the hotel and add another 15 rooms to the existing 20 rooms.

Tata Steel reserves berth at Gopalpur Port

• Jindal Company also visited Gopalpur port to get a reserve berth

• Tata Steel would construct a hospital at Tata rehabilitation colony at Sitalapalli, Berhampur

At a time when the demand for returning the lands acquired for industries in Ganjam district is growing shriller, The Tata Steel Managing Director’s visit to Ganjam district seems to have settled things for now.

Tata Steel MD HM Nerurkar along with vice-president for Orissa Projects of the Company Hrideyshwar Jha visited Ganjam district on Tuesday to take stock of the progress of the proposed projects. They had an informal meeting with Ganjam District Collector Kishen Kumar and Managing Director of Gopalpur Ports Limited (GPL) Mahimanandan Mishra.

Gopalpur Industrial Park project is planned on 3,300 acres of land taken over by the company in 1995 for its now shelved mega steel plant project near Gopalpur port.

Tata Steel, being the anchor investor, has announced a ferrochrome industry with a capacity of around 55,000 tonne a year besides four million tonne capacity rubber industry and a desalination plant. The three units are scheduled to go for production from 2013.

However, as no progress was made even after seven months of the foundation, the displaced families whose lands were acquired started agitation demanding return of their lands.

According to the discussion between Tata Steel, GPL and district administration, Tata Steel would have its own berth and a jetty at Gopalpur Port at Rs. 60 crore for transportation of its proposed production.

However, till the construction of the berth, the port would provide a rebate of around 50 per cent to Tata Steel for transportation.

Tata Steel would construct a hospital in the vacant land at the Tata rehabilitation colony at Sitalapalli for the convenience of port and Tata employees and the GPL authorities would establish a school in the port’s vicinity, in order to reduce dependence on Berhampur.

Meanwhile, a team of officials of Jindal Company also visited the Gopalpur port to get a reserve berth.

Source: IBN Live