Lemon Tree Hotels Ltd added a 52-room Keys Select property to its pipeline in Bareilly, Uttar Pradesh, on Tuesday. The new facility will operate under a franchise agreement, bringing the company's total footprint in the state to 26 properties. That tally includes eight hotels currently operational and 18 more in the development phase.
The Bareilly location is strategically positioned 4.9 km from the airport—an 11-minute drive—and about 12 km from Bareilly Junction. The company sees the city as a critical transport hub for the Rohilkhand region, drawing corporate executives and transit operators along major highways. The hotel will feature a multi-cuisine restaurant, a banquet hall, and a fitness centre, aimed squarely at business travellers and local event attendees.
Kapil Sharma, Executive Director and CFO, framed the move as part of a broader push into high-potential regional markets. "The signing of Keys Select in Bareilly reflects our strategy of expanding into high-potential regional markets where we see sustained demand from business and transit travellers," he said. He noted that the asset-light approach allows the firm to scale its presence in Uttar Pradesh efficiently without heavy capital expenditure.
On the exchanges, Lemon Tree Hotels shares ended the day at ₹111.80 on the BSE, up ₹1.15 or 1.04%. The stock's modest gain suggests investors are factoring in the steady expansion while waiting for larger pipeline milestones to drive sharper moves. The firm's focus on regional hubs like Bareilly signals a continued bet on tier-2 and tier-3 city hospitality demand.