Mahindra Holidays & Resorts India Ltd (MHRIL) will increase its number of dwelling units by adding around 500 units this fiscal that could entail an investment of up to Rs 275 crore. Ramesh Ramanathan, Managing Director, MHRIL said, “We are hoping to add about 500 units by March 2011. In this quarter, we will set up three resorts at Gir in Gujarat, Ranthambore and Sariska in Rajasthan next month.” MHRIL currently offers 1,500 units comprising about 3,000 rooms, mainly for family holidays, in 31 resorts across India.”

When asked about the investment that has been earmarked for this expansion, he said, “Though the final amount has not been fixed, it will take anywhere between Rs 250 crore and Rs 275 crore to add 500 more units.” The company will finance this amount from funds raised from last year’s IPO and internal accruals. It had received Rs 170 crore from IPO proceedings.

Besides, MHRIL has tied up with Punjab Heritage and Tourism Promotion Board (PHTPB) to market ‘Farm Tourism’. The programme is similar to that of ‘Bread and Breakfast’ scheme of the Delhi government under which house owners let out their premises to tourists. The initiative will be promoted under Mahindra Homestays brand, which will offer over 750 rooms in about 270 houses across 15 states in the country.