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Taj enters branded villa market with Lonavala resort project

Taj enters branded villa market with Lonavala resort project
Luxury · 2026
Photo · Marcus Tan for Travelmao
By Marcus Tan Hospitality Correspondent Aug 28, 2026 3 min read

Indian Hotels Company Limited (IHCL) has opened Taj Mount Kusur Resort and Villas in Lonavala, Maharashtra, marking the group's entry into the luxury branded villa segment. The project, developed with Amavi, a hospitality-backed real estate brand, spans 34 acres in the Western Ghats and combines a 100-key Taj resort with 32 branded villas.

The villas, designed in a contemporary barn style, offer views over the adjacent lake and valley. The estate also includes a two-acre Wabi-Sabi Central Park, nature trails, zen gardens, and recreational facilities, positioning the development as a second-home destination for buyers from Mumbai and Pune.

Strategic expansion for IHCL

Puneet Chhatwal, Managing Director and CEO of IHCL, said the launch "marks our entry into the branded villa segment, broadening our portfolio to address evolving consumer preferences whilst bringing the trust, service excellence and legacy of the brand to a new category of luxury real estate." The move reflects a wider industry trend of hotel groups extending their brands into residential offerings, a segment that has gained traction among high-net-worth travellers seeking branded service in private settings.

Apurv Kumar, Managing Director of Clarks Group of Hotels and Founder of Amavi, emphasised the project's aim to "combine the privacy of a home with the service of Taj hospitality." The villas will be sold through a lease-back programme, allowing owners to access Taj's management and services when not in residence.

Lonavala, situated between Mumbai and Pune, is a well-established leisure market in Maharashtra, known for its hill-station appeal and proximity to major urban centres. The development is expected to strengthen Lonavala's position as a premium getaway, particularly as demand for private, nature-oriented retreats continues to rise across India.

IHCL's expansion into branded residences follows similar moves by other luxury operators. The company has been diversifying its portfolio beyond traditional hotels, with recent openings such as Taj Tadoba Resort & Spa in Maharashtra's tiger reserve, and now this villa project. The branded villa segment is also seeing growth from players like EkoStay, which is betting on private villas as India's calmcation demand rises.

For travel advisors and luxury tour operators, the new Taj villas offer an alternative to conventional hotel stays, particularly for clients seeking privacy with the assurance of a recognised brand. The lease-back model may also appeal to investors looking for managed holiday homes with rental income potential.

The project aligns with broader shifts in luxury travel, where experiential and residential-style accommodations are gaining preference. Similar trends are visible in other markets, such as Buyan Lakeside Villas in North Bali and Four Seasons Bali at Sayan, which cater to travellers seeking immersive, private stays.

IHCL's move into branded villas is part of a broader strategy to capture a larger share of the luxury real estate and hospitality market in India. With the country's growing affluent class and increasing interest in second homes, the segment is poised for expansion. The Lonavala project is expected to serve as a template for future IHCL branded residences in other leisure destinations.

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