Branded rental villa market growing fast in India, set to reach $1377 mn by 2028

financialexpress.com:

The branded rental villa market is growing at a staggering pace in India. In 2023, the overall market was sized at USD 329.6 million and is slated to reach USD 1377 million by 2028, likely to grow at a CAGR of 33.2% in the years to come, as per a research report by Axon Developers.

The concept of rental villas, which includes holiday homes, long-lease villas, motels, plantation bungalows, beach homes, vintage havelis, etc. is thriving in India. The country’s diverse landscape, which includes scenic sea beaches, picturesque valleys, verdant hills, nature reserves, tranquil desserts, etc., makes it a perfect place for branded rental home communities to proliferate.

While mainstay hospitality will continue to gain strength to strength, alternative segment such as second homes and holiday villas will also play a critical role.

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India’s growing volume of HNIs, corporate honchos, technopreneurs, and affluent solopreneurs now invest heavily in second-home properties, as they give them a chance not just to shun hectic schedules and live in nature but also to continue with their usual working schedule. Meanwhile apart from personal use, for a large portion of the year, the property is available to lease out, which means a constant source of recurrent income.

“It is noteworthy that the popularity of rental villas is rising fast in India. The boundaries between traditional hospitality and serviced living are diminishing. Many of us now do not want to stay in a packed 250 sq ft room in a 5-star hotel. Rather we might prefer a rental villa with personalized space and a range of serviced amenities, that can be tailored to our taste,” says Ankit Kansal,