After more than a decade in development, ITC’s first overseas hospitality venture is set to welcome guests. The Colombo project, conceived in 2012 and named ITC Ratnadippa, will begin operations on April 25 after overcoming a number of hurdles that delayed the extravagant Rs 2,775-crore plan.
Spread over 5.86 acres, the project consists of a 350-key hotel and a luxury residential development called Sapphire Residences. Situated with spectacular views of the Indian Ocean and Lake Beira, this mixed-use development is led by WelcomHotels Lanka (Private) Limited, a wholly-owned subsidiary of ITC.
Terming the upcoming opening as a milestone event, ITC Chairman Sanjiv Puri said, “Our first facility outside India is scheduled to open in Colombo on the 25th of this month. It is an iconic property in Colombo.”
The 30-story hotel and 50-story residences are connected by a skybridge 100 meters above ground and represent a marvel of engineering. The project has been designated as a ‘Strategic Development Project’ and will provide ITC with various financial benefits and exemptions from foreign exchange regulations in Sri Lanka.
The project has persevered despite facing challenges such as the 2019 terrorist attacks and the disruption caused by the coronavirus pandemic. ITC acknowledged these challenges in its 2023 annual report, stating that “project construction activities were adversely affected by the difficult socio-economic and operational conditions prevailing in the country.”
The project launch comes ahead of the proposed separation of ITC’s hospitality business by the end of the year. While the Colombo project remains a corporate-owned asset, ITC has shifted its strategy to an “property rights” model, with an emphasis on managing assets based on contractual agreements.
“We have opened 25 properties in the last 24 months and have a huge pipeline of new properties, fewer owned properties and more management contracts. We remain focused on our asset rights model. We will continue to do so,” Puri emphasized to LSG members.
