Indian Hotels wins e-auction for The Connaught, New Delhi

No 6| India | Total wealth | $12.6 trillion (Image: Reuters)

Indian Hotels Company, the country's second largest hotel chain, has won the bid to run the 4-star property The Connaught in New Delhi.

New Delhi Muncipal Council (NDMC) conducted the auction for the 87-room property that was shut down two years ago by the civic body.

Byke Hotels and Sarovar Group are believed to have participated in the bid for the property which is located on Shaheed Bhagat Singh Marg.

Indian Hotels will pay nearly 32 percent of the turnover or Rs 5.89 crore to NDMC per annum, as per the terms. It will also have to pay NDMC a non-refundable amount of Rs 2.93 crore.

The seven-storey hotel is 31 years old. It was forced to shut in 2016 following the murder of an NDMC officer by the property's owners.

This will be the fourth property for Indian Hotels Company in New Delhi after Taj Mahal Hotel, Vivanta by Taj -Ambassador and Taj Palace.

The Tata Group-controlled company is bidding for the Taj Palace hotel located on Mansingh Road which NDMC has inivited bids for. Results of that bid will be announced on July 18.