The Lodhi, New Delhi
Good to great: how The Lodhi grew revenue 3.5 times and RevPAR five times between 2016 and 2020.
Read →The world's highest-ranked hotel by reputation — and second in its own market by revenue. A repositioning thesis written while the palace stood empty, to close exactly that gap.
In 2019, Travel + Leisure named The Leela Palace Udaipur the best hotel in the world. In the same year its RGI stood at 0.70 — the market's most celebrated palace was earning barely two-thirds of its fair share of revenue. Reputation and performance had come apart, and the gap was structural: an under-utilised spa split across two areas, a two-restaurant F&B programme against the comp set's richer offering, suites sold under commodity names, and a plant carrying deferred maintenance.
Then COVID-19 emptied the palace — and made the diagnosis possible. The stillness was used for a full audit of the asset: fire-life-safety, electro-mechanical, lifts, STP, licences, ergonomics. The findings were tabled without cosmetics: 95 of 246 FLS points non-compliant, 42 of 211 electro-mechanical, the pool unheated, storage blocking fire exits. A thesis that begins by counting its own faults can be believed when it counts its opportunities.
The vision written plainly, then made countable — a Balanced Scorecard across four perspectives, every initiative numbered, each with an owner and a measure. Read the map from the bottom up: each layer exists to enable the one above it.
The response was cadence, not panic: gaps closed on a war footing; a daily FLS tracking group on tanks, pumps, exits, alarms and PA systems — with photographs; a work-permit system for hot work and work at heights; new post-COVID hygiene SOPs and a re-opening critical path; and the property's regularisation — OC and CC — moved to the top of the file, overseen by the GM personally. Safety and compliance were placed at the core of the business before a rupee was asked for the guest experience.
No structural work anywhere. Existing structures, existing permissions, in-house project management, Udaipur craftsmen — ₹2.55 crore in total for the three moves that reposition the asset.
The spa, split across two areas with doubled resources, consolidated into the ready-and-licensed Haveli as a destination spa with spa dining, detox programmes with a renowned nutritionist, and day packages for local HNIs. Cost: a few air-conditioners.
The vacated spa tents — two directly on Lake Pichola — retrofitted within their own footprint into the most sought-after suites in Udaipur. ₹35–40 lakh per unit, at least two guaranteed incremental rooms per day, keys re-listed 80 to 83. Suites should not go empty.
The missing third dining option — a high-energy, open-air, Lake Como-inspired restobar on the existing Haveli roof, kitchen shell already in place. Sundowners over the old city, non-resident business consolidated, spa cuisine produced alongside.
F&B spend per occupied room had been flat for three years. The plan: grow the capture ratio from 6.5 to 8 covers, and give guests reasons to spend — venue by venue.
A name and an identity of its own; Asian, Western and Mediterranean lines added; à la carte breakfast on all non-group days with the palace cerealogist and fruitologist on morning trolleys; a treetop breakfast; garden-to-table from a coco-peat herb garden; a guest-chefs programme.
Back to the roots — the cooking delights of the Maharajas: Maharani Gayatri Devi's handloom recipes, Awadh, Hyderabad and Northwest Frontier menus, silver tasting thalis, twenty-five papads and twenty-five homemade pickles, Imtiaz Qureshi visiting, the terrace bar activated at sunset, a cookbook and a YouTube channel. Target SpendPOR: ₹2,500.
The beverage programme rebuilt — palace martinis and palace-infused gins and vodkas, wine on tap in twenty-five varietals, molecular mixology, whisky rituals, a palace recipe book.
A palace coffee and single-estate tea programme; spa cuisine for every guest; an Indian-forward wine list; a cigar lounge; six canopy dining venues across the grounds; weddings negotiated at a ₹10,000 per-person floor — and a wine and dining club to cultivate Udaipur's own HNIs.
Front office, butlers, concierge, in-room dining and operators combined into a single Aide-de-Camp service — the differentiator no comp-set property could copy.
Pre-arrival preferences on the CRM; a personal call from the GM; the butler at the airport; the traditional Lavajama welcome; the guest book signed under the Grand Dome. Choose your service level — pampering, unobtrusive, discreet.
Palace Tehzeeb and daily ceremonial rituals, morning and evening; a weekly performing-arts calendar at Rang Mahal and the Darbar courtyard; one-touch phones to the guest's own ADC and to the GM; Magic Service — step out, return to a refreshed room.
Twenty-four-hour à la carte breakfast; every FIT room ready on arrival; no charge for express laundry, none for children's; suites renamed from commodity titles into stories with their own following. What costs only effort is never billed.
The GM meets every guest on arrival and departure; a handwritten note in every stay; the Pichola Chronicle at turndown each week; a commemorative departure gift; a personal reply to every review. The loyalist is cultivated, not assumed.
Solar power purchase at ₹2 per unit saved — ₹60 lakh a year off the energy bill. Chillers replaced with VFD-equipped efficient units, the hot-water generator moved to heat pumps, the STP rebuilt, gas detection interlocked with the fire alarm, and the pool heat pump restored for the winter season the palace lives on.
And the lake itself protected: the leaking gym-lawn sewage tank rebuilt, and the boat fleet moved toward solar and electric — larger, safer, cleaner. A palace on Lake Pichola holds its licence to operate from the lake first.
The PIP was implemented in parts before the mandate at The Claridges called in December 2020; the thesis stands on the record as written — targets, audits, projects, paybacks and all. That candour is deliberate: a strategy is not less true for being handed on, and an owner deserves to know which value remains on the table.
What the mandate proved is now Excelsior doctrine. The hold period is never dead time; a closed hotel is an open drawing board. Audit before you ask. Build from what the asset already owns. Price on value, never on cost. And write the plan so precisely that whoever inherits it cannot help but see the same palace you saw.
Read next
Good to great: how The Lodhi grew revenue 3.5 times and RevPAR five times between 2016 and 2020.
Read →A storied house rebuilt after 2020: the commercial engine, five F&B concepts, wellness and the redevelopment master plan.
Read →The island, repositioned: product, table and the twelve months on the record.
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