Chalet Hotels secures Karnataka High Court stay on ₹40 crore property tax notice – CNBC TV18

Hospitality and resorts chain operator, Chalet Hotels Ltd, on Tuesday (February 17), said it has obtained a stay order from the High Court of Karnataka in connection with a notice issued by the Greater Bengaluru Authority.

The notice, described as a ‘Proclamation and Written Notice of Sale of Immovable Property’, was issued to the company for alleged non-payment of property tax dues of approximately ₹39.56 crore, including interest, penalty and cess. The dues pertain to the company’s property located in Whitefield, Bengaluru, Karnataka.

Following the issuance of the notice, the company filed a writ petition before the High Court of Karnataka. The court has now granted a stay order on the matter until the next date of hearing.

Also Read: Chalet Hotels Q3 profit surges 28.5% on strong revenue and operating growth

Last week, Chalet Hotels said it expects the hospitality sector to stay on a firm footing over the next couple of years, helped by strong travel demand and a persistent demand-supply gap.

Shwetank Singh, MD & CEO of Chalet Hotels, highlighted that although January was relatively muted, demand picked up meaningfully in February and has stayed steady into March, keeping the company confident about a solid close to the financial year.

Singh expects the next two to three years to remain favourable for the hospitality industry, with revenue per available room growth likely to stay in double digits, led more by rising average room rates than occupancy gains.

Also Read: Chalet Hotels swings to ₹154 crore profit in Q2 on strong revenue growth

Chalet Hotels is strengthening its portfolio through the Athiva brand, while maintaining balance-sheet comfort with stable debt levels and adequate headroom to fund future expansions and acquisitions.

Shares of Chalet Hotels Ltd ended at ₹870.55, up by ₹7.55, or 0.87%, on the BSE.