IHCL signs Tree of Life Shambal Yercaud retreat, expands presence in Tamil Nadu hill destinations

Indian Hotels Company Limited (IHCL) has signed a new retreat under its Tree of Life brand in Yercaud, Tamil Nadu, the company said in March 2026, marking its expansion into the hill destination as part of its strategy to grow presence in leisure-driven markets across India.

The property, named Tree of Life Shambal Yercaud, will be located in the Shevaroy Hills region and is expected to cater to domestic travellers seeking short-stay and weekend destinations. IHCL confirmed that the signing forms part of its broader asset-light expansion model through management or franchise agreements.

Project signing and location details

IHCL said the retreat will be developed in Yercaud, a hill station in Tamil Nadu known for its proximity to Salem and accessibility from major cities in southern India. The project is positioned to leverage increasing demand for nature-based and drive-to destinations.

The company did not disclose the total number of rooms but confirmed that the retreat will include villa-style accommodations designed to integrate with the surrounding landscape. The property is expected to include dining and guest facilities aligned with the Tree of Life brand format.

Officials said the location was selected based on rising visitor interest in lesser-crowded hill destinations and improved regional connectivity.

Brand and development model

The Tree of Life brand operates under IHCL’s portfolio as a collection of retreats focused on experiential stays in smaller destinations. The Yercaud property will follow this model, with emphasis on low-density development and destination-specific design.

IHCL confirmed that the project has been signed under a management agreement, allowing the company to expand its footprint without direct ownership of the asset. The owner will be responsible for development, while IHCL will manage operations.

The company stated that this approach supports faster expansion across emerging tourism markets while maintaining operational standards.

Strategic expansion in leisure destinations

IHCL said the addition of Yercaud aligns with its strategy to increase presence in leisure and resort destinations, particularly in tier-two and tier-three markets. The company has been expanding its portfolio in hill stations, coastal areas and wildlife destinations.

Executives indicated that domestic tourism demand has been a key driver of growth, with travellers increasingly opting for short-duration trips within driving distance of urban centres.

The company added that Tamil Nadu remains an important market due to its mix of cultural, heritage and nature-based tourism offerings.

Development timeline and operations

IHCL said the project is currently in the planning phase, with timelines subject to regulatory approvals and construction progress. The company indicated that further details on the opening schedule will be announced at a later stage.

Once operational, the retreat will be integrated into IHCL’s reservation and loyalty platforms, enabling distribution across domestic and international markets.

Officials said the property is expected to contribute to the company’s growing portfolio of managed hotels in southern India.

Current status

The Tree of Life Shambal Yercaud retreat has been formally signed and is in the pre-development stage as of March 2026, with IHCL and project partners proceeding with planning and approvals ahead of construction.