Lemon Tree Hotels Signs 56, Opens 20 Properties in FY26 Expansion
Lemon Tree Hotels reports 56 new signings and 20 openings in FY 2025–26, taking its portfolio beyond 130 hotels and 11,000 keys across 80+ destinations.
nishathapa 
NEW DELHI – April 14, 2026 – Lemon Tree Hotels Ltd. reported a record year of expansion in FY 2025–26, with 56 new hotel signings and 20 property openings, strengthening its asset-light growth strategy and expanding its operational footprint to over 130 hotels with more than 11,000 keys across 80-plus destinations in India.
The performance reflects accelerated network growth driven by increasing demand across diverse travel segments, including pilgrimage, leisure, and business travel, as the company expands beyond traditional metro markets into emerging destinations.
56 signings drive pipeline growth across segments
The company signed 56 new hotels during the financial year, with the Lemon Tree Hotels brand leading development activity through 27 signings. This was followed by 18 signings under the Keys portfolio, indicating continued traction in the value and midscale segments.
Additionally, Lemon Tree Premier accounted for 9 signings, supporting the company’s upper-midscale positioning, while selective additions under Aurika Hotels & Resorts and Lemon Tree Resort highlighted expansion into upscale and leisure-oriented markets.
The diversified signing mix reflects a balanced approach to growth across price segments and geographies, aligned with evolving demand patterns in India’s hospitality sector.
20 hotel openings strengthen operational footprint
During FY26, Lemon Tree Hotels opened 20 new properties, demonstrating execution capability in converting pipeline projects into operational assets. The Lemon Tree Hotels brand accounted for 12 of these openings, followed by Lemon Tree Premier and Keys Lite with three openings each, and Keys Select with two.
This expansion has taken the company’s operational portfolio to more than 130 hotels, reinforcing its presence across key commercial corridors, leisure destinations, and secondary markets.
The company’s ability to operationalise properties at scale is central to its asset-light strategy, which focuses on management contracts and franchise models rather than capital-intensive ownership.
Expansion targets tier II, III cities and emerging destinations
Growth during the year was driven by expansion into high-growth urban centres, tier II and III cities, and emerging leisure markets. The company has also strengthened its presence in pilgrimage destinations such as Tirupati, Ayodhya, and Somnath.
In addition, Lemon Tree Hotels expanded into emerging leisure locations including Malshej Ghat, Khurpatal, and Barog, alongside industrial and infrastructure-led hubs such as Bhilai, Rudrapur, and Mhow.
This diversified geographic presence enables the company to capture demand across multiple travel occasions, including religious tourism, weekend leisure travel, and corporate stays, particularly in markets with limited branded accommodation.
Portfolio reaches 269 hotels including pipeline
As of March 31, 2026, Lemon Tree Hotels’ total portfolio, including pipeline assets, stood at 269 hotels. This comprises 131 operational hotels and 138 properties under development.
Brand-wise, Lemon Tree Hotels leads with 144 total properties, followed by Lemon Tree Premier with 38 and Keys Select with 35. Other brands in the portfolio include Aurika Hotels & Resorts, Red Fox by Lemon Tree Hotels, Keys Prima, and Keys Lite, reflecting a multi-brand strategy targeting different customer segments.
The scale of the pipeline indicates continued growth momentum, supported by partnerships with property owners and developers under an asset-light model.
Strategy shifts beyond traditional metro markets
According to Managing Director Neelendra Singh, the company’s expansion reflects a strategic shift from a metro-centric model to a broader geographic footprint. The approach is aligned with changing travel patterns, as demand increasingly emerges from non-metro markets.
The company’s focus remains on delivering consistent, branded hospitality experiences across locations, while maintaining operational discipline and partner alignment.
Lemon Tree Hotels’ expansion strategy highlights a wider industry trend, where hotel operators are targeting underserved markets and leveraging asset-light models to scale rapidly. The company’s performance in FY26 underscores growing demand across India’s midscale hospitality segment and the increasing importance of regional travel markets in driving industry growth.
