Kathmandu. A detailed environmental impact assessment report of the five-star hotel Le Meridien being constructed at Maharajgunj at an investment of Rs 3.5 billion has been prepared. Karma Hospitality Pvt Ltd has already submitted its report to the Ministry of Agriculture, Forest and Environment for approval.
The five-star hotel is going to be constructed in around 6.5 ropanis of land, Maharajgunj, Kathmandu Metropolitan City.
The hotel will have 168 rooms and 216 beds. Spread over an area of 3,343 square meters, the hotel will have a total area of 20,961 square meters. The hotel will use 45,000 liters of underground water daily for swimming pools.
The project is financed through a mix of debt and self-capital in the ratio of 73:27. Securing the required capital, the company has arranged a total of Rs 3 billion through consortium funding. This includes long-term loan of Rs 2.92 billion and short-term loan facility of Rs 80 million.
The investor of the hotel is Karma Tenzing Gurung, the owner of the 162-room Karma Residencies (housing project) under construction in Maharajgunj. With the increasing presence of five-star luxury hotels in the Kathmandu Valley, it is expected that there will be more competition for these under-construction hotels. Currently, five-star hotels like Mercure in Sukedhar, Akama Hotel in Mandikhatar, four-star hotel Mandala Norling Lords Pvt Ltd and Hotel Sambala are in operation in and around Maharajgunj.
Gurung has signed an agreement with Luxury Management Hotel (VVI) Limited, an international hotel management network, to bring in Le Meridien brand for the operation and management of the hotel. The brand is a part of the Marriott Hotels Group. The agreement will be in place for 26 years from the date of the hotel’s operation.
