Moustache Group of Hotels expands footprint with Manali Launch

In a bid to capitalise on the sharp tourism surge across northern states, Moustache Group of Hotels has launched its new Select property in Manali and announced plans to open 50 additional properties by 2028

Set in Himachal Pradesh’s most in-demand corridor, the new property marks the beginning of an aggressive expansion across Kasol, Shimla, Nainital and Mcleodganj over the next three years.

Moustache Group of Hotels currently operates more than 33 properties across 11 states, with five properties under its high-revenue vertical, Select. Existing Select properties are located in Naukuchiatal, Mukteshwar, Udaipur, and other key leisure destinations.

This expansion aligns with a broader shift underway in India’s tourism sector. India’s overall tourism market is estimated to be worth around $26.24 billion in 2025 and is projected to grow at a CAGR of approximately 15.67% between 2025 and 2030, reaching about $54.34 billion by 2030.

Speaking on the decision to open the newest Select property in Manali, Abhishek Khandelwal, Founder and Director, Moustache Group of Hotels, said, “We chose Manali because it’s one of India’s strongest mid-range hotel markets with consistent demand and diverse travellers seeking quality stays at the right price. Manali is currently experiencing a surge in footfall, with recent figures indicating over 15,000 tourists per day, driven by improved weather, post-Diwali travel, and the anticipation of more snowfall. Its accessibility and year-round inflow made it the ideal destination to introduce a Select property.”

Commenting on the potential of the Select segment, Deepak Agarwal, Founder and Director, Moustache Group of Hotels, said, “Select segment is expected to contribute 40 to 50% of the company’s projected 100 crore revenue by 2026. In the upcoming season alone, we anticipate a 10% uptick in business within this vertical. We will be focusing heavily on Select properties in the coming years, especially those that show strong long-term potential and align closely with our ethos. Narrowing our focus will help us deepen expertise, strengthen loyalty and offer sharply curated, high-value experiences.”

The Manali property will feature 49 keys. Moustache Group of Hotels, known initially for its backpacker hostels, has in recent years expanded into distinct verticals including Luxuria for premium experiential stays and Select for mid-budget, family- and business-driven travel. With the company projected to reach 100 crore in revenue by 2026, nearly half of this growth is expected to come from the expanding Select portfolio.