Ascott Limited, one of Asia-Pacific's largest hospitality operators, has officially launched its Citadines-branded serviced residence in Udupi, Karnataka. The opening marks the latest expansion of the Citadines portfolio into India's tier-2 and tier-3 cities, a strategy the company has been pursuing aggressively over the past few years.

Citadines, Ascott's urban serviced apartment brand, is designed primarily for extended-stay travellers — including corporate tenants, visiting professionals, and leisure guests who prefer the space and convenience of apartment-style living over traditional hotel rooms. Each unit typically comes equipped with kitchenettes, separate living areas, and in-room laundry facilities.

Udupi, a coastal district in Karnataka's south-western Malnad region, has emerged as a notable destination in recent years. While historically known as a major Hindu pilgrimage centre — home to the famous Sri Krishna Matha and numerous ancient temples — the city has also gained traction among domestic tourists drawn to nearby beaches, backwaters, and ecotourism sites. The region's reputation as a centre for education and IT has further bolstered demand for long-stay accommodation from students, professionals, and their families relocating to the area.

Industry analysts note that Ascott's move into Udupi reflects a broader shift among international and national hospitality brands to look beyond metro cities like Mumbai, Delhi, Bengaluru, and Chennai. With domestic tourism rebounding strongly post-pandemic and rental yields in metros remaining under pressure, tier-2 cities have become attractive markets for branded serviced residences offering quality standards that local competitors struggle to match.

This launch adds to Ascott's growing footprint across Karnataka, where the company already operates properties in Bengaluru and Mysuru under brands including The Alila, Oakwood, and Somerset. Industry sources suggest the Citadines Udupi property features approximately 120 to 150 units, though exact figures have not been independently confirmed.

The expansion underscores Ascott's confidence in India's continued hospitality growth, particularly as the country aims to attract over 500 million domestic tourists annually by 2030 under its Swadesh Darshan initiative.