Chennai, April 9 (IANS): Hablis Hotels, after stabilising the operations of its first business class four-star property here, has drawn up plans for one more hotel in the city and is looking at management contracts, a top company official said.

"We will be soon acquiring a property to build a business-class hotel on the Old Mahabalipuram Road/IT corridor," Managing Director Rajesh Devarajan told IANS.

He said the company is also looking at rebranding and managing existing hotels.

According to Devarajan, the proposed hotel on the Old Mahabalipuram Road will be similar in size to the four-star business-class Hotel Hablis in Guindy here.

Despite the tough market conditions and being surrounded by bigger brands like Hilton, Le Royal Meridien, Radisson Blu and the mega-sized ITC Grand Chola, the Hablis is doing well with a room occupancy of around 65 percent, Devarajan said.

"There is need for a four-star hotel near the other hotels. Presently, except for Hablis, all others are five star properties," Devarajan said.

Speaking about the marketing plan he said the target is the value-for-money conscious Indian corporate sector.

Speaking to IANS, a senior hotel industry expert here said more hotels are in the pipeline and investors are waiting for the elections to get over and the economy to show some steadiness.