The I&P program allows investors to invest in the fixed assets needed during the transformation of a property and lease it to The Hosteller for a period of 5 years. The estimated transformation cost per property (with 20 rooms) is approximately INR 50 lakhs.

Once the property goes live after the transformation, the investor's return is tied to a specific percentage of the monthly revenue. Payouts to the investor are made on a monthly basis, following an initial 3-month moratorium.

The investment tenure is 5 years, or 60 months.

Investors can expect an 8-30% IRR p.a. (internal rate of return) on a regular cash flow basis. Click here to check returns calculation for a sample location.

Returns are paid monthly, on or before the 10th of each month.

Investors can track the revenue through our cloud-based revenue tracking software, with updates available on a daily, weekly, or monthly basis.

The agreement will be an "Asset Lease & Buyback Agreement." for a Click here sample agreement.

There is no cap on the returns an investor can make. Since returns are tied to monthly revenue, as the brand grows and demand increases, overall revenues will rise, benefiting the investor. Additionally, because the investor’s return is linked to the property’s revenue, they don’t need to worry about profit or loss from the property.

Yes, we currently have 12 properties operating under this model, with investors earning upwards of 20% IRR p.a.

No, the investor can sit back and relax. The Hosteller handles everything from identifying the property and transforming it into a top-notch backpacker hostel to operating it throughout the agreement period, managing sales, marketing, HR, customer service, and more.

Yes, apart from tax savings, easy return tracking, and the opportunity to reinvest returns in other properties, The Hosteller offers privilege membership access to its network of properties, experiences, and travel/lifestyle meetups. Investors can stay at any property within the network for up to 15 nights per year at absolutely no cost.

The company has raised USD 1.5M so far and is currently in the process of raising a USD 15M Series A round.

Simply fill out the form using this link: TH I&P Program