New Delhi, June 18 -- Indian luxury hotel brand The Postcard Hotels and Resorts, best known for its boutique resorts in remote and scenic locations, is expanding into cities with properties offering only 800-square-foot suites-nearly double the average size of a city hotel room.

The urban hotel expansion will target greenfield hotels in cities like Delhi, Mumbai, Bengaluru and Chennai, among others. The first such property is already under construction in Tirupati, the temple town of Andhra Pradesh, Kapil Chopra, the company's founder and former president of Oberoi Hotels & Resorts, told Mint.

Record domestic travel and rising demand for space, privacy and consistency among urban luxury travellers has triggered the shift. "City hotels t...