InterContinental Hotels Group (IHG), marketed globally as IHG Hotels & Resorts, is making its return to Nepal’s hospitality market after a three-year absence.

Lumbini Heritage Limited, a five-star property based in Lumbini, has signed a hotel management agreement with IHG Hotels & Resorts in a special ceremony held recently in New Delhi.

The agreement was inked between Subhash Amatya, chairman of Lumbini Heritage Limited, and Sudip Jain, managing director for South West Asia at IHG Hotels & Resorts.

Through the partnership, IHG will expand its footprint beyond Kathmandu for the first time, introducing its global hospitality brand to Lumbini. The existing Lumbini Heritage Hotel will be rebranded as Crowne Plaza Lumbini, the company said in a statement.

Formerly known as Pawan Palace Lumbini, the property has undergone significant upgrades to meet international hospitality standards.

The hotel features 147 rooms, including seven suites, multi-purpose halls, restaurants, a fitness centre, a swimming pool, and premium guest services. A casino facility is also in the pipeline and expected to open within the next eight months, positioning Lumbini as a new hub for luxury tourism and entertainment in southern Nepal.

Located about 1.9 kilometres from the birthplace of Lord Gautam Buddha and nine kilometres from Gautam Buddha International Airport in Bhairahawa, the hotel aims to cater to religious, cultural, and business travellers.

Lumbini Heritage Limited has also announced plans to issue an Initial Public Offering (IPO) in 2026, allowing public participation in the company’s growth.

IHG previously managed The Soaltee Hotel in Kathmandu under the Crowne Plaza brand. Following the termination of that agreement on May 14, 2021, this new partnership marks the return of Crowne Plaza to Nepal through Lumbini Heritage Limited.