Innsights

Sukhdev Toor, Manga Hotels, and a family vision for the future

FEATURE PROFILE: Feature from the FALL 2024 ISSUE of STAY Magazine

Stacey Newman

October 22nd, 2024

Building a hospitality legacy

Manga Hotels, with 31 hotels comprised of 5,800 rooms and 19 restaurant properties across Canada and the United States, has established itself as a key player in the hospitality industry by taking a bold, visionary approach and embracing innovation and sustainability.

The story of Manga’s growth is about family ties, risk-taking, forethought, and attention to detail. At the head of Manga Hotels is Sukhdev Toor, whose journey from a civil engineer to a hotelier is marked by a willingness to learn from experience and adopt new technologies. Together with daughter Neelu Toor, who is now joining the leadership team, they share insights into their family’s journey, the evolution of Manga Hotels, and the company’s capacity for growth and adaptation.

From civil engineering to entrepreneurial vision

Sukhdev Toor’s entry into the hotel business in Canada was not planned. Arriving in 1983 with a degree in civil engineering from the Punjab region of India, Sukhdev had to change course upon realizing that Canada’s economy was in a downturn and jobs in his field were scarce. “I came to Canada in the early 1980s as a young married man with high hopes of getting a good job,” he says. “But we went through a very tough recession at the time. There were no jobs,” he explains.

With a young family to support, Sukhdev initially juggled various jobs, from factory work to driving a limousine at the airport in Toronto on weekends while attempting to pursue an MBA at the University of Waterloo. He soon realized that building a future in Canada required a different path. “I was a young guy, 25 years old... either I work here or go back home. There was no in-between,” he recalls. This led him to the real estate market, where he first purchased a house in Ontario and then, sensing an opportunity, ventured into the motel business. “I took my equity out, and bought a small motel in St. Catharines… then I wanted to learn more about real estate. I did a real estate course while in St. Catharines.”

Strategic learning and expansion

Sukhdev’s decisions were influenced by his keen sense of timing, his willingness to learn, and his boldness. His foray into British Columbia in 1989 was based on observing market cycles and understanding regional differences in economic performance. It was here that Sukhdev began to fine-tune his approach to buying and selling properties.

Recognizing opportunities to purchase properties during economic downturns that would appreciate was a strategic mindset, combined with a relentless work ethic, allowed him to expand rapidly and acquire several properties across British Columbia.

Sukhdev was able to buy properties at lower prices, improve them, and sell them for a profit. “The economy came back very strongly,” he remembers.

By the mid-1990s, the Toor family had moved back to Ontario as the economic conditions in the province and the subsequent market presented new prospects. He began acquiring larger properties in Ontario, such as the Best Western Conestoga in Kitchener and later ventured into more branded hotels with Comfort Inns and Howard Johnsons across various cities. By 1997, Manga Hotels had nine properties, and the company was well-positioned for its next growth phase. Sukhdev was the first to build a Hampton Inn in Canada in 1998, and he continued to expand with more branded properties across Ontario, the state of New York and Atlantic Canada.

Embracing data and technology for sustained growth

A defining characteristic of Manga Hotels’ success is its early and enthusiastic embrace of technology, sustainability, and data analytics. Sukhdev’s decision to build Canada’s first LEED-certified hotel in the early 2000s exemplifies this forward-thinking approach. This investment in green technology was not merely for branding but stemmed from a genuine belief in sustainable business practices. “We built a LEED hotel, which is certified for Leadership in Energy and Environmental Design and that has environmental savings and efficiencies.”

Current projects continue to reflect this commitment to sustainability and innovation. At a development in downtown Toronto, Sukhdev has invested heavily in geothermal energy systems and solar panels. “We had 40 boreholes. It cost us extra to do that,” he states. Geothermal boreholes are deep, vertical holes drilled into the Earth to access geothermal energy, which is the heat stored beneath the Earth’s surface. These boreholes are used to harness geothermal energy for various purposes, such as heating, cooling, and generating electricity.

Manga Hotels has always been willing to make significant upfront investments to ensure long-term efficiency and success, and in this case, to reduce its carbon footprint. “We are here to stay for the long term,” says Sukhdev of one of the core values of his company, which is contributing to both the present and the future within the business community and society.

Using data to drive decisions and maintain quality

Manga Hotels has integrated data-driven decision-making across its operations to stay competitive and adapt to changing market conditions. Sukhdev highlights the importance of using technology to improve efficiency and enhance the guest experience. “We are using data in lots of ways, in our operations, for housekeeping, and for maintenance,” he explains. The company has adopted comprehensive data analysis tools to optimize everything from guest services to internal operations. “If utilized properly, it makes life easier and response time much less.”

Neelu Toor is Sukhdev and his wife’s firstborn daughter. After a successful legal career, she recently joined the company in a strategic leadership role. She adds: “We are very data-driven. Our business decisions are based on deep analysis. My father has been at the forefront of utilizing data to improve the business.” The use of data to inform decisions further demonstrates the blend of experience and the adoption of modern management practices that set Manga Hotels apart.

Neelu Toor, chief strategy officer and general counsel, Manga Hotels. Photo by Stacey Newman.

Neelu Toor, on stepping in

Today, Manga Hotels continues to plan for growth, with Neelu Toor’s leadership as chief strategy officer and general counsel at Manga. “I became involved following a career shift,” says Neelu, who holds degrees from Cornell, Stanford, and Oxford. She was a partner at Davies Ward Phillips & Vineberg LLP, a leading Canadian law firm. “It’s a funny thing because people ask me, ‘When did you start working in hotels?’ The truth is, I grew up in them.”

Neelu’s admiration, respect and love for her father is evident. She talks about how much it means to her and how much she enjoys working with him. “I’m very fortunate,” she says.

Neelu brings new viewpoints to the Manga business plan. She wishes to bring an even more structured, governance-focused approach to the company while tapping into her background in mergers and acquisitions. “I bring organizational mindedness and a different perspective to the table,” she explains.

Sukhdev is excited about Neelu’s future with the company. “She learned the ropes before she came here,” he says, acknowledging her experience and the new energy she brings to Manga. “She can take us to much higher heights.” Reflecting on their relationship, he adds, “I could not do everything alone. It’s very, very important in business to be able to work with other people. And lead them by working with them.”

Evolution and expansion, a vision for the future

Sukhdev’s philosophy has always been about preparing for future shifts in the industry and looking farther down the road than conventional business thinkers would have us do. “From experience, you learn if you want to stay longer term, you need to have the quality of business required to be truly sustainable,” Sukhdev notes. “You need to have good quality buildings. You need to listen to what our guests demand to be on the cutting edge.”

Neelu describes this forward-looking mindset as part of what makes her father a visionary in the industry. “He’s looking ahead of everybody else because he truly believes that as the hospitality industry changes, we can grow. We can expand where those opportunities lie and capture them,” she explains. “It’s a bit of luck, but it’s also a lot of research and deep knowledge.”

Manga Hotels is actively expanding, with several major projects underway. These include four new hotels in downtown Toronto and a significant build at Toronto Pearson International Airport. “We have 1,200 rooms in downtown Toronto alone under development,” Sukhdev states.

Neelu adds that the company has recently completed eight strategic acquisitions in the last year, demonstrating a strong growth trajectory. While hotels remain at the core, the company has diversified into other areas, such as residential rentals in Halifax, Brampton, Toronto and Calgary. “We’re building apartments as well,” Sukhdev says. “This has been a banner year for acquisitions.” The strategy is to maintain a balanced portfolio that allows Manga Hotels to adapt to changing market conditions.

The company has also successfully invested in food and beverage, founding eight locations of its restaurant concept across the country—The Cannery Kitchen & Social—as well as owning 11 additional F&B outlets Canada-wide.

Philanthropy and community impact

Beyond business, the Toor family is committed to community engagement and philanthropy. The Toor Family Foundation was established to centralize their philanthropic efforts, with a particular focus on challenging social stigmas and supporting health and cultural initiatives. One significant partnership is with the Centre for Addiction and Mental Health (CAMH) in Toronto. “Mental health is health,” Neelu states. “We want to help disassociate the stigma attached to mental health within the South Asian community.” The family has also made contributions to the Royal Ontario Museum to establish a Sikh Art and Cultural Centre, furthering their commitment to cultural preservation.

A visionary approach

As Manga Hotels continues to grow, both Sukhdev and Neelu emphasize a balanced approach to risk and opportunity. Sukhdev puts it succinctly: “Risk management is crucial. There’s no risk, no reward, no guts, no glory. At the same time, you need to take calculated risks.”

The company’s latest projects, including multiple properties in downtown Toronto and a diverse mix of hotels and residential developments, are a testament to their ability to adapt and flourish. “We want to make sure we grow where we have sustainable growth,” Sukhdev explains. “Not growing just for the sake of growth, but to build this strong foundation.”

Core values and ambitions

Manga Hotels’ success is driven by a unique blend of visionary leadership, a commitment to sustainability, and a data-driven approach to decision-making. Sukhdev Toor’s ability to foresee trends, take calculated risks, and embrace technology has allowed the company to expand strategically and sustainably. As Neelu steps into a leadership role, she brings a fresh perspective that balances her father’s entrepreneurial spirit with a corporate governance mindset, ensuring that Manga Hotels will continue to evolve in a competitive market.

As the Toor family looks to the future, their focus remains on delivering quality, leveraging technology, and growing their presence in key markets. “We are here for the long term, and we intend to keep building a legacy,” says Sukhdev, summing up the ethos that has driven Manga Hotels from its humble beginnings to its current status as a leading force in the Canadian hospitality industry.

The name “Manga” is more than just a company brand; it is rooted in the Toor family’s history. Sukhdev explains how the name was inspired by their ancestry. “Around 1990, I asked my father to see our family tree with the names of our forefathers. The first recorded Toor from our family is from the 17th century, and his name was Manga.” This decision reflects the deep sense of family pride and heritage that fortifies the Toor family’s approach to business, as they continue to build a legacy that honours their past while looking boldly to the future.