JKH which also has resorts in the Maldives, said occupancy there was also higher with a 17 percent gain in arrivals.
The 240-room building is now under construction and will be managed by the group.
JKH told shareholders in the annual report that all its hotels will be branded 'Cinnamon' during this year.
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Cinnamon Hotels and Resorts will then have 14 hotel properties and over 2,400 rooms.
Sri Lanka has reported arrivals of 1.
27 million in 2013 up 26 percent from a year earlier.
Arrivals were also up 24 percent to 421,000 in the first quarter.