Sri Lanka's Board of Investment, which gives tax breaks to investors did not disclose any investment values for the hotels.
The first property Reefs Edge Hotel and Villas will be built in Uswetakeiyawa.
It will have 23 rooms and facilities for events including a 300 person banquet hall.
The second property, City Edge Colombo will be built on Marine Drive Bambalapitiya.
"This is only the beginning. We plan to launch more hotels in key locations in the island, with time," the BOI quoted Graetian Gunawardhana, chairman of Edge Hotels as saying.
"It is our belief that our hotels will attract selective visitors from all over the world...
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Gunawardhana, an export industrialist who had headed Sri Lanka's export and American business chamber was the main investor in the chain. He is currently as board member of Sri Lanka's insurance regulator.
Key personnel in the hotel chain is Kushal Perera, chief executive; Shehan Gomez, managing director of Chariot Restaurants and Upul Gamage,