Dive Brief:
- Project HQ Hotels & Residences, the “smart lifestyle” brand from SBE and Wyndham Hotels & Resorts, will open its first locations in Detroit and Montreux, Switzerland, SBE announced at the NYU International Hospitality Investment Conference in New York City today.
- The brand has committed to building 10 Project HQ hotels across the Sun Belt, as well as in the Caribbean, in partnership with hospitality investment firm LionGrove. SBE also announced a $50 million key money and silver equity fund designed to further grow the brand.
- SBE Founder and CEO Sam Nazarian said Project HQ will cater to “the tidal wave of consumers coming into the marketplace from the Millennial, Gen Z and Latino audience.”
Dive Insight:
With Project HQ, SBE hopes to “redefine the lifestyle hotel experience” and meet “the evolving needs of modern travelers who seek memorable experiences and connectivity,” according to an announcement obtained by Hotel Dive.
The hotels will offer a “more approachable” option for travelers who are priced out of the lifestyle hotel market, a spokesperson for SBE told Hotel Dive, noting that 80% of the brands forthcoming locations will be conversion properties.
The brand’s investors include entertainer Marc Anthony’s company Magnus, which will give the brand more reach among its “most sought-after audiences”: millennials, Gen Z and Latin communities, according to the announcement.
In a statement, Nazarian said these audiences are “eager to partake in communal celebrations, create new memories, and relish moments of wonder — and we are creating the spaces to do just that.”
The 174-room HQ Detroit Hotel & Spa will offer “personalized services,” combining dining with “innovative” design, according to the announcement. The property will feature a specialty restaurant from SBE’s Disruptive Restaurant Group, a cafe and quick-service delivery from SBE’s Everybody Eats platform.
SBE said Detroit is a key market for the brand due to its “remarkable transformation to an exciting destination for tourists across the U.S.” Tourism draws include the city’s cultural scene, major events such as the North American International Auto Show and sports arenas and entertainment districts, SBE said.
The company expects its Switzerland hotel, HQ Montreux Hotel & Spa, to open in 2025. The property will feature 155 guest rooms and 42 residences, a spa and fitness center, lobby cocktail bar, two restaurants and a coffee shop.
Nazarian’s hospitality company, which launched in 2002, claims to have invented “lifestyle luxury.” Since SBE first announced Project HQ in January in partnership with Wyndham’s Registry Collection, Wyndham President and CEO Geoff Ballotti said the brand has already seen “tremendous interest from owners looking to enter the smart lifestyle category.” SBE plans to open 50 Project HQ hotels by 2030.
“These initial projects in Montreux and Detroit set the stage for a brand that will benefit from [SBE’s] legendary lifestyle experience and Wyndham’s unmatched scale and resources, creating a turn-key solution unlike anything in the market today,” Ballotti added in a statement.
In tandem with Monday’s announcement, SBE shared leadership changes intended to spearhead growth, including the appointment of Todd Ruff as chief growth officer for SBE Hotels.
According to LinkedIn, Ruff joined SBE in May from Mandarin Oriental Hotel Group, where he most recently served as group director of residence.
