A long-term investment by AccorHotels to boost its luxury lifestyle hotel, restaurant and entertainment network has been completed, with the transaction to acquire 50% in sbe Entertainment Group now finalised.
The partnership will see AccorHotels manage 50% of sbe and its portfolio of luxury residences and serviced apartments, while the company’s founder Sam Nazarian will control the remaining 50%. Nazarian will also continue to manage the brand and its day-to-day operations along with the existing management team from its existing New York headquarters.
Tying up with AccorHotels will allow the sbe network and its brands – SLS, Delano, Mondrian, Hyde and The Originals – to leverage the global AccorHotels booking platform, appear on AccorHotels’ websites and be part of its loyalty program.
These brands will be able to expand into new markets both within and outside the US such as Latin America and the Middle East – both of which have been identified as major opportunity markets. Properties currently in the sbe pipeline are slated to open in cities including Chicago, Washington DC, Mexico City, Dubai and Tokyo, among others. By the end of 2018, the sbe network will consist of 25 hotels, nearly 7,500 rooms and 170 restaurants and entertainment venues.
AccorHotels Chairman and CEO Sébastien Bazin said the new partnership offers guests the best of both worlds in the luxury lifestyle concept.
“With sbe’s brand portfolio, AccorHotels is also taking a significant step forward in its group’s expansion in key gateway cities in the US. Sam Nazarian is an innovator with an inborn sense of creating unique experiences and groundbreaking hotels and F&B concepts. We are delighted to join forces and mutualize our skills for the benefits of our guests.”
“This partnership with AccorHotels marks the beginning of a new chapter in sbe’s history and I’m thrilled that this strategic partnership has now been completed,” sbe Founder and CEO Sam Nazarian added.
“The partnership with AccorHotels is only going to accelerate this growth both in the US and in international markets. Sébastien Bazin has built an incredibly successful global platform in an ecosystem and digital market. Everyone at sbe is hugely excited to combine the unique offerings of both groups to provide our guests with unparalleled lifestyle experiences.”