Marriott International, Inc. (NASDAQ: MAR) today celebrates the groundbreaking of its first-ever hotel to contain three of its brands in a single building – a concept that underscores the company's commitment to innovate in ways that benefit both consumers and the development community.
The landmark project will rise in Nashville's SoBro neighborhood, which over the last few years has been transforming into a bustling area filled with restaurants, shopping and entertainment. The 470-room, $137 million hotel is expected to open mid-year in 2018.
"Marriott continues to grow its multi-brand portfolio, as these projects offer a myriad of benefits to both our development partners and our guests. Developers can target multiple consumer segments while benefitting from significant construction and cost synergies. Hotel guests are offered a wider range of options to serve all of their travel needs," said Tony Capuano, Executive Vice President and Global Chief Development Officer at Marriott International.
The L-shaped, 21-story building being developed by Atlanta-based North Point Hospitality will contain an AC Hotels by Marriott that will occupy 209 rooms in one wing and a combined SpringHill Suites by Marriott and Residence Inn by Marriott in the adjoining wing with 125 rooms and 136 rooms, respectively. Though customers will see three brand logos on the outside of the building and have three distinct hospitality experiences inside, the developer has planned to consolidate behind-the-scenes operations and spaces to reduce ongoing expenses.
"We are very excited to make history with Marriott by being the first company to develop a tri-branded Marriott hotel," said S. Jay Patel, president and CEO of North Point Hospitality. "We are proud to partner with Marriott in bringing this concept to the Nashville market and are confident that uniting the AC Hotels, Residence Inn, and SpringHill Suites brands will create a successful hotel and an exciting place to stay for a range of Music City visitors."
Marriott has experience with the benefits of combining brands in single buildings. As of June 2016, Marriott has 52 dual-brand hotels open, 84 approved and 32 under construction – more than any other hospitality company in the world. Marriott's most visible example is New York's combined Courtyard and Residence Inn located in Times Square in a 68-story tower, which makes it the tallest hotel in North America.
California and Texas are the states that contain the most dual-branded Marriott hotels now open, with four in each state, but California is poised to take the lead with 10 dual-branded properties under construction or approved.
Customers stand to benefit from this trend since the multi-brand hotels typically have more robust amenities, such as larger pools and fitness centers. North Point Hospitality's plan for the Nashville triple-brand hotel includes a large pool, state-of-the-art fitness center and large conference and meeting space on the top floor.
"It is no secret that Nashville is in need of additional hotels room," said Butch Spyridon, President and CEO of the Nashville Convention & Visitors Corp. "This project couldn't come at a more perfect time with a great location and a great mix of price points and uniquely different offerings. We appreciate how Marriott is meeting the needs of our visitors, whether they are convention, leisure or business travelers."
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