Sbe Founder and CEO Sam Nazarian announced with partners Ron Burkle and Cain Hoy Enterprises the definitive closing of sbe's acquisition of Morgans Hotel Group. The transaction, which has a value of $805 million, more than doubles the number of hotels in sbe's portfolio and expands its global footprint.
The acquisition brings Morgans' Delano and Mondrian brands—along with 13 domestic and international hotel management and franchise/licensing agreements—together with sbe's existing collection of brands, which include SLS hotels, The Redbury hotels, and Hyde hotels. As part of the Morgans acquisition, sbe takes direct ownership of the 194-room Delano Hotel in South Beach, the 878-room Hudson Hotel in New York City and the 372-room Clift Hotel in San Francisco.
"The acquisition of Morgans not only further expands our offering—but brings the invaluable partnerships of Ron Burkle and Cain Hoy Enterprises,” Nazarian said. “sbe will now have a presence from San Francisco to Doha; Los Angeles to London, and brings its impressive history, talented team and culture of service and innovation to the sbe family. We couldn't be more pleased about the transaction."
Upon the acquisition, the expanded company will operate under the name of sbe and feature a portfolio of 22 international lifestyle hotels in global markets such as L.A., New York, Las Vegas, Miami, San Francisco, Istanbul and London, in addition to residential properties within North America.
