Accor to acquire 21c Museum Hotels
AccorHotels has signed an agreement to acquire 85% of 21c Museum Hotels, the hospitality management company that combines multi-venue art museums, boutique hotels and restaurants.
21c Museum Hotels will join Accor’s MGallery collection, marking the introduction of the MGallery brand into the North American market. With MGallery properties across the globe including Hotel Molitor Paris, Ink Hotel Amsterdam and Hotel Muse Bangkok Langsuan, 21c will benefit from Accor’s support in terms of development opportunities, as well as access to one of the largest distribution networks in the industry.
Founded in 2006 in Louisville by philanthropists and contemporary art collectors Laura Lee Brown and Steve Wilson, 21c was born from the idea that art can ignite urban revitalisation and catalyse civic connection – its first opening, 21c Museum Hotel, rehabilitating a series of 19th century warehouses in Louisville’s downtown arts and theatre district. The success of the flagship created opportunities for expansion, leading to properties in Bentonville, Cincinnati, Durham, Kansas City, Lexington, Louisville, Nashville and Oklahoma City, and the development of three more in Des Moines, Miami and Chicago.
“We are delighted to welcome 21c Museum Hotels as part of the AccorHotels family of brands, hence strengthening the group’s footprint in North America in a very unique and promising niche,” comments Kevin Frid, Chief Operating Officer, North & Central America, AccorHotels. “Together, we have a tremendous opportunity to grow the 21c brand, as well as introduce MGallery into the North American market, building both brand equities and further expanding the full range of unparalleled experiences for our guests. This strategic acquisition marks a new step in AccorHotels’ strategy of being the leading player in the luxury and lifestyle segment in North America.”
Steve Wilson, founder of 21c Museum Hotels, adds: “21c is proud to announce our entry into the AccorHotels family. AccorHotels is one of the world’s leading hotel operators and will be a perfect partner and catalyst for 21c’s continued growth. We are confident that the unique spirit of 21c will not only be preserved, but will flourish within the MGallery collection of boutique hotels. 21c will continue to bring the work of today’s most dynamic and engaging contemporary artists to the public, and this partnership will be a tremendous boost for 21c’s continued development in North America and abroad. We are extremely excited to see what the future holds.”
Co-founders Brown and Wilson will retain a 15% stake in the company, and will remain closely involved in providing creative guidance and support of the unique combination of art, design and hospitality that defines the 21c experience. The group will also continue to be led by President & CEO Craig Greenberg, while its corporate headquarters are expected to stay in Louisville, Kentucky.
The purchase price for the 85% stake is USD$51 million, and the transaction is due to be completed in Q3 of 2018.
