Breaking: sbe announces first two HQ properties

After launching the “smart lifestyle” brand in January, Sam Nazarian’s sbe and Wyndham Hotels & Resorts have signed the first Project HQ Hotels & Residences with planned conversions of The Royal Plaza & Villa Toscane in Montreux, Switzerland, and The Park Avenue House in Detroit, Michigan.

Sbe representatives told Hotel Investment Today that equity for the Montreux property is being led by sbe and a new ownership group, while new developer Alter Mile Group and partners are developing the previously distressed Detroit property. Reports indicate a lender on the Detroit property was seeking receivership and foreclosure in late 2023 after the previous owner defaulted.

Construction will begin for both properties later this year with reopenings anticipated for late 2025. 

The fledgling brand from nightlife master Nazarian and his new business partner global entertainer Marc Anthony’s Magnus company has more than 10 additional hotels under discussion with applications in both adaptive reuse and conversion developments. About 50% of the upcoming openings will be international, 50% stateside with an expected mix of 80% conversion and 20% new construction. Their longer-term goal is to open 50 hotels by 2030, delivering approximately 7,500 rooms.

The Royal Plaza & Villa Toscane in Montreux, Switzerland, will convert to an HQ hotel

As first revealed at The BHN Group’s Caribbean Hotel & Resort Investment Summit (CHRIS) in Miami and reported in March by Hotel Investment Today, the venture is reinforcing its plan to provide $50 million in key money and sliver equity to propel Project HQ growth.

To help drive growth sbe has named added 15 team members, including Todd Ruff as chief growth officer, sbe Hotels; Angela Lester, executive vice president of Business Development EMEA, sbe Hotels; Giovanni Rizzini, strategic advisor, sbe Hotels; Anthony Miedenbauer, chief development officer, Disruptive Restaurant Group; Geoff Madding, COO of Entertainment & Lifestyle; and Fred Frosini, senior vice president of Entertainment & Lifestyle for sbe hotels.

The Royal Plaza & Villa Toscane will be transformed into the first international hotel for the new brand and rebrand as The HQ Monteux Hotel & Spa. A major renovation will create a 360-room hotel with two restaurants from sbe’s Disruptive Restaurant Group (partners to be announced) and a bespoke cocktail bar in the lobby.

Facade of the Park Avenue House in Detroit

The transformation of the 174-room Park Avenue House in Detroit will include a specialty restaurant from sbe’s Disruptive Restaurant Group, as well as a cafe and quick-service-delivery from sbe’s Everybody Eats platform.

Both hotels will sit under Wyndahm’s Registry Collection Hotels brand and participate in the Wyndham Rewards program.

“Having established our first locations in Montreux and Detroit, we're steadfast in our commitment to meeting the evolving desires of upcoming generations,” Nazarian said. “This marks the genesis of Project HQ, and we eagerly anticipate unveiling more exciting initiatives in the months ahead, alongside Geoff Ballotti and his tremendous Wyndham team. With our sights set on the future, we aim to build tremendous momentum as we continue to innovate and inspire.”

Wyndham President and CEO Ballotti added, “We’ve seen tremendous interest from owners looking to enter the smart lifestyle category created by Sam Nazarian’s sbe. 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.”