French hotel group Accor is to sell its budget and extended stay US brands Motel 6 and Studio 6 to Blackstone, owners of Hilton Worldwide.
Accor currently operates 1,102 hotels under the brands in the US and Canada, totalling over 100,000 rooms, but says that the sale will “provide Accor with additional resources to address the tremendous growth potential in the Asia Pacific region, in Latin America and in Europe, where the leadership of our brands is one of the key drivers of our future growth”.
The group says it will retain a presence in North America through its Sofitel and Novotel brands.
Private equity firm Blackstone says it will operate Motel 6 on a stand-alone basis, and plans “to invest significant capital in the Company’s properties and to accelerate the expansion of the franchise base”.
Blackstone also owns Hilton Worldwide, and recently acquired the Mint Hotel portfolio to integrate it into Hilton’s Doubletree and Garden Inn brands (see online news November 9, 2011).
Report by Mark Caswell