CHARLOTTE, N.C. — Charlotte-based Extended Stay America has signed a development agreement with a partnership comprising Concord Hospitality and Whitman Peterson to build 15 new Extended Stay America Premier Suites hotels. The properties will be located in major markets throughout the West, including Denver, Phoenix, Las Vegas and Salt Lake City.
Concord Hospitality is a hotel management and development company based in Raleigh, N.C., and will handle the development, branding and operations of the properties. Whitman Peterson is a private real estate equity company based in Westlake Village, Calif. The firm will provide equity, identify markets and assist with development.
“Extended Stay America Premier Suites has a unique business model that will allow us to reach business and corporate extended-stay travelers looking for a higher level of amenities,” says Mark Laport, CEO and president of Concord. “This agreement is the first step in increasing our presence in the higher-end extended-stay segment.”
The Extended Stay America Premier Suites brand comprises both new construction and renovated properties with upgraded amenities, including fully equipped kitchens, apartment-style layouts for working and dining, free in-room Wi-Fi, cable, onsite guest laundry, free breakfast and upgraded design elements such as larger TVs, increased storage space and a signature bedding package.
There are currently 28 Extended Stay America Premier Suites hotels open and operating throughout the United States, so the new development deal will increase the total by more than 50 percent. Overall, Extended Stay America operates roughly 760 hotels with 85,000 rooms. In addition to Extended Stay America Premier Suites, its brands include Extended Stay America Suites and Extended Stay America Select Suites.
Last year, Blackstone Real Estate Partners and Starwood Capital Group agreed to form a 50/50 joint venture to acquire Extended Stay America in a deal valued at $6 billion. The company, which formerly traded on the New York Stock Exchange under the ticker symbol STAY, was taken private a part of the transaction. Starwood’s CEO cited Extended Stay America’s performance amid the COVID-19 pandemic as a key factor behind the acquisition.
— Kristin Hiller