IHG® has launched franchise sales efforts for its newest brand – Atwell Suites™ – in the U.S. The new upper-midscale hotel brand targets an estimated $18 billion industry segment which has grown by 70 percent over the last four years. Atwell Suites was first unveiled in May 2019 to thousands of IHG owners and operators at its Americas Investors & Leadership Conference in Las Vegas.
The Atwell Suites brand is designed for a new type of guest who is seeking opportunities to discover, learn and grow as they travel – perhaps even extending their stay a few days to explore a destination. IHG designed Atwell Suites for this new generation of travelers, integrating flexibility throughout the property with spaces and programs that encourage social interaction and help foster a spirit of kinship among guests.
Jennifer Gribble, Vice President, Atwell Suites, IHG, commented: “We used extensive consumer research and insights, as well as close collaboration with our existing owners, to create Atwell Suites as a unique brand that is both efficient for owners and inspiring for guests. We’re excited to bring a new brand to the marketplace that creates an environment where guests can be at their most inspired, most productive and most rested.”
Signature features of the Atwell Suites brand include:
- All-studio suites: Atwell Suites properties will offer all-studio suites which include distinct zones for living and sleeping; a wet bar with undercounter refrigerator, microwave, coffeemaker and bar sink; a work area with a high-top desk; a pull-out sofa; an oversized vanity in the bathroom; and a two-sided closet that can be easily accessed from both the guestroom and the bathroom.
- Spaces to connect and collaborate: Guests will be able to easily move from their rooms to public spaces in order to relax, work, collaborate and create connections in whatever way works best for them. Atwell Suites’ design allows guests to create their own environment with more flexible meeting spaces – including a flexible meeting room integrated into the second floor of the lobby, outdoor space, huddle areas and public/private working spaces.
- “Golden Hours” F&B: Atwell Suites properties will offer F&B options for when the sun is coming up and going down. All hotels will offer a complimentary hot breakfast that will feature two to three rotating signature hot items alongside a variety of morning favorites, as well as premium coffee and espresso. Additionally, guests may enjoy a paid bar in the lobby at the end of the day that will serve small plates of cravable items such as dips, tacos and flatbreads, paired with a drink menu featuring beer, wine and cocktails.
Atwell Suites properties will feature the latest technology solutions to power the guest experience, including IHG's industry-leading in-hotel Wi-Fi, IHG® Connect. The brand will also offer IHG® Studio, a seamless direct casting of entertainment from guests' smart phones and personal devices to 55" TVs in each room.
Atwell Suites is a strong complement to IHG's established brands, offering an average daily rate within the upper-midscale price point. Atwell Suites properties can be developed in any market and will be efficient to build, operate and maintain – consistent with the company’s commitment to a positive owner experience for all of its brands. Additionally, Atwell Suites’ efficiently designed building and operating model will minimize the number of employees required to provide exceptional service for hotel guests.
With initial development focused in the U.S. market, the brand will be predominantly new-build following a prototypical design, with conversions also being considered on a case-by-case basis. In August, IHG announced that it had received more than 50 expressions of interest from owners in developing the Atwell Suites brand just a few months following the brand’s launch. IHG expects the first Atwell Suites locations to begin construction in early 2020 and open in 2021.
The offer available from IHG includes:
- Target build cost between $105k – $115k per key (excluding land costs), with estimated site size of two acres
- 5% royalty fee
- 4.75% loyalty rate
- License agreements which are signed before March 2021 will be eligible for a 2% royalty fee discount in year one and 1% royalty fee discount in year two if all opening milestones are achieved