U.K.-based Queensgate Investments LLP plans to pay $400 million to acquire micro-hotel brand Freehand Hotels, according to news reports. New York-based Freehand is currently majority owned by hotel operator Sydell Group as well as Ron Burkle’s The Yucaipa Companies. Freehand operates four properties in New York, Chicago, LA and Miami. Freehand also counts the LINE and NoMad brands in its portfolio, and the company also has plans to launch a luxury members club brand.
Queensgate plans to operate Freehand alongside the Generator brand, a hostel brand that has properties across Europe and in the U.S. (Miami and Washington, D.C.). Both of the brands target millennial travelers. As part of the deal, Queensgate will acquire the Freehand hotel operating company, the four hotels and the Broken Shaker F&B brand that operates at the properties.
The Queensgate-Freehand transaction has an anticipated close date of this summer.
Photo: Courtesy of Freehand New York