Starwood Hotels Makes a Comeback with Global Expansion

Key Points:

• Starwood Returns: Barry Sternlicht, CEO of Starwood Capital, is relaunching Starwood Hotels with 14 properties across 5 countries, aiming for 22 locations by 2029.

• Brands Leading the Charge: The portfolio includes Baccarat, 1 Hotels, and Treehouse, with plans to expand to cities like Dubai, Austin, and the Maldives.

• Industry Growth: Hotel investment is projected to grow 15%-25% in 2025, with revenue per available room expected to rise 3%-5%, according to JLL.

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Starwood Hotels’ Second Act

Barry Sternlicht, the billionaire who built the Starwood Hotels empire before its $12B sale to Marriott in 2015, is bringing back the iconic brand. This time, the revitalized Starwood Hotels will operate three distinct chains—Baccarat, 1 Hotels, and Treehouse—with additional concepts in the works.

Sternlicht has already grown the portfolio to 14 hotels across five countries, with expansion plans for high-demand destinations like Austin, Seattle, Crete, and Manchester, UK. New Baccarat Hotels are slated for Dubai, Rome, and the Maldives, while Treehouse aims to evoke nostalgia with "vintage" vibes.

Sternlicht told The New York Times that his goal isn’t just managing assets but building something new, saying, “I’m kind of like a singer having one song. I want to have two songs.”

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A Hotel Industry Poised for Growth 💼

The timing of this relaunch aligns with a rebound in the hospitality sector:

• Travel Recovery: Domestic travel and international tourism are set to climb in 2025, with international visitors to the U.S. expected to increase by 10% to 85 million.
• Investor Interest: JLL forecasts 15%-25% growth in hotel investment for 2025, buoyed by moderate revenue gains and lower borrowing costs.

For Sternlicht, who made waves by creating the W Hotels brand under Starwood’s first iteration, the goal now is to tap into travelers’ increasing appetite for unique, high-end experiences. Despite potential plans to sell a portion of Starwood Hotels for capital, Sternlicht made it clear: he has no intention of selling the company outright.

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What It Means for Investors 🏨

With the hospitality industry recovering and Sternlicht’s proven track record of innovation, Starwood Hotels’ return could reshape the luxury travel landscape. For investors, this move highlights the sector’s resilience and potential for high returns as global travel surges.

📈 Takeaway: As travel demand rises, Sternlicht’s relaunch signals that hotels with unique, experience-driven offerings will dominate the market. For landlords and brokers, the growth in boutique hospitality signals new opportunities for partnerships and investment in emerging travel hubs.