The West Paces Hotel Group Changes Name to Capella Hotel Group to Capitalize on Its Successful Luxury Brand; Partners with Private Equity Firm Stoneleigh Capital for Rapid Global Expansion
New company formed to benefit luxury hotel and resort owners and developers by investing in top properties
ATLANTA--(BUSINESS WIRE)-- The West Paces Hotel Group, the fastest growing luxury hotel management company, today announced that effective immediately it has changed its name to Capella Hotel Group to capitalize on the successful luxury brand it has created in Capella hotels and its expanding global operations. In addition, Capella Hotel Group announced that it has formed a partnership with Stoneleigh Capital, a private equity firm with an expertise in hospitality investments to offer a new model to owners and developers and accelerate its growth strategy.
Horst Schulze, Chairman and CEO of Capella Hotel Group said, "We are strengthening our support for luxury hotel owners, developers and investors through a partnership between Capella Hotel Group and Stoneleigh Capital that creates a new model combining the highest skill set and knowledge in strategic hospitality analysis and investment with the global standard in luxury hotel management and marketing."
"The Capella Hotel Group has enjoyed strong growth over the past nine years and the name change allows us to take advantage of the power brand we have built," said Schulze. "The investment by Stoneleigh Capital will increase our expansion by two times which already calls for the addition of five hotels over the next 12 months as well as doubling the size of the company over the next two years. With our Capella and Solís brands and select independent hotels, we will continue to create and manage the best luxury hotels in gateway cities throughout the world."
"Capella Hotel Group is the luxury hospitality thought leader and has established the global standard in service quality," added Gary Engle, Chairman and CEO of Stoneleigh Capital. "The company's innovative vision and drive for the highest level of personalized service coupled with the strength of the company's brand were the key reasons for our investment decision. Together, we can capitalize on the great opportunities in the global luxury hospitality market and continue to nurture one of the most desired luxury brands."
Stoneleigh, whose recent investors include JP Morgan Private Equity Limited (LSE: JPEL), formed Stoneleigh WP Partners LLC to make its investment in Capella Hotel Group. In addition, Stoneleigh WP Partners LLC will seek to co-invest with owners of hotel and resort properties that expand the Capella and Solis brands.
Capella Hotel Group also announced that Gary D. Engle, Chairman and CEO, Stoneleigh Capital, James A. Coyne, Vice Chairman and CFO, Stoneleigh Capital and Frank D. Palmer, Managing Director of Stoneleigh Capital, have joined its board of directors.
"Stoneleigh's relationship with global banks and ability to complete complicated transactions in this arena gives the private equity firm an edge over competitors and make them an ideal partner," said Robert Warman, President and COO, Capella Hotel Group. "In addition, we believe the current market is an excellent time to deploy capital as our exceptional brand has proven to add value and enhance the image of a property. Owners and investors see a healthy return on investment when they partner with Capella Hotel Group. And, this value has proven to go beyond hotels, including offices buildings, condominiums, and vacation and resort communities."
Capella Hotel Group indicated that its outlook for the luxury hotel business is strong over the next few years with Asian high net worth travelers expected to provide great growth. "We will attract those travelers with the best hotels in the world. And because our offering has been created for the luxury traveler, we are not affected by typical economic cycles," said Warman.
About Capella Hotel Group
Founded in 2002, Capella Hotel Group (CHG) provides higher levels of guest satisfaction, guest retention, employee satisfaction, and, ultimately, financial rewards for its owners and investors. The company accomplished this by delivering superior levels of service excellence for every luxury hotel, spa, and residence managed. Its world-renowned service success is credited to a highly disciplined, employee-driven participative process that is guided by statistically significant quality measurements.
Its unique concepts in hotel and resort accommodations and service are developed from innovative ideas shaped by the increasing sophistication and desires of today's travelers and guided by the firm's experience and vision.
Capella Hotel Group offers hospitality management services within four distinct profiles around the world:
- Capella Hotels, an ultra-luxury hotel, resort, and residential concept designed for the most discerning travelers and offering personalized attention.
- Solís Hotels, for travelers and meeting planners who seek comfortable accommodations characterized by exceptional service, quality finishings and meticulous attention to detail.
- Independent Hotels, unique, upscale properties that benefit from the professional management services we provide.
- Spas, which include our own destination spa brand, Auriga.
Capella Hotel Group is headquartered in Atlanta, Georgia. For more information, please visit www.capellahotelgroup.com.
Makovsky + Co.
Scott Tangney, 212-508-9661
Source: West Paces Hotel Group
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