Oregon-based investment firm Sortis Holdings has struck a deal to acquire Ace Group International, parent company of the Ace Hotel brand and hotel management company Atelier Ace, for $85 million.
According to Sortis executive chairman Paul Brenneke, plans are centered on “scaling the legacy brand in a thoughtful way.”
Launched in Seattle in 1999, Ace is known for its design-forward, boutique hotels and is widely credited with helping to popularize the concept of the hotel lobby as a “living room” and co-working space.
Ace Group International has a dozen hotels, including 10 Ace Hotel properties in Manhattan and Brooklyn, N.Y.; Los Angeles; Seattle; New Orleans; Palm Springs, Calif.; Portland, Ore.; Sydney; Toronto; and Kyoto, Japan. The company also has the Sister City and Maison de la Luz brands.
Ace Group International will join Sortis’ existing hospitality holdings, which include the Ace Hotel Portland; Woodlark Hotel in Portland, Ore.; and the Mayflower Park Hotel in Seattle. Sortis also owns luxury hotel and residences brand Alum and several hotels under development in Hollywood, Calif.; Seattle; Nashville; and Carpinteria, Calif.
The deal is expected to close at the end of the first quarter.
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