Dive Brief:

• Real estate and development private equity firm TMGOC Ventures received approval from the Savannah Historic District Board of Review to bring the first Ritz-Carlton to the Georgia city, the firm announced last week. Construction on the hotel and residences will begin in the second quarter of 2024, with an opening date set for early 2026.
• The luxury project will comprise a 104-room hotel within the historic Savannah Skyscraper office building at 2 E. Bryan St. in the city’s downtown, along with 20 residences nearby at 14 E. Bryant St., the firm said. The project will feature shared amenities, including a restaurant, lobby lounge, members’-only club, and a rooftop bar and pool. The property also will have a 5,000-square-foot spa and wellness facility and more than 5,000 square feet of meeting space. 
• The Savannah Ritz-Carlton was announced just weeks after Marriott International, the brand’s parent company, said it will focus on rooms growth for its luxury flags over the next several years. Other major hotel chains like Hyatt are also expanding in the segment. 

Dive Insight:

TMGOC Ventures will restore a portion of the Savannah Skyscraper building to “usher in a new era of luxury” to the city, TMGOC Co-Founder and Managing Partner Glenn Alba said in a statement. His partner, Sunju Patel, called the hotel an “ultra-luxury property worthy of the city’s rich history.”

“Guests and owners can expect a five-star experience with elegantly-designed rooms and residences, innovative amenities, high-touch service and more — all set against the backdrop of this great, historic Southern city,” Alba added. 

The TMGOC Ventures-owned project will be designed by New York- and London-based interior designer Martin Brudnizki Design Studio and Miami-based architecture firm Studio Mc+G Architecture. The Ritz-Carlton brand will operate the hotel and residences. 

The development aligns with Marriott’s plans to grow its luxury portfolio through 2025, outlined in a late-September meeting with investors and analysts. The hotel company has 225 hotels in its luxury pipeline, including other Ritz-Carlton properties across the country. 

In addition to foraying into Savannah, Ritz-Carlton will open its first hotel in the Pacific Northwest in Portland, Oregon, later this year. 

Marriott’s focus on growing its luxury brands comes as global wealth is expected to increase 38% by 2027 and travel spending will likely reflect that growth, the company shared in its September meeting. 

Hyatt is also ramping up its luxury hotel pipeline. Last month, the company added 30 hotels and resorts to its luxury lifestyle portfolio. The hotels, including for the Thompson Hotels, Caption by Hyatt, Andaz and Grand Hyatt brands, are set to open across the Americas through 2025. 

In addition to other Marriott hotels for the Moxy and Autograph Collection brands, TMGOC Ventures is also underway on a 191-key Thompson Hotel in Charleston, South Carolina. The real estate firm has a portfolio spanning $1 billion in existing and development projects.