Trilogy Hotels to operate Western Sydney’s first five star hotel
Independent management company Trilogy Hotels has been appointed by the Panthers Group’s to operate its $110 million five-star hotel, the Pullman Sydney Penrith.
Trilogy, which was founded by lawyer Tony Ryan last year, has been on an aggressive expansion spree and has already won the rights to manage nearly 1200 hotel rooms across four hotels since its foundation.
While the hotels it now operates are predominantly owned Jerry Schwartz, one of Australia’s largest private hotel owners, Trilogy aims to have another 1200 rooms under its management by the end of 2024.
Ryan was behind Accor’s $US940 million takeover of Mantra Group in 2018.
Panthers chief executive Brian Fletcher said of the deal, “With Trilogy Hotels we are poised to elevate our offerings, enhance operational efficiency, and drive sustainable growth in the dynamic hospitality industry.”
Fletcher is looking to maximise the potential of Western Sydney’s first luxury hotel – the newly built 153-room Penrith hotel.
Michael Thomas, who has worked for the Peninsula Group, Shangri La, Banyan Tree, Hilton and Accor, has been appointed general manager of the hotel.
“We give direction to the general manager, we have full control of the asset on behalf of the owner. The predominant fee is based on the profitability of the hotel,” Ryan said of Trilogy’s management model.
“And with smaller properties we can drive savings. (But) we are not chasing motels in regional areas such as Wagga.”
Trilogy was created to oversee investment-grade assets and target hotels which were sold with vacant possession. Its business model is an American-style model that focuses on hotel operations, drives operational and profit performance and provides access to operational systems, training and team development.
“This is the preferred operating model in the US and is rapidly growing globally,” Ryan said.
The company announced a major deal with the Schwartz Family Company in February, which secured the management of the Mercure Sydney, Ibis Sydney World Square, Mercure Canberra and Fairmont Resort Blue Mountains.
“In Australia and New Zealand, the industry has relied heavily on the traditional hotel management agreement model where hotel owners engage with a particular hotel brand for both their distribution and operating capability,” said Trilogy chief executive Scott Boyes.
“In the US and Europe the independent management model, with brand support under a franchise agreement is the predominant model preferred by hotel owners and hotel brands alike.
“We are expanding that model further and tailoring it for the Australian and New Zealand market to help hotel owners feel more connected with their investment, while partnering with and utilising the exceptional distribution capability of a global hotel brand.”
Jonathan Jackson, 30th April 2024
