Nobu Hospitality, known for its posh restaurant chain, has successfully expanded into the luxury hotel market with their Nobu Hotels brand. The company’s success can be attributed to factors such as the high revenue generated by their in-house restaurants, the star power of co-founder Robert De Niro, and a strong company culture that helps retain top talent. The brand has steadily grown over the past 30 years, with approximately 50 restaurants worldwide and plans to open their 40th hotel in Ho Chi Minh in 2026. Nobu expects to have 80 hotels within the next five years.
Nobu Hotels has a robust track record of financial success, with Horwell indicating that the brand performs well financially. The brand has not closed any hotels or restaurants in over three decades and continues to attract a consistent customer base. Non-guests drive a significant portion of the revenue at the restaurants within Nobu Hotels, with the brand successfully partnering with marquee investors for new developments. The company has expanded into branded residences, with offerings in Toronto, Los Cabos, and Abu Dhabi.
Co-founders Nobu Matsuhisa, Robert De Niro, and Meir Teper were instrumental in recognizing the potential for a hotel brand extension. De Niro was particularly interested in creating a unique and special experience for guests. The brand’s emphasis on hiring smart individuals who prioritize luxury customer experiences has been crucial to its success. Nobu Hotels focuses on sustaining its company culture to retain talent and provide opportunities for employee advancement.
Nobu Hotels’ future plans include further expansion with a goal of reaching 70 to 80 hotels. The company is confident in its ability to grow without the need for additional capital, relying on its existing network of real estate investors. Although some analysts may express concerns about brand dilution with rapid expansion, Horwell emphasizes a cautious approach to scaling the brand. Nobu Hotels aims to carefully select new locations and maintain a focus on quality rather than simply planting flags in new markets based on stock market pressures.
Overall, Nobu Hospitality’s success in the luxury hotel market can be attributed to their strong financial performance, partnerships with investors, and a commitment to providing a unique and special experience for guests. The brand’s focus on retaining top talent, sustaining company culture, and careful expansion plans are key factors in their continued growth and success in the competitive luxury hotel industry.
