Island Outpost, Acacia Merger To Result In Growth Of Island Brand

MIAMI BEACH, FL— Island Outpost and Acacia Hotels are joining forces in a merger that is expected to create an exclusive, boutique branded portfolio. The deal will combine Island Outpost’s 11 distinct, small hotels with Acacia’s new Cost Rica resort and pilot hotel development project in the Caribbean, which is yet unnamed but is expected to open under the Island Outpost brand. Acacia, a development, management and marketing company plans to help boost Island Outposts portfolio size, and also expand its scope of products. In addition, a slight name change for the newly merged entity/brand may also soon be announced. “The Island Outpost logo and name are definitely in play,” said the CEO. “But rest assured that Island will appear in one way, shape or form in the revised name.” Acacia’s founder and CEO, William Anderson, will remain as the combined company’s CEO. Other executives who will help run the newly combined entity include Bruce Cambell, who will retain his role as CFO (formerly with Acacia), and Jona Leibrecht, formerly president of Island Outpost, who will now serve as head of operations. Anderson said the new entity plans to branch out, offering a residential component at many of its new developments (and perhaps at a few existing Island Outpost locations) and an expanded spa concept which would result in the creation of several destination spa locations. But the immediate focus for now is Acacias pilot development project in the Caribbean, which will serve as the model going forward for the Island brand. The 40-room boutique-style hotel will include a residential component and a spa in a separate building, said Anderson. While no further details were given about the pilot project, Anderson said he did expect to make an announcement in the coming weeks regarding its positioning and name. Currently the Island Outpost portfolio consists of the Marlin, The Tides and the Kent in South Beach, FL; Strawberry Hill, Goldeneye, The Caves and Jakes in Jamaica; Cuckoos Nest in Utah; as well as Compass Point, Kamalame Cay and Pink Sands in the Carribean. Anderson noted that the company is also working on revamping the Island Outpost website, which is expected to be complete over the next several months. In addition to upscale resort/spa destinations with residential components, the newly merged company is looking at expanding into other market areas— namely creating a lower end product based on Island Outposts “chic shack” concept. This would include developing resorts offering between 50 and 90 rooms, with a hipper design in a slightly more affordable price range aimed at attracting a younger crowd. “We do a chic shack better than anyone,” Anderson said. “We would like to introduce a younger crowd to our products, who as they get older, will eventually move up to our more upscale destinations.” For now, Anderson noted the company has an eye on expanding in Central America, South Florida, and the Caribbean.