Changes in latitudes isn't the only change afoot for Margaritaville, the Jimmy Buffett-inspired hospitality company. The company is launching a new boutique select-service hotel brand called Compass by Margaritaville Hotels and Resorts.

Margaritaville Holdings CEO John Cohlan said that the new brand was a logical progression of the company’s existing hospitality endeavors, from restaurants and all-inclusive resorts to classic resorts, vacation-ownership, condos, resort homes and active living. “This was very natural for us, because this was another lodging experience that people were looking for,” he said of Compass.

The first Compass by Margaritaville Hotels and Resorts is being developed by Floridays Development Company on Anna Maria Sound, Fla., adjacent to Minto Communities’ existing One Particular Harbour marina and condo development.

Cohlan said developers and investors will be attracted to the Margaritaville moniker and what the new brand has to offer. “We are going to be very competitive in terms of the fees that we charge developers, and presumably that will give the owner even more flexibility on pricing with customers.”

Continued M&A and consolidation within the hotel industry is another reason Cohlan thinks developers will be attracted to the brand; they want to be associated with a known commodity. “There's a real opportunity for brands that have not consolidated,” he said. “It becomes very compelling because we're not part of the consolidated larger brand group, and we have the flexibility to make it a more compelling proposition for our partner.” 

The company plans to develop Compass in city centers; by regional convention centers; college towns (SEC and ACC, Cohlan specified); and smaller destination-resort locations on beaches, lakes and mountains.