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Marriott to launch boutique hotel chain

ATLANTA (Bloomberg) — Marriott International Inc. will work with Ian Schrager, who revived the concept of the boutique hotel 23 years ago, to create a chain with as many as 100 locations.Schrager will design and market the chain, while Marriott will oversee the development, and operate and manage the hotels, the company said yesterday in a statement. Boutiques typically have fewer rooms, better service and more style than larger chains. Financial terms weren't disclosed.

Marriott, the biggest US hotel operator, said in April that fewer customers were staying at its limited-service chains, such as Fairfield Inn and Residence Inn. It has promoted more profitable full-service brands, such as Ritz-Carlton and JW Marriott.