IHG's Ruby Hotels to Make U.S. Debut in Chicago

Less than a year after IHG Hotels & Resorts announced it would buy the European lifestyle brand Ruby for $116 million, the company is bringing its first U.S. property to downtown Chicago.

Ruby Group will develop and operate the new hotel under a 30-year franchise agreement with IHG, transforming the historic Inn of Chicago building — a late 1920s landmark located one block east of the Magnificent Mile — into a 412-room Ruby Hotels property. The renovation is expected to begin in the latter half of 2026, with a planned opening in 2027.

The Chicago project represents a strategic milestone for Ruby’s global expansion and validates IHG’s bet on the “lean luxury” brand it acquired in February 2025. At the time of the acquisition, IHG CEO Elie Maalouf described the urban micro space as a “franchise-friendly model with attractive owner economics,” with plans to rapidly expand Ruby beyond its European base into the Americas and Asia.

So…what even is “lean luxury” amid a world intent on expanding our journey vocabulary with terms like “slow luxury” and “intentional travel”?

The brand’s approach to hospitality centers on the essentials without sacrificing quality — stripping away traditional luxury hotel amenities in favor of exceptional beds, showers and vibrant public spaces at competitive price points. The brand’s European properties, including locations in London, Vienna, and major German cities, typically command rates starting around $150 per night — and word on the travel circuit is these are fun places to meet up with friends, even if you aren’t staying at the hotel. A Ruby property is the fun neighbor you didn’t know you needed…and maybe a little bit like the modern equivalent of “Cheers.”

The 22-story Chicago property will embody Ruby’s signature design philosophy while honoring the building’s storied past. Plans call for a reimagined lobby and bar experience designed to create an energetic vibe from morning until late at night. A rooftop terrace and bar will showcase the iconic Chicago skyline.

Guestrooms will feature Ruby’s characteristic efficient layouts combined with premium finishes, delivering what the brand describes as an elevated experience at a lower cost per square foot, music to the ears of developers and investors.

“This flagship signing underscores the brand’s strong growth potential and momentum in key locations across the Americas and around the world,” Jolyon Bulley, IHG’s CEO of the Americas, said in a statement.

Ruby Group is developing the project alongside Orange County-based Berk Properties, led by principals David Davidson and Rajesh Masina, who bring more than 25 years of experience in residential and hospitality luxury real estate markets.

The U.S. launch comes just four months after IHG announced Ruby’s development availability in the American market. The company has ambitious growth targets for the brand, aiming for more than 120 global hotels within the next decade and more than 250 hotels over the next 20 years.

The brand is particularly well-suited for adaptive reuse projects, converting office buildings and older hotels into modern lifestyle properties, a strategy that aligns well with current real estate market conditions in major U.S. cities.

Within IHG’s expanding portfolio of luxury and lifestyle brands, Ruby slots in alongside Kimpton, Hotel Indigo, and the Vignette Collection, while ultra-luxury siblings Regent and Six Senses occupy the top tier of the company’s brand ladder.

The news of Ruby’s U.S. expansion comes days after further fuel in IHG’s Americas growth momentum: The company announced late last week plans to expand Six Senses into Utah with the upcoming Six Senses Camp Korongo.