MIAMI—For the past decade, Nikki Beach clubs have been renowned among the rich and famous as exclusive places where they can have fun and relax in top-end luxury and relative privacy. The first club, founded in 1998 by entrepreneur Jack Penrod in honor of his late daughter Nikki, is sometimes credited with helping propel Miami’s South Beach into the playground for the uber-chic that it has become, and the Nikki Beach concept has mushroomed into a worldwide brand with 12 locations.

Given the brand’s cachet among the jet set—Nikki Beach Hotels & Resorts Worldwide President and CEO Gary Sims calls it a who’s who of the entertainment and business worlds—the company’s impending expansion into the hotel sector is an obvious next step.

Nikki Beach Hotels & Resorts began operations last year, with the first property slated to open in 2009, possibly in Marbella or Ibiza in Spain. The new lodging division—which joins Nikki Beach-branded periodicals, music, clothing and furniture, in addition to the beach clubs—has some US$500 million worth of development under construction in eight locations in the Americas, Europe, the Middle East and Africa. Another 16 properties are in the pipeline. Most of the properties will be developed as condo-hotels, and all will offer 5-star luxury. A handful of Nikki Beach Hotels will be located in international gateway city centers, catering to business travelers, while the bulk will be Nikki Beach Resorts, focused on leisure travelers. Several properties, which will reach for the 5- to 6-star range, will also feature casinos.

The company is positioning the brand as an option for mixed-use developers to differentiate their product while generating a greater profit margin than the more entrenched hotel brands can offer, Sims says. Each hotel will have between 50 and 150 guestrooms, ranging in size from 650 sq. ft. (60 sq. m) to 3,000 sq. ft. (279 sq. m) for the super-luxury suites. Not all of the existing Nikki Beach clubs will get a hotel addition, however. “Obviously, we would like to have hotels with all of them,” Sims says, “but there are still some areas where just a beach club makes sense.” At the flagship club in Miami, for example, there is no available real estate to build a hotel, so the company is scouting other sites in the area for a possible relocation. Sims hopes to have 25 hotel properties open by 2012, eventually topping out at about 35 locations.

Standard amenities will include complimentary private butler service, 24-hour concierge, VIP ultra-lounges, 24-hour maid service and pillow menus. All guests will be met at the airport by a Nikki Beach host with limousine transportation. Personalized digital music will be placed in guestrooms, and in-room private deejay sessions will be offered.

Sims says guests can expect service and amenities comparable to that offered by Four Seasons, Amanresorts or One&Only, combined with classier entertainment than what might be found at a traditional all-inclusive resort. “The entertainment is about creating a party and creating that activity at the beach clubs and the pool, hanging out at a nightclub,” Sims says.

The party atmosphere at a Nikki Beach property will not be overbearing, though Sims admits that travelers looking for a quiet, serene destination might be more comfortable elsewhere. “At a Four Seasons, once you are done sitting by the pool reading a book, there is nothing left to do. Here, you not only get that nightclub experience, there are other things to do as well,” he says.

In terms of design, the hotels will not appear particularly high-tech or modern, but will be dominated by earth tones complemented by white linen fabrics. Aesthetic inspiration for the furnishings will come from Southeast Asia and South America, though no particular locale theme will be replicated. Mini-bars will be replaced with premium alcohol and cigar cabinets. Standard room rates will be between US$600 and US$1,200 per night.

Sary Arab, who is heading up the brand’s development in Europe, the Middle East and Africa, says Nikki Beach seeks to bring an unprecedented degree of glamour and fun to the hotel industry. “We clearly are aiming for that new 6-star hotel niche, with very high-quality properties with a great emphasis on timeless design and excellent service,” Arab says. “This is a niche that has been lacking in the market. You have lots of brands that have been developing in the fashion market, but we are providing something that is totally different—we are giving them some entertainment options, too.”

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