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πŸ”΄ PRIVATE EQUITY OWNED

Motel 6

budget hotel Β· Dallas, TX

PE Firm

Blackstone Group

Year Acquired

2012

β€œBlackstone left the light on β€” for ICE agents checking guest lists.”

The PE Playbook

  • β€’Under Blackstone ownership, employees at multiple locations shared guest lists with ICE, leading to at least 20 arrests of Latino guests
  • β€’Paid $12 million settlement in Washington state (80,000 guests' data shared) and $10 million in Arizona discrimination class-action
  • β€’Ranked dead last in American Customer Satisfaction Index for hotels two years running
  • β€’Blackstone sold to India-based OYO in 2024 for $525M after buying for $1.9B in 2012 β€” tripled investor returns while brand reputation cratered

Since the Acquisition

  • β–ΈSeven locations in Washington state shared personal guest information with ICE immigration agents daily for over two years β€” without consent
  • β–ΈRoughly 80,000 guests had their data shared; ICE used it to target guests with Latino-sounding names, arresting at least 20 people
  • β–ΈMotel 6 paid $12 million to settle a lawsuit from Washington and up to $10 million more in Arizona
  • β–ΈBlackstone bought Motel 6 for $1.9 billion in 2012 and sold it for just $525 million in 2024 β€” a 72% drop in sale price