Universal Music Group’s hospitality arm is opening a hotel on London’s Denmark Street.
UMusic Hospitality & Lifestyle (UMHL) and Outernet London announced the partnership on Wednesday (September 2), with UMusic Hotel Denmark Street due to open in the fourth quarter of this year.
It will be UMHL’s first hotel in the UK, and its second in Europe after UMusic Hotel Madrid, which remains the only UMusic Hotel currently operating.
UMHL will open and operate the hotel within Outernet’s entertainment district in London’s West End, which the company says draws 120 million visitors a year.
The district houses Outernet Live, a 2,000-capacity venue that Outernet says is the largest built in central London since the 1940s, alongside the grassroots venue The Lower Third.
UMHL will lead programming and operations at The Lower Third, in coordination with Universal Music Group’s global network of artists, labels, and creative partners.
The wider deal covers food and beverage concepts, lounge spaces, and artist-led programming across Outernet’s digital platforms.
“Denmark Street holds a special place in music history,” said Jordi Solé, President of UMHL. “For decades, it has been a place where artists found their voice, creativity flourished, and music culture took shape.
“For decades, [Denmark Street] has been a place where artists found their voice, creativity flourished, and music culture took shape.”
Jordi Solé, UMusic Hospitality & Lifestyle
“We are incredibly proud to be part of its next chapter. Together with Outernet, we have the opportunity to honor that legacy by creating hospitality and cultural experiences that inspire discovery, support emerging artists, and ensure this remarkable destination continues to shape the future of music for generations to come.”
Philip O’Ferrall, CEO of Outernet, said: “Music has always been a driving force for Outernet, and we are in a place rooted in musical history. Connecting that heritage with a platform that can reach mass audiences both physically and through our immersive screens and audio technology is what makes this partnership so special.
“Music has always been a driving force for Outernet, and we are in a place rooted in musical history.”
Philip O’Ferrall, Outernet
“I’m very proud to be working with UMusic Hospitality & Lifestyle, and I know what they will bring to Outernet will be spectacular, transforming the experience of both artists and fans.”
Denmark Street was known for decades as London’s “Tin Pan Alley,” lined with music publishers, recording studios, and instrument shops.
Melody Maker was founded on the street in 1926, and NME’s Percy Dickins compiled Britain’s first sales-based singles chart from Denmark Street in 1952.
The Lower Third occupies the former site of the 12 Bar Club, which hosted Jeff Buckley, Adele, and The Libertines.
The agreement follows the closure of Chateau Denmark, the hotel that operated across 16 buildings on and around the street in partnership with Outernet.
Chateau Denmark closed on August 4, after more than four years.
UMG launched the UMusic Hotels brand in October 2020 through a joint venture with investment group Dakia U-Ventures.
Atlanta, Biloxi, and Orlando were named as the first three locations, among them a USD $1.2 billion complex on the Mississippi coast.
Madrid became the debut property instead, opening on November 14, 2022, with 130 rooms inside the city’s Albéniz Theater building.
The portfolio has widened since. In June 2026, UMusic Hotel & Private Residences Austin was unveiled, a planned development with 150 guest rooms and 600 private residences.
At that development, White Rocks is the owner and developer, while UMHL will operate the hotel.
Construction is due to begin in early 2027, subject to approvals, according to White Rocks.
The project’s wastewater permit was referred to a contested case hearing in July, amid opposition from Travis County commissioners and conservation groups.
In August 2026, UMHL and UMH Development announced UMusic Hotel Kansas City, an adaptive reuse of the 117-year-old Scarritt Building with 169 guest rooms and a connected 309-unit residential tower.
Construction there is due to begin in the fourth quarter of 2026.
In March 2026, UMHL struck a joint venture with IMI Group to launch UMusic Beach Clubs & Lifestyle, folding the O Beach venues in Ibiza and Dubai into its founding portfolio.
That venture is behind UMusic Hotel & Beach Club Tulum, a 57-key property with an 800-capacity beach club that UMHL said on August 31 would open in the first week of December.
UMG does not break out revenues or profits for its hospitality business in its quarterly results, nor does it specify where the activity sits in its segment reporting.
UMHL describes itself as “developed in partnership with Universal Music Group,” rather than as a wholly owned division.
The expansion strategy was flagged at the top of Universal at the start of the year.
In his annual New Year memo to staff on January 8, UMG Chairman and CEO Sir Lucian Grainge named superfan monetization as a priority for 2026, pointing to UMG’s retail stores in Tokyo, Madrid, New York, and London.
Grainge wrote: “2026 will see additional scaling of this activity, including the expansion of our experiential hospitality strategy and seamless integrations between virtual and IRL events for superfans.
“All of this activity is further evidence that the very definition of UMG is expanding, while our direct connection with music consumers is growing.”Music Business Worldwide
Universal Music Group’s (UMG) hospitality division, UMusic Hospitality & Lifestyle (UMHL), is set to launch its first hotel in the UK, the UMusic Hotel Denmark Street, in collaboration with Outernet London. Announced on September 2, 2023, the hotel is expected to open in the fourth quarter of this year. This will be UMHL’s second hotel in Europe, following the UMusic Hotel in Madrid, which is currently the only operational UMusic hotel.
The new hotel will be located within Outernet London’s entertainment district in the West End, a vibrant area that attracts around 120 million visitors annually. This district features Outernet Live, a significant venue with a capacity of 2,000, touted as the largest venue built in central London since the 1940s, and The Lower Third, a grassroots venue. UMHL will manage programming and operations at The Lower Third, collaborating with UMG’s global network of artists and labels to create a dynamic experience.
Jordi Solé, President of UMHL, remarked on the historical significance of Denmark Street, often referred to as London’s “Tin Pan Alley,” where many artists historically developed their craft and music culture thrived. He expressed pride in contributing to the street’s legacy and emphasized the aim to foster cultural experiences that celebrate music and support emerging artists.
Outernet CEO Philip O’Ferrall echoed this sentiment, highlighting the hotel’s connection to the rich musical heritage of the area. He noted the partnership’s potential to enhance the experience for both artists and fans through innovative technology and immersive experiences.
Denmark Street has a storied musical history, being home to music publishers, recording studios, and instrument shops. It was also the birthplace of significant music publications, including Melody Maker, founded in 1926, and the NME, which compiled the first UK singles chart from the street in 1952. The Lower Third occupies a notable site, previously the 12 Bar Club, which hosted iconic artists like Jeff Buckley and Adele.
The announcement of the UMusic Hotel follows the closure of Chateau Denmark, a hotel that operated in partnership with Outernet but ceased operations on August 4, 2023, after more than four years.
UMG initially launched the UMusic Hotels brand in October 2020 in a joint venture with Dakia U-Ventures. The first locations announced included Atlanta, Biloxi, and Orlando, with plans for a $1.2 billion development on the Mississippi coast. However, Madrid became the first operational hotel, opening on November 14, 2022, featuring 130 rooms within a historic theater building.
UMHL’s portfolio continues to grow, with plans for UMusic Hotel & Private Residences in Austin, which will include 150 guest rooms and 600 private residences, set to begin construction in early 2027, pending approvals. Additionally, a UMusic Hotel in Kansas City, adaptive reuse of the Scarritt Building, is scheduled to begin construction in late 2026.
In March 2026, UMHL announced a joint venture with IMI Group to establish UMusic Beach Clubs & Lifestyle, incorporating the O Beach venues from Ibiza and Dubai. This venture includes the upcoming UMusic Hotel & Beach Club in Tulum, expected to open in December 2023, featuring 57 rooms and an 800-capacity beach club.
UMG does not separately report revenues or profits from its hospitality ventures in its financial disclosures. UMHL is described as developed in partnership with UMG rather than a wholly owned division. The expansion of UMHL aligns with UMG’s broader strategy, as outlined by UMG Chairman and CEO Sir Lucian Grainge in his New Year memo, emphasizing the importance of “superfan monetization” and the growth of experiential hospitality that connects music consumers more directly with their favorite artists and music experiences.
In summary, the UMusic Hotel Denmark Street represents a significant step for UMG in the hospitality sector, combining music heritage with modern experiences aimed at enhancing audience engagement and supporting artists in a historically rich location. The collaboration with Outernet London promises to create a dynamic environment that honors the past while looking toward the future of music and hospitality.
