Luxury Lifestyle to Move to New Address: Detroit

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Luxury Lifestyle to Move to New Address: Detroit
Hitting Road: Edition of Robb Report.

When discussing the luxury lifestyle, Detroit isn’t usually part of the conversation. But in the world of publishing, that’s about to change.

Last week, Detroit’s Rockbridge Growth Equity, a private equity firm backed by Cleveland Cavaliers owner Daniel Gilbert, bought Malibu’s CurtCo Robb Report, which for 38 years has published the Robb Report, a magazine that serves as a consumer bible for the rich. The companies did not disclose financial terms of the deal, but said CurtCo will open an office in Detroit.

But it doesn’t look like CurtCo will be shuttling its sun-drenched L.A. employees to the Motor City, at least not yet. CurtCo’s headquarters will remain in Malibu, with the same management, said Bill Curtis, the company’s chief executive.

“People won’t be asked to move,” Curtis said. “But if they want to, by all means.”

The Detroit office will be focused on technology, as the company intends to expand its digital reach, Curtis said.

Brian Hermelin, managing partner of Rockbridge, said that more than 30 employees will be added to CurtCo’s payrolls for a wide range of roles, some of which are related to social media, backend digital production and editorial. The hires will be a substantial increase to the 110 employees who currently work in the company’s offices in Malibu; Atlanta; New York; Boston; and Fort Lauderdale, Naples and Sarasota, Fla.

Some of the new hires will work in Detroit, he said, but he stressed that workers will be placed in whichever office makes the most sense.

CurtCo has no intention of losing any of its current employees, Curtis said, though some of them might apply to new positions in Detroit.

Rockbridge is part of Gilbert’s Rock Ventures, and that firm plans to support CurtCo’s digital expansion, Hermelin said, by leveraging its affiliations with other companies in the Rock family, especially those with the technology expertise needed to help the Robb Report diversify beyond its print centerpiece. Rock’s most notable portfolio company is Quicken Loans Inc., which was founded by Gilbert and is the largest online mortgage originator in the United States.

CurtCo’s new Detroit office fits in with Gilbert’s recent investment push in that city, especially in its growing technology industry. Since moving from the suburbs into central Detroit in 2010, Rock has spent more than $1.5 billion acquiring dozens of properties there with more than 9 million square feet of space.

“It’s happening in Detroit,” Hermelin said. “There has been a really interesting tech hub burgeoning.”

Robb Report has 14 international editions, including one in China, which has the largest population, Curtis said. CurtCo plans to work with Rockbridge to increase that international presence.

In addition to its print magazines, CurtCo has websites, apps, events and an invite-only club with a membership fee of $15,000 a year.

All of these arms focus on the most indulgent of indulgences, from private jets to yachts to fine cigars. So it should be no surprise that Robb Report readers have an average household net worth of more than $1.8 million, not including the value of their primary residences, Curtis said. About three-fourths of them are men and the average age is 49.

The publication is particularly popular in Los Angeles. The L.A. chapter of Robb Report’s private club is the largest in the country, Curtis said.

“The luxury business itself is in a very good place,” he said. “Many industries are suffering, but this is not one of them.”

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