Chicago’s Northalsted District Set To Welcome Two New Hotels, Boosting LGBTQ+ Tourism With Vibrant Offerings

The Northalsted District of Chicago continues its tradition as a prime destination for LGBTQ+ culture and its active nightlife scene. The district will receive two new luxury hotel developments which will enhance its status as a queer cultural center by offering high-end accommodations designed specifically for LGBTQ+ guests. The upcoming development will attract more visitors to the region by providing them with accommodations that offer authentic experiences of the local culture and community.

Tryst Hospitality’s Boutique Hotel: A Community-Centric Approach

One of the standout developments is the proposed Tryst Hotel, a five-story, 21-room boutique hotel at 3350-3352 N. Halsted St. Situated in the heart of the district, the site was once home to the popular D.S. Tequila, which closed in late 2023 after more than a decade in business. The hotel development is set to provide not only luxury accommodations but also a new restaurant, nightclub, and an enclosed rooftop with a pool and bar, making it a year-round destination.

Tryst Hospitality, which acquired the property in 2024, aims to create a space that reflects the energy and spirit of Northalsted. The company is no stranger to developing LGBTQ+-focused properties, with previous ventures in Puerto Vallarta, Mexico, and San Juan, Puerto Rico. Tryst Hotels are also planned for other LGBTQ+-friendly destinations, including Fire Island, New York, and Provincetown, Massachusetts. According to Tristan Schukraft, founder and CEO of Tryst Hospitality, the new hotel will serve as a luxury gay hotel that matches the energy of Northalsted, a district that is considered one of the most dynamic queer villages in the world.

The hotel will feature modern, design-forward spaces with an intimate feel, offering visitors not just a place to sleep but a place to belong. The development has already received the necessary approvals from the City of Chicago, and Tryst Hospitality has started hosting community meetings to ensure the project aligns with the neighbourhood’s needs and vision.

The Backbeat Hotel: A Celebration of Chicago’s Music Legacy

In addition to Tryst Hospitality’s project, another exciting hotel development is underway nearby, the Backbeat Hotel. Approved by the Chicago City Council in March 2025, the Backbeat Hotel is set to open in 2028. The 50-room boutique hotel will be located at 3255 N. Halsted St., the site of the former Yoshi’s Café, which closed in 2021 after nearly 40 years of operation. This hotel promises to be a celebration of Chicago’s house music legacy, with the name Backbeat referencing the foundational rhythm of the genre.

The hotel will feature a rooftop pool and deck with stunning skyline views, a full-service restaurant, and a luxury lounge designed to transition seamlessly from day to night. The Backbeat Hotel aims to provide an immersive experience for guests, connecting them to the city’s deep musical roots. The developer behind this project, Allan O’Brien, is also a key figure in the local community, owning Men’s Room Chicago, a popular fashion store on Halsted Street.

Demolition of the old Yoshi’s Café building is expected to begin in the summer of 2026, with construction planned to take 18 months. Once complete, the Backbeat Hotel will offer a unique mix of luxury and cultural immersion, catering to both local and international visitors who want to explore Chicago’s musical history and LGBTQ+ culture.

A New Era for Northalsted’s Tourism Scene

These two hotel developments are poised to reshape Chicago’s Northalsted District, providing more than just new accommodations. They represent a wider effort to elevate the district as a global LGBTQ+ travel destination, attracting visitors who are looking for a blend of culture, luxury, and community. The hotels will create spaces that embrace the spirit of Northalsted while fostering a sense of connection for both locals and travelers.

For the LGBTQ+ community, these hotels will serve as a hub for socialising, cultural exchange, and entertainment, reinforcing the district’s identity as one of the world’s most vibrant queer communities. With both projects receiving approval and moving ahead full speed, Northalsted’s transformation is set to become one of the most exciting developments in Chicago’s tourism scene in the coming years.

The city of Chicago will become a top destination for LGBTQ+ travelers through its expansion of tourism options which include new boutique hotels. The new hotels will create an exceptional experience for visitors who come to enjoy Northalsted’s vibrant atmosphere or its local nightlife or its cultural attractions.

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