Hyatt Hotels Corporation closed a deal to buy a lifestyle brand Dream Hotel Group for a base purchase price of $125 million (USD), it was announced on Tuesday (November 29).
As part of the deal, Hyatt said it would pay an additional $175 million over the next six years as new properties open.
Dream Hotel Group is comprised of managed and franchised lifestyle hotels across the country Dream Hotels, Chatwal Hotels and Hotels without scripts brands, with properties in the Americas, Europe and Asia.
The group has 24 new hotels in the works, including projects yet to debut Las Vegas, St. bright and Doha, Qatar.
Upon closing, the expansion will add more than 1,700 rooms to Hyatt’s lifestyle portfolio and increase the number of Hyatt rooms in New York City by over 30%, according to a press release.
“We have tremendous respect for what Dream Hotel Group Founder Sant Singh Chatwal and Chief Executive Officer Jay Stein and their team have created and are grateful for the trust Dream Hotel Group has placed in them to care for their brands and – he takes his success further into the future”, he declared Mark Hoplamazianpresident and CEO at Hyatt.
“We look forward to continuing our growth journey with more than 600 new Hyatt family members who will further enhance our lifestyle expertise and expand the success of our lifestyle division.”
“We are excited to offer even more inspiring experiences and celebration programs to our guests and loyal members, and to bring the value of the Hyatt network to a growing number of discerning hotel owners and developers around the world.”
Sant Singh Chatwal, chairman and founder of Dream Hotel Group, noted that Hyatt has “a proven track record of preserving what makes lifestyle hotels special.”
The transaction is expected to close in the coming months, subject to closing conditions. Once complete, Hyatt will work to welcome the new properties into Hyatt’s world loyalty program.
Founder of Dream Hotel Group Sant Singh Chatwal will continue as the owner of four open hotels and two future hotels expected to join the Hyatt portfolio.
CEO of Dream Hotel Group Jay Stein will join Hyatt as Director of Dream Hotels to guide the integration of the Dream Hotel Group brands into the Hyatt portfolio.
In addition, the Development Director of Dream Hotel Group David Kuperberg will join Hyatt as Head of Development – Dream Hotels and Chief Operating Officer Michael Lindenbaum will join Hyatt as Global Head of Operations – Dream Hotels.
The deal continues Hyatt’s growth after the acquisition Two Roads Hospitality in 2018 and Apple Leisure Group in 2021 – and, most recently, a collaboration agreement with German Lindner Hotels AGto expand in Europe.
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