Hyatt Hotels strengthens global lifestyle footprint via Dream Hotel acquisition

Hyatt Hotels Corporation has completed the previously announced acquisition of the Dream Hotel Group, a lifestyle hotel brand and management platform.

The consideration for the deal announced in late 2022, is $125 million upfront and an additional $175 million to be paid over the next six years.

The transaction is expected to strengthen Hyatt Hotels’ global lifestyle footprint and accelerate asset-light growth.

With the acquisition, Hyatt Hotels adds lifestyle hotel brands such as Dream Hotels, Unscripted Hotels, and The Chatwal to its portfolio.

The asset-light acquisition will increase Hyatt Hotels’ brand footprint in Nashville, Hollywood, South Beach, Las Vegas, Doha, Saint Lucia, and many new places such as the Catskills in New York and Valle de Guadalupe in Mexico.

The transaction consists of 12 managed or franchised lifestyle hotels and management agreements for 24 future hotels.

Mark Hoplamazian — Hyatt Hotels president and CEO said: “Hyatt’s acquisition of Dream Hotel Group represents an exciting chapter in our asset-light growth as we expand our lifestyle offerings, providing global travelers with an increased number of elevated experiences – now, and in the future.”

Hyatt Hotels completes acquisition of Dream Hotel Group. Photo courtesy of Business Wire.

Sant Singh Chatwal, founder of Dream Hotel Group, will continue to own four open and two future hotels, which are likely to join the Hyatt Hotels group.

Dream Hotels will join as a brand within Hyatt Hotels’ Boundless Collection.

The Chatwal and Unscripted Hotels brands will join Hyatt Hotels’ Independent Collection, joining The Unbound Collection by Hyatt and JdV by Hyatt brands, respectively.

Hyatt Hotels acquired Two Roads Hospitality in 2018 and Apple Leisure Group in 2021, as part of its asset-light growth strategy.

In addition, Hyatt Hotels entered into a collaboration agreement with German Lindner Hotels, to further increase its footprint in Europe.