Hyatt to acquire lifestyle hotel brand and management platform Dream Hotel Group
Hyatt Hotels will acquire Dream Hotel Group for $125 million upfront plus an additional $175 million over the next six years, as part of its asset-light growth strategy.
The transaction is expected to increase the lifestyle hotel offerings of the American multinational hospitality company in Nashville, South Beach, Hollywood, Durham, New York City, and Catskills.
The terms of the acquisition also entitle Hyatt Hotels to additional destinations such as Las Vegas, Doha, and Saint Lucia.
Dream Hotel Group’s lifestyle hotel brand and management platform includes the Dream Hotels, Unscripted Hotels, and The Chatwal Hotels brands as well as properties in hotel markets across the Americas, Asia, and Europe.
The group’s properties include hotspot restaurants, entertainment venues, and night clubs.
The transaction will consist of a portfolio of 12 managed or franchised lifestyle hotels and another 24 signed yet-to-open destinations.
Hyatt Hotels to acquire lifestyle hotel brand and management platform Dream Hotel Group. Photo courtesy of Business Wire.
Mark Hoplamazian — Hyatt Hotels president and CEO said: “We look forward to continuing our growth journey with more than 600 new Hyatt family members who will further elevate our lifestyle expertise and expand the success of our dedicated lifestyle division.”
Post-closing, the asset-light acquisition will add more than 1,700 rooms to Hyatt Hotels lifestyle portfolio and increase its room count in New York City by over 30%.
Sant Singh Chatwal — Dream Hotel Group chairman and founder said: “Hyatt has a proven track record of preserving what makes lifestyle hotels special and is the ideal new home for our growing Dream Hotel Group brands.”
Expected to close in the coming months, the deal is subject to regulatory approvals and customary closing conditions.
Hyatt Hotels acquired Two Roads Hospitality in 2018 and followed it up with Apple Leisure Group in 2021 as part of the company’s asset-light growth strategy.
The American hospitality company has recently partnered with German Lindner Hotels, to further increase its brand presence in Europe.