Hyatt Hotels & Resorts has agreed a strategic joint venture that will enlarge its portfolio of all-inclusive resorts by almost a third, adding more choice for guests across the Caribbean and in Europe.
An agreement with travel conglomerate Grupo Piñero will see 23 new resort properties added to Hyatt’s Inclusive Collection. All but one of the additions currently trade under the Bahia Principe brand, and are situated in the Dominican Republic, Mexico, Jamaica, and Spain. Combined, the resorts will add more than 12,000 rooms to Hyatt’s all-inclusive offering.
A new Spanish base
Hyatt and Grupo Piñero will establish a new office to lead the 50:50 joint venture, to be based in Palma de Mallorca, Spain, from where the properties will be managed. Julio Perez, CEO of the Bahia Principe division of Grupo Piñero, will become CEO of the management company created by the partners. A payment from Hyatt into the transaction will be invested by Grupo Piñero in further upgrading key Bahia Principe resorts.
“Bahia Principe has experienced rapid growth since the opening of our first property in the Dominican Republic nearly 30 years ago,” said Encarna Piñero, Global CEO of Grupo Piñero. “Throughout our journey, we have maintained our core beliefs as a family-owned business, always being faithful to our purpose of seeking to generate a positive social and economic impact for the local communities of the destinations in which we operate. We appreciate and recognize these values in Hyatt’s purpose of care and look forward to the next chapter in Bahia Principe’s bright future.”
A Spanish company, Grupo Piñero operates four divisions, all based around travel. Aside from the hotel division, it has a real estate and golf business, featuring residential businesses in the Dominican Republic and Mexico. A tour operator includes the leading Spanish and Portugueses holiday brand Soltour, while the fourth part of the group provides land and maritime transport and logistics services.
Under the Bahia Principe brand, the group has 12 resorts in the Dominican Republic, making it a leading resort owner in the country. Four of its resorts there are designed for adults only, with the remainder being family-oriented. And in Mexico, there are four resorts around the coast.
From the Caribbean to Europe
In the Caribbean, Bahia Principe has two resorts on the island of Jamaica. In Europe, there are four resorts on the island of Tenerife, and one in Majorca. In addition, the group has one five star property, the Cayo Levantado resort on an island in Samana Bay, Dominican Republic. This too will be included in the joint venture with Hyatt.
For Hyatt, the joint venture holds out the promise of linkage to Grupo Piñero’s European client base, accessible via its tour business in Portugal and Spain. The intention is that all the joint venture resorts will in time become part of the World of Hyatt group loyalty scheme, further boosting bookings in other parts of the Hyatt global hotel portfolio.
