Hyatt hikes global pipeline
Pictured: rendering of the forthcoming Park Hyatt Marrakech.
US-headquartered Hyatt Hotels Corporation has upped its pipeline total for the first time this year.
While in both Q1 and Q2 2022 the group’s upcoming room count numbered 113,000 rooms, for Q3 this increased by 1% to 114,000.
Development and openings
As of 30 September 2022, the company had a pipeline of executed management or franchise contracts for approximately 550 hotels, inclusive of Apple Leisure Group’s (ALG) pipeline contribution of approximately 20 hotels (or approximately 8,000 rooms). This maintains the 550 site total from the previous quarter.
Net rooms growth was 18.7%, or 4.5% when excluding ALG, in the third quarter of 2022. In this period 22 new hotels (or 4,243 rooms) joined Hyatt’s system. Notable openings included Dreams Cozumel, Hyatt Regency Lisbon, Park Hyatt Jakarta, Thompson Madrid, and Unbound Magma Resort Santorini.
Transactions and capital strategy
Recent transactions include selling the entity that was the operating lessee of Hyatt Regency Mainz in Germany for a nominal amount to an unrelated third party and entering into a long-term franchise agreement. Plus the company sold Hyatt Regency Greenwich in Connecticut for approximately $40 million to an unrelated third party and entered into a long-term management agreement.
Hyatt intends to successfully execute plans to sell $2 billion of real estate, net of acquisitions, by the end of 2024 as part of its expanded asset-disposition commitment announced in August 2021. As of 3 November 2022, the business has realised $721 million of proceeds from the net disposition of owned assets as part of this commitment.
Mark S. Hoplamazian, president and CEO of Hyatt, analysed: “We had a tremendous quarter that demonstrates our unique positioning and differentiated model. We reported total fee revenue that exceeded 2019 by 50%, raised our full year 2022 net rooms growth outlook to approximately 6.5%, and expanded our pipeline to 114,000 rooms.”
Forthcoming projects within that pipeline include Park Hyatt Marrakech, bringing 181 keys to Morocco in Q1 2023; in the following quarter, the 187-key Hyatt Regency Edinburgh Marina will be delivered in the Scottish capital; and further ahead, the 351-room Grand Hyatt Grand Cayman Hotel and Residences will open in the Cayman Islands in Q4 2024.
Pictured: rendering of ME Guadalajara. Meliá Hotels International has announced the addition of two new hotels in Mexico that are designed to further the international growth of its luxury brands. Gran Meliá Hotels & Resorts will open its first hotel in Mexico and...
Pictured: rendering of Swiss-Belhotel Airport Yogyakarta. Indonesia will be able to rely on a growing high end hotel pipeline as it seeks to recover its tourism industry after the ravages of the pandemic. With tourism a main source of income for the southeast Asian...
Radisson Hotel Group has entered into a strategic alliance with Indian firm Ruptub Solutions Private Limited to launch its new midscale brand, Park Inn & Suites by Radisson, in the country. The group is looking to double its footprint in India with nearly 150...
Pictured: rendering of Hilton Osaka Castle lobby. Imagery © Hilton. The vast majority of Hilton Worldwide’s DoubleTree by Hilton brand premium pipeline is centred on Asia, according to TOPHOTELPROJECTS data. Our records show that at least 88 projects are underway...
Pictured: rendering of NH Collection Dubai The Palm. Minor Hotels brand NH Collection is expanding its Middle Eastern portfolio, with three properties due to launch next year. Two of the upcoming sites will be in UAE powerhouse, Dubai, while the other is taking shape...
Pictured: rendering of Tempo by Hilton Nashville Downtown. Visitors are flocking to the US’s Music City, which in turn is prompting a hotel development rush in the area. According to Tourism Economics figures quoted by the Nashville Convention & Visitors’...