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- Hyatt Sells Hyatt Regency Orlando for $1.07B, Plans New Grand Hyatt Development
Hyatt Sells Hyatt Regency Orlando for $1.07B, Plans New Grand Hyatt Development
Slice of Real Estate Team
August 20, 2024
Key Highlights:
Hyatt sells Hyatt Regency Orlando for $1.07 billion while retaining long-term management rights.
Hyatt's capital strategy exceeds its $2 billion asset-disposition goal, realizing $2.6 billion in proceeds.
New Grand Hyatt hotel planned on 45-acre adjacent land, expanding Hyatt's footprint in Orlando.
Source (Business Wire)
Notable Quotes:
“The sale of Hyatt Regency Orlando represents the largest single-asset sale in Hyatt history. We are thrilled to be working with RIDA and Ares on this transaction, and in collaboration with these world-class developers.”
“We are excited to work with Hyatt to grow and enhance the Orange County Convention Center district and create a guest experience unparalleled for both group and leisure customers.”
“Hyatt has established Hyatt Regency Orlando as a landmark of its community’s vibrant business and leisure activity. We look forward to leveraging our investment experience to create long-term value in this attractive market.”
Our Take:
This significant transaction underscores Hyatt's strategic pivot toward an asset-light model, focusing on long-term brand management over property ownership. By capitalizing on high-value assets like the Hyatt Regency Orlando, Hyatt is not only meeting but exceeding its asset-disposition goals, bolstering its financial strength. The upcoming Grand Hyatt development on the adjacent land highlights Hyatt's commitment to maintaining a strong presence in key markets like Orlando, a hub for both tourism and business conventions. This move positions Hyatt to further capitalize on Orlando's booming hospitality market while partnering with established developers like RIDA and Ares, ensuring continued growth and innovation in one of the most competitive markets in the U.S.