Hyatt Hotels Corp. has struck a deal to acquire lifestyle hospitality
company Dream Hotel Group for a base price of US$125 million.
As part of the deal, Hyatt said it would also pay up to an additional
US$175 million over a six-year period, as new Dream Hotel Group
properties come into the pipeline and open.
Dream Hotel Group has roughly a dozen managed or franchised lifestyle
hotels across its Dream Hotels, Chatwal Hotels and Unscripted Hotels
flags, as well as its By Dream Hotel Group soft brand. The group has 24
hotels currently in the pipeline, including projects slated to debut in
Las Vegas, St. Lucia and Doha, Qatar.
According to Hyatt, the transaction, which is on track to close in
the coming months, will add more than 1,700 rooms to its lifestyle
portfolio. Notably, the acquisition will also grow Hyatt's New York City
room count by 30%, thanks to the addition of Dream Hotel Group's
Chatwal New York, Dream Downtown and Dream Midtown properties in
The deal also includes hotels in destinations like Nashville;
Hollywood, California; South Beach; Durham, North Carolina; and the
Dream Hotel Group CEO Jay Stein is set to join the Hyatt team as head
of Dream Hotels and will be charged with guiding Dream's integration
into the Hyatt fold. Additionally, Dream Hotel Group's chief development
officer, David Kuperberg, will be named Hyatt's head of development for
Dream Hotels, while the company's COO, Michael Lindenbaum, will be
named Hyatt's global head of operations for Dream Hotels.
The Dream Hotel Group takeover marks a continuation of Hyatt's
ongoing M&A spree, following the hospitality giant's acquisition of
Two Roads Hospitality in 2018 and Apple Leisure Group in 2021 and, most
recently, the forging of a collaboration agreement with Germany's
Lindner Hotels AG in Europe.
Source: Travel Weekly