Hyatt Sells Three Hotels For $1B
Hyatt Hotels Corp. has sold three hotels worth $1B to Host Hotels. The three properties are the 301-room Andaz Maui at Wailea Resort, the 668-room Grand Hyatt San Francisco and the 454-room Hyatt Regency Coconut Point Resort & Spa in Florida.
Hyatt will continue to manage the hotels under long-term management agreements. The transaction is expected to close near the end of March.
The Andaz Maui and Grand Hyatt San Francisco reflect a sales value of $800M and form part of Hyatt’s three-year, $1.5B permanent sell-down program, an initiative to reduce real estate ownership to increase shareholder value.
The sale of Hyatt Regency Coconut Point for an attributed value of approximately $200M completes Hyatt’s 2017 commitment to be a net seller of assets under its ongoing asset recycling program.
Hyatt has been pushing to increase the value of its portfolio. It previously bought Exhale Spa, a boutique fitness and spa brand, and Miraval Group, a wellness resort and spa company, as part of its strategy to invest in luxury accommodations. Hyatt also invested in Oasis, a room-sharing concept, in October to compete with Airbnb.