which will be rebranded Hyatt Regency Mexico City
CHICAGO (May 2, 2012) – Nearly 30 years after the opening of the first Hyatt hotel in Mexico, Hyatt Hotels Corporation (NYSE: H) announced today that a Hyatt affiliate intends to acquire the 756-room Hotel Nikko Mexico for approximately US$190 million from Japan-Mexico Hotel Investment Co., Ltd. The transaction is scheduled to close in May and, upon closing, the hotel will be rebranded as Hyatt Regency Mexico City. Hyatt will invest approximately US$40 million in a three-year renovation to strengthen the hotel’s competitive position as the preferred business and leisure hotel in Mexico City. With the hotel’s acquisition and rebranding, the Hyatt Regency brand will establish a strong presence in Mexico City with a leading business and leisure hotel located in Polanco, Mexico City’s most desirable area.
“Acquiring Hotel Nikko Mexico and rebranding it as Hyatt Regency Mexico City is an important step in our broader plans for growth in Mexico and Latin America,” said Steve Haggerty, global head of real estate and development for Hyatt Hotels Corporation. “Mexico City is the premier political, business and commercial hub in Mexico. Our strategic investment in this hotel, which has a highly visible presence in Mexico City, will increase awareness of Hyatt in Latin America and will support our long-term goal of becoming the most preferred hospitality company in every segment we serve.”
Hyatt Regency Mexico City’s excellent location will position it as one of Mexico City’s most visible and popular hotels. The hotel is situated in the heart of the upscale Polanco district on Campos Eliseos, where the headquarters of international corporations like General Motors, Nestle, and Coca Cola are located, as well as organizations such as the U.N., OAS, and many of the country’s embassies. Hyatt Regency Mexico City will face Chapultepec Park and be within walking distance of the city’s best museums and art galleries, theaters, dining and nightlife attractions, high-end retail shopping areas, the Chapultepec Zoo and Aviary, and the Botanical Gardens.
Hyatt Regency Mexico City will have 734 rooms after combining some of the existing rooms into suites. The hotel’s amenities will include approximately 30,000 square feet of meeting and event space, two signature Japanese restaurants, a three-meal restaurant and lobby bar, a business center, a fitness center, tennis courts, and a pool. This summer the hotel will complete an extensive six-year renovation program that includes the complete refurbishment of all the guestrooms as well as the two Japanese restaurants.
“We look forward to welcoming guests from Latin America and all over the world to Hyatt Regency Mexico City and to sharing Hyatt’s authentic hospitality with those who are familiar with the brand or completely new to it,” said Myles McGourty, senior vice president – Hyatt of Latin America, who is based in Mexico City. “Hyatt Regency Mexico City will significantly increase Hyatt’s visibility among travelers in Latin America and will support our efforts to expand our brands throughout the region.”
Hyatt-branded hotels currently open in Mexico are Hyatt Regency Cancun, Hyatt Regency Merida, and Hyatt Regency Villahermosa. Worldwide, more than 40 Hyatt-branded hotels opened in 2011 and Hyatt currently has executed contracts for 170 new hotels under development around the world.
About Hyatt Regency
Hyatt Regency offers a full range of services and facilities tailored to serve the needs of meeting planners, business travelers and leisure guests. Properties generally range in size from several hundred rooms to several thousand rooms. Hyatt Regency hotels are conveniently located in urban, suburban, airport, convention and resort destinations around the world and convention hotels feature spacious meeting and conference facilities designed to provide a productive environment.
About Hyatt Hotels Corporation
Hyatt Hotels Corporation, headquartered in Chicago, is a leading global hospitality company with a proud heritage of making guests feel more than welcome. Thousands of members of the Hyatt family strive to make a difference in the lives of the guests they encounter every day by providing authentic hospitality. The Company's subsidiaries manage, franchise, own and develop hotels and resorts under the Hyatt®, Park Hyatt®, Andaz®, Grand Hyatt®, Hyatt Regency®, Hyatt Place® and Hyatt HouseTM brand names and have locations on six continents. Hyatt House is changing its brand identity from Hyatt Summerfield Suites®. Hyatt Residential Group, Inc., a Hyatt Hotels Corporation subsidiary, develops, operates, markets or licenses Hyatt ResidencesTM and Hyatt Vacation Club®, which is changing its name to Hyatt Residence ClubTM. As of December 31, 2011, the Company's worldwide portfolio consisted of 483 properties in 45 countries. For more information, please visit www.hyatt.com.
Forward-Looking Statements
Statements in this press release, which are not historical facts, are “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include statements about our plans, strategies, financial performance, prospects or future events and involve known and unknown risks that are difficult to predict. As a result, our actual results, performance or achievements may differ materially from those expressed or implied by these forward-looking statements. In some cases, you can identify forward-looking statements by the use of words such as “may,” “could,” “expect,” “intend,” “plan,” “seek,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” “continue,” “likely,” “will,” “would” and variations of these terms and similar expressions, or the negative of these terms or similar expressions. Such forward-looking statements are necessarily based upon estimates and assumptions that, while considered reasonable by us and our management, are inherently uncertain. Factors that may cause actual results to differ materially from current expectations include, among others, general economic uncertainty in key global markets, the rate and pace of economic recovery following economic downturns; levels of spending in business and leisure segments as well as consumer confidence; declines in occupancy and average daily rate; hostilities, including future terrorist attacks, or fear of hostilities that affect travel; travel-related accidents; changes in the tastes and preferences of our customers; relationships with associates and labor unions and changes in labor law; the financial condition of, and our relationships with, third-party property owners, franchisees and hospitality venture partners; risk associated with potential acquisitions and dispositions and the introduction of new brand concepts; changes in the competitive environment in our industry and the markets where we operate; outcomes of legal proceedings; changes in federal, state, local or foreign tax law; foreign exchange rate fluctuations or currency restructurings; general volatility of the capital markets and our ability to access the capital markets. A more complete description of these risks and uncertainties can be found in our filings with the U.S. Securities and Exchange Commission, including our Annual Report on Form 10-K. We caution you not to place undue reliance on any forward-looking statements, which are made as of the date of this press release. We undertake no obligation to update publicly any of these forward-looking statements to reflect actual results, new information or future events, changes in assumptions or changes in other factors affecting forward-looking statements, except to the extent required by applicable laws. If we update one or more forward-looking statements, no inference should be drawn that we will make additional updates with respect to those or other forward-looking statements.
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Laurie Cole
+1 312 780 5935
laurie.cole@hyatt.com
Karina Faber
+55 11 2838 1232
karina.faber@hyatt.com