Acquisition deepens Hyatt’s presence in one of the fastest growing
markets in the U.S.
CHICAGO--(BUSINESS WIRE)--Mar. 8, 2013--
Fresh from announcing the opening of the 296-room Hyatt Place Austin
Downtown, Hyatt Hotels Corporation (NYSE:H) today announced that a Hyatt
affiliate has acquired the 189-room Driskill Hotel for approximately $85
million from an investment fund managed by Lowe Enterprises Investors,
which was represented in the transaction by Jones Lang LaSalle’s Hotels
& Hospitality Group.
The transaction closed earlier today and the hotel will continue to be
marketed as The Driskill Hotel under the umbrella of Hyatt Hotels &
Resorts. The hotel will undergo a two-year, approximately $8 million
renovation to preserve its reputation as one of the most storied hotels
in Texas.
“Our investment in this hotel, which has a highly visible and
long-standing presence in a vibrant market, is a great example of
Hyatt’s willingness and ability to apply our capital to increase our
brand presence in key locations for our guests. Austin has a diverse
economy driven by technology, the state capitol, and the University of
Texas, and is a rapidly growing tourism and convention market,” said
David Tarr
, senior vice president of North American development and real
estate for Hyatt. “We are excited to have the opportunity to continue
the tradition of hospitality that Lowe Enterprises and Destination
Hotels & Resorts have been providing at The Driskill Hotel during their
ownership and management of this special property.”
Built in 1886, The Driskill Hotel is one of downtown Austin’s most
recognizable buildings and was designated a national historic landmark
in 1969. The hotel’s location provides easy access to the Central
Business District, the Texas State Capitol and the Austin Convention
Center, as well as the areas that comprise the heart of Austin’s
cultural and entertainment activity, including the 6th Street
Entertainment District, the Warehouse District and 2nd Street
Retail District.
“We are thrilled to add such a well-loved local icon to the Hyatt family
and are delighted to be increasing our presence in Austin, which offers
world-class business and educational institutions, as well as thriving
entertainment and technology scenes,” said
Rakesh Sarna
, group president
– Americas for Hyatt.
Hyatt continues to grow its portfolio across all brands globally. The
company’s executed contract base is larger than it has ever been, and as
of December 31, 2012, it included management or franchise contracts for
approximately 200 hotels. For more information, please visit www.hyattdevelopment.com.
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 House
TM brand names and
have locations on six continents. Hyatt Residential Group, Inc.,
a Hyatt Hotels Corporation subsidiary, develops, operates,
markets or licenses Hyatt ResidencesTM
and Hyatt Residence ClubTM. As of
December 31, 2012, the Company's worldwide portfolio consisted of 500
properties in 46 countries. For more information, please visit www.hyatt.com.
About Lowe Enterprises Investors
Lowe Enterprises Investors (LEI) provides real estate investment
management services on behalf of a select list of institutional and high
net worth clients and partners through individually managed accounts,
commingled fund relationships and targeted investment programs. The firm
has been responsible for $6 billion in real estate assets, including
commercial, hospitality and debt investments, since inception in the
late 1980s. LEI has been a leading value-added investor through multiple
cycles, employing equity and structured debt in its investment
strategies. The firm is based in Los Angeles and is an affiliate of Lowe
Enterprises, a national investment, development and management firm. For
more information about LEI, please visit: www.LoweInvestors.com.
Forward-Looking Statements
Forward-Looking 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. 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, 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; if our
third-party owners, franchisees or development partners are unable to
access the capital necessary to fund current operations or implement our
plans for growth; changes in the competitive environment in our industry
and the markets where we operate; our ability to access the capital
markets; and other risks discussed in the Company's filings with the
U.S. Securities and Exchange Commission, including our Annual Report on
Form 10-K, which filings are available from the SEC. 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.

Source: Hyatt Hotels Corporation
Hyatt Hotels Corporation
Amy Patti
+1-312.780.5620
amy.patti@hyatt.com