CHICAGO--(BUSINESS WIRE)--
Hyatt Hotels Corporation (NYSE: H) today announced that Hyatt affiliates
have agreed to sell 38 hotels to a company organized by Lone Star Funds
(the “Purchaser”) for approximately $590 million. The portfolio of 38
hotels (the “Hyatt Portfolio”) consists of Hyatt Place and Hyatt House
hotels totaling 4,950 rooms. As part of the sale, Hyatt will enter into
franchise agreements with the Purchaser, with all hotels maintaining
their existing Hyatt Place and Hyatt House branding.
The Purchaser intends to spend approximately $50 million in additional
capital expenditures across the Hyatt Portfolio over the next 24 months.
Aimbridge Hospitality, LLC will manage the hotels for the Purchaser.
“Hyatt utilized its strong balance sheet and industry expertise to
launch the Hyatt Place and Hyatt House brands. We are now leveraging
that brand equity to recycle capital while maintaining a long-term brand
presence in multiple markets,” said
Steve Haggerty
, global head of
capital strategy, franchising and select service for Hyatt. “We believe
the renovations planned for the portfolio will help maintain the brands’
reputation as the leading brands in their segments and we look forward
to deepening our relationship with Lone Star and Aimbridge.”
The transaction is expected to be completed in November 2014 and is
subject to customary closing conditions and approvals. The Hyatt
Portfolio comprises the following hotels:
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Property
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City
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State
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Rooms
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Hyatt House Boston/Burlington
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Burlington
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MA
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150
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Hyatt House Branchburg
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Branchburg
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NJ
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139
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Hyatt House Sterling/Dulles Airport-North
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Sterling
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VA
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162
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Hyatt House Fishkill/Poughkeepsie
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Fishkill
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NY
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135
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Hyatt House Morristown
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Morristown
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NJ
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132
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Hyatt House Raleigh Durham Airport
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Morrisville
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NC
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141
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Hyatt House Parsippany-East
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Parsippany
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NJ
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140
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Hyatt House Parsippany Whippany
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Whippany
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NJ
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135
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Hyatt House Philadelphia/Plymouth Meeting
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East Norriton
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PA
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131
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Hyatt House Richmond-West
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Richmond
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VA
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134
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Hyatt House Shelton
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Shelton
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CT
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127
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Hyatt Place Albuquerque Airport
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Albuquerque
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NM
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127
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Hyatt Place Atlanta/
Alpharetta/Windward Parkway
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Alpharetta
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GA
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127
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Hyatt Place Atlanta/
Norcross/Peachtree
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Norcross
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GA
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126
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Hyatt Place Birmingham/Inverness
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Birmingham
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AL
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126
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Hyatt Place Boise/Towne Square
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Boise
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ID
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127
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Hyatt Place Charlotte Airport/Tyvola Road
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Charlotte
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NC
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127
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Hyatt Place Chicago/Itasca
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Itasca
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IL
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126
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Hyatt Place Cincinnati Airport/Florence
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Florence
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KY
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126
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Hyatt Place Cincinnati- Northeast
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Mason
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OH
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127
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Hyatt Place Cleveland/
Independence
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Independence
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OH
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127
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Hyatt Place Denver Airport
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Aurora
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CO
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126
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Hyatt Place Detroit/Auburn Hills
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Auburn Hills
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MI
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127
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Hyatt Place Detroit/ Livonia
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Livonia
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MI
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127
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Hyatt Place Lakeland Center
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Lakeland
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FL
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127
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Hyatt Place Louisville-East
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Louisville
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KY
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121
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Hyatt Place Memphis/
Primacy Parkway
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Memphis
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TN
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126
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Hyatt Place Mystic
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Mystic
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CT
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79
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Hyatt Place Oklahoma City Airport
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Oklahoma City
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OK
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126
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Hyatt Place Omaha/
Downtown-Old Market
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Omaha
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NE
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159
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Hyatt Place Nashville/
Brentwood
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Brentwood
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TN
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124
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Hyatt Place Nashville/
Opryland
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Nashville
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TN
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123
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Hyatt Place Pittsburgh Airport
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Pittsburgh
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PA
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127
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Hyatt Place Pittsburgh/
Cranberry
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Cranberry
Township
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PA
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127
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Hyatt Place Richmond/
Arboretum
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Richmond
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VA
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127
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Hyatt Place Sacramento/
Rancho Cordova
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Rancho Cordova
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CA
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127
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Hyatt Place Secaucus/
Meadowlands
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Secaucus
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NJ
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159
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Hyatt Place Tampa/
Busch Gardens
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Tampa
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FL
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126
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Hyatt continues to market six additional select service hotels. The term
“Hyatt” is used in this release for convenience to refer to Hyatt Hotels
Corporation and/or one or more of its affiliates.
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®, Hyatt
House®, Hyatt Zilara™
and
Hyatt Ziva
™ brand
names and have locations on six continents. Hyatt Residential
Group, Inc., a Hyatt Hotels Corporation subsidiary,
develops, operates, markets or licenses Hyatt Residences®
and Hyatt Residence Club®. As of June 30, 2014, the
Company's worldwide portfolio consisted of 563 properties in 48
countries. For more information, please visit www.hyatt.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,
failure to successfully complete the proposed transaction, including the
occurrence of any event, change or circumstance that could give rise to
the termination of the purchase agreement (including the failure to
satisfy conditions to completion or obtain required approvals); the
actual timing of closing; the ability to fund and complete certain
capital improvements; and other risks discussed in our 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