Hyatt to buy Standard brand for more than $330m
Hyatt Hotels Corporation is to spend $335m (£257m) buying the brands and most of the affiliates of lifestyle hotel chain Standard International.
Standard International is the firm behind the Standard brand, which has iconic hotels in New York and London’s King’s Cross.
The sale will cap an investment for Sansiri, which bought a majority position in Standard International in 2017 and facilitated the company’s international expansion. Sansiri will continue to own several properties that will be managed or franchised under the acquired brands.
Hyatt Hotels Corporation is to spend $335m (£257m) buying the brands and most of the affiliates of lifestyle hotel chain Standard International.
Standard International is the firm behind the Standard brand, which has iconic hotels in New York and London’s King’s Cross.
The sale will cap an investment for Sansiri, which bought a majority position in Standard International in 2017 and facilitated the company’s international expansion. Sansiri will continue to own several properties that will be managed or franchised under the acquired brands.
Hyatt said the acquisition, which comes just days after it banked more than $1bn from the sale of its 1,641-bedroom Hyatt Regency Orlando and 45 acres of surrounding land in Florida to Ares and RIDA Development Corporation, would enhance its position as a leader in the industry’s premier lifestyle space.
The deal is expected to close later this year and adds 21 open hotels with 2,000 bedrooms held on management, franchise and license contracts, plus a further 30 projects with a signed agreement or letter of intent.
Mark Hoplamazian, president and chief executive of Hyatt, said: “These properties truly drive the zeitgeist, creating destinations unto themselves with celebrated and talked-about programming and events, such as the Met Gala afterparty.”
Standard International executive chairman Amar Lalvani, who will lead a new lifestyle group at Hyatt following the sale, added: “We waited a long time to find the right company with whom to join forces. In choosing Hyatt, we tap into a powerful global infrastructure and loyal guest base. We have a shared vision for the enormous potential that still lies ahead.”
In addition to the Standard brand, the purchase adds the Bunkhouse Hotel brand, Peri Hotels and its two newest additions, The StandardX, which launched this month in Melbourne, Australia, and The Manner, which launches next month in Soho, New York. It also adds a number of restaurant and nightlife concepts to the Hyatt portfolio, including The Boom Boom Room, The Standard Grill, The Standard Biergarten, Café Standard, Lido Bayside Grill, Jo’s Coffee Le Bain, Decimo, Sweeties, UP, Ojo and Sky Beach.
Hyatt will pay a base purchase price of $150m, with up to an additional $185m over time as additional properties enter the portfolio.
