New Lifestyle Group combines leadership and talent of premium lifestyle brands with Hyatt's global distribution network and award-winning World of Hyatt loyalty program
Hyatt Hotels Corporation (NYSE: H) today announced plans to acquire most of the brands and affiliates of Standard International, the pioneering lifestyle company that owns The Standard Hotels and Bankhouse Hotels brands. The acquisition will enable Hyatt to increase the number of lifestyle rooms in its global portfolio fivefold between 2017 and 2023 through its own organic growth and a series of acquisitions, strengthening its leadership position in the industry's premier lifestyle space. The transaction is expected to close later this year, subject to customary closing conditions.
Upon completion of the acquisition, Lalvani will assume the role of President and Creative Director of the Lifestyle Group and will be responsible for overseeing the integration of the brands within the group while ensuring and enhancing the integrity, innovation, creativity and growth of each lifestyle brand.
Lalvani led the global development of W Hotels before partnering with Andre Balas to launch The Standard brand in 2010. In 2013, Lalvani founded Standard International and acquired The Standard brand from Balas and subsequently acquired a majority stake in The Bankhouse Group from its founder Liz Lambert and her partners. Lalvani has since spearheaded the transition of both companies from founder-led start-ups to globally recognized brands through the development of landmark properties.
“We have waited a long time to find the right company to join forces with,” said Lalvani. “Choosing Hyatt allows us to leverage their strong global infrastructure and loyal customer base. I am incredibly proud that our team has been able to realize the potential we saw in The Standard and Bunkhouse Hotels, and honored that Hyatt recognizes the specialness of our brands, properties and most importantly, our people. We share a shared vision of the great potential that still lies ahead, and I cannot help but express my gratitude to Hyatt for taking this bold step and to Sansiri for playing a key role in supporting our efforts.”
In addition to The Standard and Bunkhouse Hotel brands, Standard International's brand portfolio includes Peri Hotel and two newest hotels – The Standard X, which opened in Melbourne, Australia this month, and The Manor, which will open in SoHo, New York next month in time for New York Fashion Week. Beyond hotel brands, the portfolio also includes world-class restaurant and nightlife concepts such as The Boom Boom Room, The Standard Grill, The Standard Beer Garden, Café Standard, Lido Bayside Grill and Joe's Coffee, as well as iconic rooftop venues such as Le Bain, Decimo, Sweetie's, UP, Ojo and Sky Beach.
The acquisition includes more than 30 projects under signed contract or letters of intent, including new properties scheduled to open within the next 12 months: The Standard, Pattaya Na Jomtien, The Standard X, Bangkok Phra Arthit, Bunkhouse Hotel St. Augustine and Hotel Daphne. Standard International also has a robust residential portfolio with Standard Residences under development in Miami, Lisbon, Phuket, Hua Hin and Mexico City, as well as the completed Bunkhouse Residences at Hotel St. Cecilia in Austin.
Upon closing, Hyatt will pay $150 million as the base purchase price and up to an additional $185 million for each property added to the portfolio. Stability fees related to the base purchase price are expected to be approximately $17 million and additional stabilization fees are expected to be up to approximately $30 million if the contingent purchase price is paid.
Moelis & Company LLC acted as financial advisor and Venable LLP acted as legal advisor to Hyatt in connection with the transaction.
For convenience, the term “Hyatt” is used in this release to refer to Hyatt Hotels Corporation and/or its affiliates.
About Hyatt Hotels Corporation
Hyatt Hotels Corporation, headquartered in Chicago, is a leading global hospitality company with a mission to care for people to be their best selves. As of June 30, 2024, the company's portfolio includes more than 1,350 hotels and all-inclusive properties in 78 countries across six continents. The company's offerings include brands under the Timeless Collection, which includes Park Hyatt®, Grand Hyatt®, Hyatt Regency®, Hyatt®, Hyatt Vacation Club®, Hyatt Place®, Hyatt House®, Hyatt Studios and UrCove; the Boundless Collection, which includes Miraval®, Alila®, Andaz®, Thompson Hotels®, Dream® Hotels, Hyatt Centric®, Caption by Hyatt®, and the Independent Collection, which includes The Unbound Collection by Hyatt®, Destination by Hyatt® and JdV by Hyatt®. The Inclusive Collection also includes Impression by Secrets, Hyatt Ziva®, Hyatt Zilara®, Zoëtry® Wellness & Spa Resorts, Secrets® Resorts & Spas, Breathless Resorts & Spas®, Dreams® Resorts & Spas, Hyatt Vivid Hotels & Resorts, Alua Hotels & Resorts® and Sunscape® Resorts & Spas. The Company's subsidiaries operate the World of Hyatt® loyalty program, ALG Vacations®, Mr & Mrs Smith™, Unlimited Vacation Club®, Amstar DMC destination management services and Trisept Solutions® technology services.
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