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Hyatt expands lifestyle portfolio with acquisition of Standard International
Hyatt Hotels Corporation has announced its planned acquisition of the brands and most affiliates of Standard International, the parent company of The Standard and Bunkhouse Hotels.
The deal is valued at up to $335 million, with an initial purchase price of $150 million and potential additional payments of up to $185 million contingent on future property acquisitions. The transaction is expected to close later this year, pending customary closing conditions.
The acquisition will result in the formation of a new lifestyle group within Hyatt, headquartered in New York City and led by Amar Lalvani, executive chairman of Standard International. This group will use Hyatt's operational and loyalty infrastructure while maintaining leadership in areas such as experience creation, design, and marketing. The new group will comprise both Standard International's team and Hyatt employees, with further details to be disclosed after the transaction closes.
This acquisition aligns with Hyatt's strategy to expand its lifestyle offerings, building on its recent growth in this sector. The integration of Standard International’s properties will enhance Hyatt's presence in the lifestyle hospitality space.
The transaction includes management, franchise, and licence agreements for 21 hotels, representing approximately 2,000 rooms. Notable properties include The Standard, London, The Standard, High Line in New York City, and The Standard, Bangkok Mahanakhon, as well as smaller boutique hotels such as Hotel Saint Cecilia in Austin, Texas, and Hotel San Cristóbal in Baja California, Mexico. Hyatt plans to integrate these hotels into its World of Hyatt loyalty program after the transaction is completed.
Mark Hoplamazian, president and CEO of Hyatt, commented on the acquisition, stating that the addition of Standard International's properties and team will enhance Hyatt's lifestyle offerings, which have seen significant growth in recent years.
The acquisition is also the culmination of a strategic investment by Sansiri PLC, which acquired a majority stake in Standard International in 2017 and facilitated its international expansion. Sansiri will retain ownership of several properties that will continue to be managed or franchised under the acquired brands.
Lalvani, who will assume the role of president and creative director of Hyatt’s new lifestyle group, noted the strategic alignment with Hyatt, emphasizing the potential to leverage Hyatt’s global infrastructure and customer base.
In addition to The Standard and Bunkhouse Hotels, the acquisition includes Standard International’s newer brands, The StandardX and The Manner, as well as over 30 projects with signed agreements or letters of intent. These include upcoming properties in Thailand, Florida, and Mexico. Hyatt will pay an initial purchase price of $150 million, with up to $185 million in additional payments contingent on the inclusion of future properties.
This acquisition is part of Hyatt’s broader strategy to expand its lifestyle portfolio and enhance its offerings in the competitive hospitality industry.
