Hyatt Completes $1.07 Billion Sale of Hyatt Regency Orlando
Hyatt Hotels Corporation has finalized the sale of the 1,641-room Hyatt Regency Orlando and 45 adjacent acres for approximately $1.07 billion. The transaction involved a company affiliate selling the property to affiliates of RIDA and Ares, marking the largest single-asset sale in Hyatt’s history.
Under the terms of the deal, Hyatt will maintain a long-term management agreement for the Hyatt Regency brand, retain $265 million in non-controlling preferred equity, and provide an additional $50 million in seller financing for the adjacent land.
This sale aligns with Hyatt’s capital allocation strategy, which focuses on selling owned properties to reinvest in asset-light platforms that foster growth. The transaction surpasses Hyatt’s $2 billion asset-disposition target announced in 2021. Over the past three years, Hyatt has generated $2.6 billion in gross proceeds from such sales.
Mark S. Hoplamazian, Hyatt President and Chief Executive Officer, commented, “The sale of Hyatt Regency Orlando represents the largest single-asset sale in Hyatt history. We are thrilled to be working with RIDA and Ares on this transaction. Together, we will continue to drive the success of Hyatt Regency Orlando and expand our brand presence with a new Grand Hyatt hotel.”
The Hyatt Regency Orlando, which is the fourth largest Hyatt hotel globally by room count, features 1,641 rooms and 315,000 square feet of event space, hosting over one million guests annually.
In addition to the sale, RIDA and Ares have secured a development agreement with Hyatt to build a new Grand Hyatt hotel on the adjacent 45-acre parcel. Upon meeting specified conditions, Hyatt and the development partners will establish a long-term management agreement for the new hotel.