Hyatt to Buy Lifestyle Hotel Group Standard International for up to $335 Million
The Standard is part of a category of hotels that Hyatt and all major groups covet. Hyatt's CEO has previously said adding luxury and lifestyle brands can create a “network effect,” driving loyalty program growth and engagement.
They announced the planned acquisition of the brands and most of Standard International‘s affiliates. With that, Hyatt gets the Standard and Bunkhouse Hotels brands. Hyatt said they would form a new dedicated lifestyle group that will be headquartered in New York City and led by Standard Amar Lalvani as President & Creative Director. More details of the lifestyle group will be given following the closing of the transaction, which is expected later this year. The acquired portfolio will be 100% asset-light and includes management, franchise, and license contracts for 21 hotels with 2,000 rooms. Following the closing of the transaction, Hyatt plans to integrate these hotels into World of Hyatt. Besides the Standard and Bunkhouse Hotels brands, Hyatt also gets the brand new StandardX and The Manner as well as Peri Hotels. Upon closing, Hyatt will pay a base purchase price of $150 million with an additional $185 million over time as additional properties enter the portfolio.