Mergers & Acquisitions

🏖️ Hyatt Hotels to acquire Playa Hotels & Resorts for $2.6 billion, including $900 million debt, net of cash. Owning 9.4% of Playa shares, Hyatt gains full control of resorts in Mexico, Dominican Republic, and Jamaica. This expands Hyatt Ziva and Hyatt Zilara brands and integrates properties into ALG Vacations and Unlimited Vacation Club. Deal financed by new debt, with 80% expected to be paid through asset sales, aiming to close later this year. Hyatt's all-inclusive portfolio will grow to 55,000 rooms. Company plans $2 billion in asset sales by 2027, with asset-light earnings to exceed 90%. Advisors include BDT & MSD Partners, Berkadia, with legal from Latham & Watkins LLP.

🏨 Shiva Hotels secured a £300 million refinancing for The BoTree in London, the largest single-asset hotel deal in Europe post-pandemic. BlueWater Capital provided £170 million, NorthWall Capital £140 million, replacing a previous loan from Cale Street and Crosstree. Upgrades include a rooftop pool, wellness space, and expanded facilities. The BoTree, opened in 2023, cost £375 million, featuring 199 rooms and was put up for sale in October 2024 after a £275 million loan recovery attempt by its lenders.

📌 Sandpiper, LLC acquired Extended Stay America (ESA) Premier Suites in Bradenton, Florida, located in the North Port–Sarasota–Bradenton MSA, south of Tampa. Opened in January, the hotel features 124 rooms with kitchens, WiFi, daily breakfast, guest laundry, and a fitness center. The Bradenton area has experienced a 23.7% population growth over the last decade. Sandpiper Hospitality will manage the hotel and owns 39 properties across 12 states.

🏨 Hilton Worldwide Holdings Inc. reported Q4 and full-year 2024 results from McLean, Virginia. Q4 diluted EPS at $2.06, full-year at $6.14; adjusted EPS Q4 at $1.76, full-year at $7.12. Q4 net income was $505 million, full-year $1,539 million. Adjusted EBITDA reached $858 million for Q4, $3,429 million full-year. System-wide comparable RevPAR rose 3.5% in Q4 and 2.7% for the full year. Approved 34,200 new rooms in Q4, with a development pipeline of 498,600 rooms by year-end. Added 22,600 rooms in Q4, with 98,400 room openings in 2024, resulting in a 7.3% net growth. Repurchased 3.1 million shares in Q4, $781 million returned in dividends and repurchases for the quarter, $3.0 billion for the year. Projected 2025: 2-3% RevPAR increase, $1,829-$1,858 million net income, $3,700-$3,740 million Adjusted EBITDA, and approximately $3.3 billion capital return, with 6-7% net unit growth.

🏛 Galgorm Resort, a luxury resort and spa in Northern Ireland, joins the Elegant Hotel Collection, increasing the exclusive membership to 32 in celebration of the brand's first anniversary. Set within 500 acres on the North Antrim Coast, Galgorm Resort offers 201 accommodations, including suites, cabins, and residences. The resort is positioned near Belfast airports and features award-winning restaurants, bars, conference facilities, and is part of the Galgorm Collection, which includes Roe Park Resort, Galgorm Castle Estate, The Rabbit Hotel & Retreat, The Old Inn, and two restaurants in Belfast. The partnership aims to expand market reach to luxury travelers in the UK and USA, targeting MICE and Group bookings.

🏡 Minor Hotels to open NH Collection Ibiza in April, following hotel's acquisition by AX Partners and renovation to meet brand standards. Located overlooking Ibiza's port and old town, NH Collection will enhance its European luxury hospitality presence, coinciding with its 10th anniversary and nearing 100 properties globally. The brand's expansion includes the upcoming NH Collection Alagna Mirtillo Rosso in Italy, catering to ski enthusiasts. Minor Hotels aims to strengthen its position in the Spanish hotel investment market with this first NH Collection in the Balearic Islands.

🏌️ Henderson Park acquired PGA National Resort in Palm Beach Gardens, Fla. from a Brookfield Asset Management fund, with the price undisclosed. The resort, featuring 360 rooms and 99 golf holes, underwent a $100 million renovation and plans for further enhancements. PGA National, opened in 1981, has hosted events like the Ryder Cup (1983), PGA Championship (1987), and The Cognizant Classic since 2007. The 807-acre property boasts a 40,000-square-foot spa and six dining venues. Henderson Park, founded in 2016 with over $14 billion in real estate investments, was advised by Jones Day on the deal.

🏦 In 2025, 94% of investors plan to maintain or expand U.S. hotel portfolios, compared to 85% in 2024. Only 6% consider reducing allocations, down from 16% the previous year. New York City, San Francisco, and Dallas are the top three markets for hotel investment. More than 75% of investors favor value-add strategies, with a preference for full-service hotels (58%) and upper-upscale (52%) and luxury segments (30%). Challenges include high capital and labor costs, but competition from alternative lodging is a minor concern (3%).

🏡 Initially listed without a year of operating history and a non-specialist broker, the property was pulled from the market. In early 2023, broker David du Menil from The Intrepid Group relisted it at $7.3M. Under contract at $6.5M, the nonrefundable earnest money was set at $15,000. A buyer's funding fell through days before closing, costing nearly the amount of earnest money in attorney fees. A new $7M offer with $200,000 earnest money was nearly lost when an investor withdrew, but the sale completed after an additional six-week wait.

🏨 Atream acquired a hotel near Munich from HIH Invest Real Estate on behalf of a closed-end fund. The hotel, built in 2007, spans 3,912 sqm, offers 150 rooms, 84 parking spaces, and includes a 270 sqm commercial space. Leased to AccorInvest Germany, the property has undergone partial renovations since 2019. The transaction, advised by BNP Paribas Real Estate with legal counsel from Norton Rose Fulbright, was successful despite hospitality challenges due to the pandemic.