Wednesday August 28th, 2013 - 9:47AM
CHICAGO--Hyatt Hotels Corporation announced that a wholly owned Hyatt subsidiary plans to purchase the 1,641-room Peabody Orlando hotel for $717 million from UST Hotel Joint Venture, Ltd., comprised of affiliates of Belz Enterprises and Estein & Associates USA, Ltd.
The transaction is expected to close on October 1, 2013, and the hotel will be rebranded as Hyatt Regency Orlando Convention Center upon closing. Because the hotel recently completed a nearly $440-million, multi-year expansion and renovation, Hyatt does not plan to invest significant capital in the near future.
Hyatt Regency Orlando Convention Center will be the sixth Hyatt-branded hotel in Orlando, but the first large convention hotel presence for Hyatt in the market. With more than 200,000 sq. ft. of meeting space--and with over two million square feet of space in the Orange County Convention Center to which the hotel is attached--the hotel will offer the most meeting space of any Hyatt Regency hotel in the U.S., according to the company.
“This transaction brings us a very high-quality hotel in one of the most popular cities in the world and enhances the Hyatt Regency brand with a presence adjacent to one of the largest convention facilities in the U.S.,” stated Stephen Haggerty, global head, real estate and capital strategy for Hyatt. “We are confident that we will be able to build on the strong performance of this property through the depth and breadth of our relationships with meeting planners and corporate travel managers and the global strength of our brand.”