Hyatt Hotels is buying independent hotel operator Two Roads Hospitality for $480 million, increasing its investment in lifestyle brands.
After the deal closes later this year, Chicago-based Hyatt will combine brands such as Andaz and Hyatt Centric with Two Roads’ Thompson Hotels and Alila Hotels & Resorts to create a new lifestyle division, according to Bloomberg. The firm will also invest up to $120 million Two Roads, Hyatt said in a statement.
The deal gives Hyatt management contracts for more than 85 properties in eight countries, including 23 markets where it doesn’t have an existing presence. Two Roads has another 35 properties in development.
The company was formed in the merger of Lowe Enterprises’ Destination Hotels and Geolo Capital’s Commune Hotel & Resorts, which was co-founded by John Pritzker, son of Hyatt founder Jay Pritzker.
The acquisition comes 10 months after Hyatt agreed to sell three properties, including the Andaz Maui at Wailea Resort, to Host Hotels & Resorts Inc. for $1 billion.