Hyatt Hotels, through its affiliates, has sold the Hyatt Regency Orlando and the adjacent 45-acre land, marking the largest single-asset sale for Hyatt.
The Hyatt Regency Orlando, with 1,641 rooms, is the fourth-largest Hyatt hotel in the world in terms of room count. It also boasts 315,000 square feet of event space, attracting over one million visitors annually. The hotel is conveniently located near Walt Disney World Resort and the second-largest convention facility in the U.S., Orange County Convention Center.
The property was purchased by RIDA Development and Ares Management Real Estate Fund for $1.07 billion. Hyatt will maintain a long-term management contract under the Hyatt Regency brand. Hyatt holds $265 million in subordinated preferred shares and provided an additional $50 million in seller financing. The hotel is slated for major renovations.
Additionally, the purchasers plan to build a new Grand Hyatt hotel on the acquired land, with approximately 2,500 rooms, to be developed in multiple phases. A long-term management contract with Hyatt will be secured upon meeting certain conditions.
This sale is part of the capital allocation strategy announced in 2021, aimed at reinvesting proceeds from sales into platforms to accelerate growth, tallying up to $2.6 billion in disposal gains over three years.
