Hyatt Hotels Corporation (NYSE: H) revealed its plans today for the strategic expansion of its Hyatt Place and Hyatt House brands throughout 2023.
This growth strategy aims to introduce the brand to new U.S. markets currently without a Hyatt presence and to thoughtfully increase its presence near key airport locations.
This announcement follows Hyatt’s recent disclosure about the significant advancements in the development of its latest select service brand, Hyatt Studios. The company has already secured franchise agreements for its inaugural locations in Mobile, Ala. and Marysville, Calif. These new ventures underscore Hyatt’s approach to establishing its brand in previously untapped markets. The Mobile, Ala. location is set to commence construction in the last quarter of 2023.
Jim Tierney, Senior Vice President of Development and Owner Relations at Hyatt, commented on the company’s growth strategy. He emphasized Hyatt’s dedication to addressing feedback from hotel owners and proactively identifying opportunities in desirable markets. “Our growth is intentional,” Tierney noted, “aiming to penetrate new markets and collaborate with new developers and owners, all while avoiding intra-brand competition.”
Hyatt’s select service brands are witnessing rapid growth, marking the fastest expanding segment in the company’s U.S. portfolio. Hyatt has consistently led the global industry with six consecutive years of unmatched net rooms growth. As part of the 2023 expansion plan for the Hyatt Place and Hyatt House brands in the U.S., the company will onboard 14 new owners and further extend its portfolio with five existing owners. This strategy highlights Hyatt’s commitment to delivering value and ensuring robust returns on investment across all its properties.
By the end of 2023, Hyatt expects to have an established hotel presence in U.S. markets that currently do not have a Hyatt hotel located within five miles, including:
Hyatt Place Albany (N.Y.)
Hyatt Place Flagstaff (Ariz.)
Hyatt Place Munster (Ind.)
Hyatt Place Newark / Main Street (Del.)
Hyatt Place St. Augustine / Vilano Beach (Fla.)
Additional growth for the company includes the entry of the Hyatt House brand in the following markets:
Hyatt House Bentonville / Rogers (Ark.)
Hyatt House Colorado Springs Airport (Colo.)
Hyatt House Lansing / University Area Lansing (Mich.)
Hyatt House Mall of America / MSP Airport (Minn.)
Hyatt House Vacaville (Calif.)
Airport Locations are a Brand Strength for Hyatt
When Jay Pritzker founded Hyatt in 1957 with the purchase of the Hyatt House motel adjacent to Los Angeles International Airport, Hyatt established its reputation as a trusted, sought-after brand for travelers.
Throughout 2023, Hyatt has continued to expand on its origin story by increasing its brand footprint at airports across the U.S. with elevated experiences including free breakfast for guests and delivering enhanced in-room amenities that are attractive to both leisure and business travelers, at the following locations in addition to the above:
Hyatt House Orlando Airport (Fla.)
Hyatt House Sacramento Airport / Natomas (Calif.)
Hyatt Place Melbourne Airport (Fla.)
Hyatt Place Sacramento International Airport (Calif.)
At Hyatt, we work with owners and franchise operators who share our dedication to operational excellence and our purpose of care,” said Paul Devitt, senior vice president of operations, Hyatt.
“We’re privileged to have SVC as part of the Hyatt family and look forward to supporting their upcoming renovations that will bring enhanced experiences for our guests and World of Hyatt members.”
As a key component of the Hyatt House brand refresh, which launched in late 2022 with an updated brand identity and media campaign, “Home is Where…,” the next generation of Hyatt House guestrooms will feature residential-inspired room elements such as a modern media console, hard surface flooring, rounded-edge well-lit vanity mirror, vinyl task chairs, updated kitchen island for dining as well as working, oversized ottoman and more. The new design is intended to help guests maintain their routine and enjoy the comforts of home when they are away from theirs. Stemming from guest feedback, the new room design aims to meet and exceed guests’ evolving lifestyles and hybrid work models, while upholding the living accommodations travelers have enjoyed in the past, including a cozy living room, a well-equipped kitchen, spacious bedroom, a full closet and a well-appointed bathroom.
Introducing Hyatt Studios at The Lodging Conference
Hyatt recently announced the first two locations for the Hyatt Studios brand, Hyatt’s new upper-midscale, extended-stay brand, in Mobile, Ala., and Marysville, Calif. The Hyatt Studios brand is expected to be a key accelerator for Hyatt. The Mobile, Ala. location is slated to have its groundbreaking in Q4 2023 and welcome guests and World of Hyatt members in 2024.
On September 19, 2023, owners, developers and industry media can experience an exclusive introduction to the Hyatt Studios brand in Phoenix, Ariz. at The Lodging Conference. Attendees will enjoy an evening of branded activations and regionally inspired cocktails and bites, while experiencing a look at the latest design concepts and meeting the team behind the Hyatt Studios brand.
