Hyatt Expansion with the Standard and Bunkhouse Hotels Powers Significant Growth in World of Hyatt Member Contributions

Published on October 2, 2024

Hyatt Hotels Corporation has officially completed the acquisition of the brands and the majority of affiliates of Standard International, a trailblazing lifestyle hospitality company known for The Standard and Bunkhouse Hotels brands. This strategic move strengthens Hyatt’s leadership in the lifestyle segment, complementing its impressive organic growth and a series of acquisitions that have expanded the company’s lifestyle room count fivefold between 2017 and 2023.

The newly acquired portfolio is entirely asset-light, featuring management, franchise, and license agreements for 22 operational hotels, which collectively offer around 2,000 rooms. Notable properties include The Standard, London, The Standard, High Line in New York City, The Standard, Bangkok Mahanakhon, and The Manner in SoHo, which launched last month and hosted some of the most sought-after New York Fashion Week afterparties. Upcoming hotel openings later this year will include The Standard, Singapore, Bunkhouse’s Hotel Saint Augustine in Houston, and The StandardX, Bangkok Phra Arthit, all promising the immersive experiences that Standard International’s brands are renowned for.

Additionally, this acquisition brings a robust residential portfolio into Hyatt’s fold, with Standard Residences currently under development in Miami, Lisbon, Phuket, Hua Hin, Mexico City, and Tulum. The deal also includes the completed Bunkhouse Residences at Hotel Saint Cecilia in Austin, Texas.

The acquisition includes more than 30 future projects with a signed agreement or letter of intent, along with new projects sparked by the August announcement of the planned acquisition. “The development community knows an industry game-changer when they see it, and the enthusiasm for bringing together the ethos of The Standard and Bunkhouse brands and the power of Hyatt’s network and distribution system is palpable,” said Mark Hoplamazian, President and Chief Executive Officer, Hyatt. “Developers love this combination as much as we do.”

In the coming months, Hyatt will debut its new dedicated Lifestyle group that will be headquartered in New York City with additional offices in Austin and Bangkok and led by President & Creative Director Amar Lalvani, former Executive Chairman of Standard International. “The lifestyle segment isn’t for the faint of heart, it takes creativity and commitment,” said Lalvani. “But if you get it right, you reap the benefits of outsized guest loyalty and outsized developer returns. The beauty of this combination is that Hyatt respects the creativity and freedom required to deliver the experiences we do, and we respect the value of Hyatt’s storied history, global infrastructure and best-in-class commercial services.” 

Building on its momentum in the lifestyle segment, Hyatt continues to expand across all areas of its portfolio. The company holds the distinction of having the largest collection of luxury all-inclusive resorts worldwide. Additionally, its select service portfolio, which accounted for 50% of Hyatt’s development pipeline as of the second quarter of 2024, plays a crucial role in introducing Hyatt-branded properties to emerging markets. In the near future, Hyatt plans to unveil a new dedicated luxury division, with specialized leadership overseeing key functions and services, all designed to deliver exceptional care for guests and clients at the highest level of luxury.

“Our transformation to an asset-light business model has been a resounding success, and now it’s time to evolve our organization to propel us into the future, benefiting our guests, members, customers, owners and shareholders along the way,” said Hoplamazian. “This is not about prioritizing one segment over another; this is about aligning our internal resources and expertise to care even more deeply for guests, customers and owners across our entire portfolio.” 

Hyatt’s expanding brand footprint has been closely linked to significant growth in loyalty membership and contributions. Since 2017, Hyatt’s portfolio has expanded by 86%, while the number of World of Hyatt members has tripled. Additionally, room night penetration among World of Hyatt members has surged by over 1,300 basis points.

For ease of reference, the term “Hyatt” in this release refers to Hyatt Hotels Corporation and/or its affiliated entities.