Posted on: November 29, 2022, 08:25h.
Last updated on: November 29, 2022, 08:28h.
Hyatt Hotels Corp. announced on Tuesday that it reached a deal to acquire the Dream Hotel Group. And just like that, the dream of an independent new boutique casino hotel opening on the Las Vegas Strip was ended by the reality of corporate acquisition. According to a Hyatt press release, that acquisition includes 12 managed or franchised hotels with another 24 long-term management agreements for hotels expected to open in the future.
Upon closing, said the press release, Hyatt will pay a base price of $125 million. It will pay an additional $175 million over the next six years, as properties open.
Southern California developers Shopoff Realty Investments and Contour broke ground broke in July 2022 on the $550 million Dream Las Vegas, located on the Strip’s southern end near Mandalay Bay. Now, when the casino hotel opens – a timeline now pushed back to the first quarter of 2025 – it will be as a subsidiary of the World of Hyatt program.
“Hyatt has a proven track record of preserving what makes lifestyle hotels special and is the ideal new home for our growing Dream Hotel Group brands,” Sant Singh Chatwal, chairman and founder of Dream Hotel Group, said in the press release. “I look forward to the next part of our journey and am confident there is a bright future ahead for our hotels, owners, guests, and team members as part of the Hyatt family.”
The Dream Hotel Group, based in New York City, currently operates four properties in Manhattan. The hotelier also runs Dream-branded hotels in Miami Beach, Hollywood, and Nashville.
The Stuff of Dream
In 2020, the group, along with Shopoff Realty, bought 5.25 acres of undeveloped land just south of Russell Road along Las Vegas Boulevard, next to Harry Reid International Airport. (In fact, Dream Las Vegas will be the closest casino to the airport.)
Dream’s blueprint includes a 20,000 square-foot casino, a 19-story hotel with 531 guest rooms and suites, seven dining and nightlife venues, a rooftop pool, 12,000 square feet of meeting and event space, a spa and fitness center, and onsite parking.
“We have tremendous respect for what Dream Hotel Group founder Sant Singh Chatwal and chief executive officer Jay Stein and their team have created and are grateful for the trust being placed in us by Dream Hotel Group to care for their brands and carry their success forward into the future,” Mark Hoplamazian, Hyatt’s president and chief executive officer, said in the press release.