May232010

Hyatt Hotels 2010 Q1 Hotel Rates and Numbers

Hyatt had 409 hotels and 25 timeshares and residences as of March 31, 2010. There are 125 full service hotels in North America in the Park Hyatt, Hyatt Regency, Grand Hyatt, and Andaz brands.

Limited service hotels are the Hyatt Place and Summerfield Suites brands and number 182 hotels in North America. In other words, the market segment distribution for Hyatt in North America is 40% full service and 60% limited service hotels for the 307 properties. There are 102 international Hyatt hotels.

The room rate numbers breakdown is not reported by hotel brand or region, but by owned and managed hotels.

In general, select service hotels numbers show the Hyatt Place and Summerfield Suites hotel brands took a substantial rate dip over the past year with an average room rate decline from 10 to 12%.Occupancy increased 8.7 to 10.0% for the year.

Hyatt full-service hotels saw average rate drops of 8% in North America and 4% internationally when US currency exchange rates are excluded. The average room rate in North America at $157 per night is a full 25% less than the international average rate at $212 per night.

The shocker to me for Hyatt’s numbers is the occupancy rate at full service hotels in North America is only up 3.7 points to 64.3% despite a solid year from Gold Passport offering the best hotel loyalty promotions of the past decade.

Hyatt Place and Summerfield Suites select service brand occupancy increase of 8.7 points to 66.6% can probably be attributed in part on the lower cost for promotion fulfillment with free nights after two stays and elite status renewal with these lower priced brands. The average daily rate for these two hotel brands dropped over 10% in the past year to just $93.31 in North America.

The occupancy increases internationally of 8% year over year may indicate some success with Gold Passport loyalty promotions or just a better hotel market internationally compared to the USA.

The following properties were added to the portfolio during the first quarter of 2010:

  • Andaz San Diego, CA (managed, 154 rooms)
  • Andaz Wall Street, NY (managed, 253 rooms)
  • Hyatt Place Charleston Airport, SC (franchised, 127 rooms)
  • Hyatt Place Dania Beach, FL (franchised, 149 rooms)
  • Hyatt Place Garden City, NY (franchised, 122 rooms)
  • Hyatt Place Sacramento / Roseville, CA (managed, 151 rooms)
  • Hyatt Place UC Davis, CA (franchised, 75 rooms)
  • Hyatt Regency Clearwater Beach Resort and Spa, FL (managed, 250 rooms)
  • Hyatt Summerfield Suites Dania Beach, FL (franchised, 143 rooms)
  • Hotel Mar Monte, CA (managed, 197 rooms)

Source: Hyatt First Quarter 2010 Financial Release

About Ric Garrido

Ric Garrido of Monterey, California started Loyalty Traveler in 2006 for traveler education on hotel and air travel, primarily using frequent flyer and frequent guest loyalty programs for bargain travel. Loyalty Traveler joined BoardingArea.com in 2008.

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