Hyatt Completes $2 Billion Real Estate Sale, Advancing Asset-Light Strategy

International

Transaction with Tortuga Resorts secures long-term management of key resorts while fully divesting Playa real estate

Hyatt Hotels Corporation has completed the sale of the real estate portfolio it previously acquired from Playa Hotels & Resorts N.V. to Tortuga Resorts for approximately $2 billion. The closing marks a fully asset-light outcome for the transaction, with Hyatt retaining long-term operational involvement through management agreements rather than property ownership.

Portfolio sale and financial structure

The portfolio originally comprised 15 all-inclusive resorts across Mexico, the Dominican Republic and Jamaica. As disclosed earlier, Hyatt sold one property to a third party in September 2025 for $22 million. With the completion of the Tortuga transaction, the entire Playa real estate portfolio has now been divested for a total of $2 billion.

Under the agreement, Hyatt may earn up to an additional $143 million if certain operating thresholds are met and has retained $200 million in preferred equity in Tortuga. Concurrently, Hyatt and Tortuga entered into 50-year management agreements for 13 of the 14 remaining properties, aligned with Hyatt’s existing all-inclusive management terms. One property is subject to a separate contractual arrangement.

Long-term operations remain with Hyatt

“This closing is the culmination of a transformative transaction for Hyatt’s Inclusive Collection,” said Javier Águila. He highlighted the securing of long-term management contracts for a portfolio of resorts and pointed to strong cultural alignment between Hyatt and Playa as a key factor in completing the deal.

Leo Schlesinger described the transaction as a defining step for Tortuga, positioning the company as a scaled platform in luxury beachfront hospitality across Mexico and the Caribbean and deepening its partnership with Hyatt.

Asset-light focus and use of proceeds

Hyatt said the sale underscores its commitment to an asset-light business model and shareholder value creation. Proceeds will be used to repay a delayed draw term loan that financed part of the Playa acquisition, with pro forma net leverage expected to remain within levels consistent with an investment-grade credit profile.

Advisors and hurricane update

BDT & MSD Partners acted as Hyatt’s lead financial advisor, with Berkadia as real estate advisor and Latham & Watkins LLP as legal counsel. Tortuga was advised by Goldman Sachs & Co. LLC, with Simpson Thacher & Bartlett LLP as legal counsel.

Separately, Hyatt noted that seven properties in Jamaica damaged by Hurricane Melissa in October 2025 are expected to remain closed until the fourth quarter of 2026. All guests and colleagues were safely evacuated, and financial assistance has been provided to affected colleagues through the Hyatt Care Fund and direct company support.