Hyatt Hotels Corporation has announced a definitive agreement to sell Playa’s owned real estate portfolio for $2.0 billion to Tortuga Resorts, a joint venture between KSL Capital Partners and Rodina. The sale includes 15 all-inclusive resort assets in Mexico, the Dominican Republic, and Jamaica. Hyatt may earn an additional $143 million if certain conditions are met.
The transaction is expected to close by the end of 2025, pending regulatory approval in Mexico and other standard closing conditions. Concurrently with the sale, Hyatt will enter into 50-year management agreements for 13 of the properties with Tortuga.
Hyatt’s net purchase price for Playa’s asset-light management business is approximately $555 million after asset sales. The company anticipates earning $60 to $65 million in stabilized Adjusted EBITDA by 2027 from this business segment.
Mark Hoplamazian, President and CEO of Hyatt, stated that “the planned real estate sale to Tortuga transforms the acquisition of Playa Hotels & Resorts into a fully asset-light transaction and increases Hyatt’s fee-based earnings.”
Proceeds from the sale will be used by Hyatt to repay a delayed draw term loan used in part for acquiring Playa. BDT & MSD Partners serve as lead financial advisors to Hyatt with Berkadia as real estate advisor, while Latham & Watkins LLP acts as legal advisor. Goldman Sachs & Co. LLC is advising Tortuga financially, with Simpson Thacher & Bartlett LLP providing legal counsel.
A supplemental presentation regarding this transaction can be found on Hyatt’s Investor Relations website under “Financials.”
