Hyatt Buying Bunkhouse Boutique Hotel Brand

HOUSTON – (Realty News Report) – The Bunkhouse hotel brand, which is adding high-design boutique hotels under construction in Houston’s Montrose area and The Heights, is being acquired by Hyatt Hotels Corp.

Hyatt, based in Chicago, is one of the largest hotel companies in the world with 1,350 hotels in 78 countries.

Bunkhouse is currently building the 71-room Hotel St. Augustine, a $57 million project near the Menil Collection museum, just west of Montrose Boulevard. The St. Augustine, designed by Lake Flato architects of San Antonio, will have a chef-driven restaurant called Bistro Perseid.

In The Heights, Bunkhouse is building the 47-room Hotel Daphne at 347 W 20^th Street. The Daphne is slated to open in 2025.

Hyatt said in a press release that the planned acquisition of the Bunkhouse and Standard hotel “will continue Hyatt’s evolution to a brand- and experience-driven company.“

The acquired portfolio will be100 percent asset-light includes management, franchise and license contracts for 21 open hotels with approximately 2,000 rooms, including The Standard, London, The Standard, High Line in New York City, The Standard, Bangkok Mahanakhon and boutique properties like Hotel Saint Cecilia in Austin, Texas and Hotel San Cristóbal in Baja California, Mexico. Following the closing of the transaction, Hyatt plans to integrate these hotels into World of Hyatt, bringing this portfolio of celebrated lifestyle properties to the program’s 48 million loyalty members.

The acquisition includes more than 30 projects with a signed agreement or letter of intent, including new properties expected to open over the next 12 months: The Standard, Pattaya Na Jomtien, The StandardX, Bangkok Phra Arthit, as well as Bunkhouse Hotels Saint Augustine and Hotel Daphne. Standard International has also developed a robust residential business with Standard Residences under development in Miami, Lisbon, Phuket, Hua Hin and Mexico City as well as completed Bunkhouse Residences at the Hotel Saint Cecilia in Austin.

Upon closing, Hyatt will pay a base purchase price of $150 million, with up to an additional $185 million over time as additional properties enter the portfolio.

In the transaction, Hyatt will acquire the brands and most of the affiliates of lifestyle company Standard International, parent company of The Standard and Bunkhouse Hotels brands.

Amar Lalvani will take on the role of President & Creative Director of the Hyatt lifestyle group, overseeing the integration of the brands to be housed within the group while ensuring and enhancing the integrity, innovation, creativity and growth of each individual lifestyle brand.

Lalvani led the global development of W Hotels and then in 2010 partnered with André Balazs on The Standard brand. In 2013, Lalvani formed Standard International and acquired The Standard brand from Balazs and followed that with an acquisition of a majority stake in The Bunkhouse Group from its founder Liz Lambert and her partners. Lambert was a pioneer in creating unique hotels on Austin’s South Congress Avenue.

Image: Lake Flato Courtesy Bunkhouse

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