Hyatt Hotels Corporation (NYSE: H) announced that nine additional Hyatt-branded hotels are expected to open in Africa by the end of 2020. Fulfilling last year’s goal for the Kenyan market, the recent announcement focuses on the first dual-branded Hyatt Place and Hyatt House hotels on the continent, the return of the Hyatt brand to Cairo, new Park Hyatt and Hyatt Regency hotels in Morocco, and Hyatt hotels in three new countries: Algeria, Ethiopia, and Senegal.
Africa, and particularly East Africa, remains a focus for Hyatt with an increasingly favorable business climate and heightened tourism spend, encouraged by relaxed visa rules, travel incentives, and a growing middle class. Together these factors are shaping demand for diversified accommodations, ranging from full-service luxury destinations and select-service hotels. According to the UNWTO Tourism Highlights: 2018 Edition, international tourist arrivals in sub-Saharan Africa have grown by 5.8 percent from 2005 to 2017, which is well above the global average of 4.2 percent. Furthermore, the continent saw a sustained growth of 8.6 percent in international tourist arrivals last year.
Domestic travel is expected to grow due to the Single African Air Travel Market (SAATM) initiative that launched earlier this year. While UNCTAD’s Economic Development in Africa Report 2017 noted four out of 10 travelers in Africa originate from the region, this number is expected to grow with the SAATM initiative, therefore fueling demand for mid-market options in the continent’s bustling centers and regional hubs such as Nairobi, Lagos, Addis Ababa, and Johannesburg. Leveraging global flight reservation information, travel data company Forward Keys has stated long-haul international flights to Nairobi have grown by 8 percent as businesses take advantage of the recent multi-million dollar expansion of Jomo Kenyatta International Airport and newly announced routes from Amsterdam, Paris, London, and Accra.
“At last year’s Africa Hotel Investment Forum (AHIF), Hyatt set a goal to bring Hyatt-branded hotels to Kenya and we are delighted to announce plans to deliver on that just twelve months later with additional executed hotel developments across the continent,” said Tejas Shah, Hyatt’s regional vice president development for Africa. “There is huge potential for further growth in Africa, and our approach is to grow thoughtfully in markets where our guests are traveling.”
“Strengthening our existing hotel presence in the capitals of East Africa has given Hyatt a strong foundation to continue growing our brand footprint in the rest of the continent,” said Takuya Aoyama, Hyatt’s vice president development for Europe, Africa and the Middle East. “We are privileged to have an expansive network of exceptional owners and developers who are essential to fostering our momentum and powering our growth across Africa.”
Of Hyatt’s expected nine new hotels, five are market entries:
- Algeria: Hyatt Regency Algiers Airport (expected to open in Q1 2019)
- Ethiopia: Hyatt Regency Addis Ababa (expected to open Q4 2018)
- Kenya: Hyatt Place Nairobi/Westlands and Hyatt House Nairobi/Westlands (expected to open in 2020)
- Senegal: Hyatt Centric Dakar (expected to open in Q1 2019)
In Africa’s established markets, Hyatt is expanding its brand footprint in:
- Cairo: Hyatt Regency Cairo West (expected to open in 2020) will mark the second Hyatt-branded hotel in Egypt and return of the Hyatt flag to Egypt’s capital
- Morocco: Park Hyatt Marrakech (expected to open in 2020) and Hyatt Regency Taghazout (expected to open in Q3 2019) will represent the third and fourth Hyatt-branded hotels in Morocco
- Tanzania: Hyatt Regency Arusha (expected to open in mid-2019) will mark the third Hyatt-branded hotel in the country
“The number of Hyatt executed franchise and management agreements in the region is a reflection of our flexibility with working with regional developers on projects ranging from new builds to adaptive reuse or even conversions of operating hotels,” continued Shah. “As part of Hyatt’s long-term plan to expand in sub-Saharan Africa, we will continue to look for further opportunities across countries such as Rwanda, Uganda, Mozambique, Namibia, Cameroon, Madagascar, Ghana, and Côte d’Ivoire.”
Hyatt Place and Hyatt House
Hyatt Place Nairobi/Westlands and Hyatt House Nairobi/Westlands will be comprised of 233 guestrooms total and are both expected to open in mid-2020. The project marks the introduction of Hyatt’s select-service brands into Kenya with the first dual-branded Hyatt Place and Hyatt House hotel on the continent. Located in one of the most prominent mixed-use developments in the Westlands, the two hotels will offer an array of shared services and amenities, including more than 7,500 square feet (700 square meters) of meeting space, a restaurant and bar, and a swimming pool.
Hyatt Regency Algiers Airport, Algeria will be part of a wider airport expansion in one of north Africa’s largest cities. The 326-room hotel will be situated directly opposite the airport’s new terminal and will be the only terminal-linked hotel. Centrally located at the entry to the airport, Hyatt Regency Algiers Airport will be designed so that guests can easily make connections and deliver a one-stop experience.
Hyatt Regency Cairo West, Egypt will be the second Hyatt-branded hotel in Egypt and will mark the return of the Hyatt flag to Cairo. Located in the Pyramids Heights Business Park, the hotel will feature 230 guestrooms and a selection of food offerings and banquet facilities. The hotel will be in close proximity to diverse corporations and landmarks, including one of the most popular leisure attractions in the world – the Great Pyramids of Giza.
Hyatt Regency Addis Ababa, Ethiopia will feature 180 guestrooms and will be situated in an ideal location for business travelers in Addis Ababa’s central Kirkos district within the heart of Africa’s fourth largest city. This location will offer excellent access to some of Addis Ababa’s most significant destinations, including Meksel Square, the National Palace, the UNECA Conference Center, and the African Union headquarters. The lively Mercato district, Africa’s largest open market and home to the largest mosque in Ethiopia, will be easily reached from the hotel, and the airport will be less than four miles (5.5 kilometers) away.
Hyatt Regency Taghazout, Morocco will be the second Hyatt-branded hotel in Taghazout, joining Hyatt Place Taghazout Bay. The 205-room hotel will be located on a 45-acre site facing the beach in the Taghazout Bay development area. The hotel will be part of a wider development that is set to include residential units, an 18-hole golf course, beach club, retail center, tennis academy, and a Moroccan spa and surf camp. Located in a prime beach area, the hotel will have a variety of dining options, including a specialty restaurant and a pool bar.
Hyatt Regency Arusha, Tanzania will be the third Hyatt-branded hotel in Tanzania. The 174-room hotel will occupy a 29-acre site in central Arusha, a city in northern Tanzania and home to the East African Community headquarters, an intergovernmental organization. Located in the heart of Arusha, the hotel will be in close proximity to some of Africa’s most famous natural landscapes and national parks, including Tarangire National Park and Mount Kilimanjaro.
Hyatt Centric Kermel Dakar, Senegal will be the first Hyatt-branded hotel in Senegal and the first Hyatt Centric hotel in Africa. Hyatt Centric hotels are located in the world’s most vibrant and exciting cities, putting their guests in the middle of the action allowing them to easily explore the heart of the destination. Hyatt Centric Kermel Dakar will offer 152 guestrooms, two restaurants, a guest lounge and bar, and will be within walking distance to major international organizations in the city, such as UNICEF and UNESCO.
Park Hyatt Marrakech will bring a personalized, luxury experience to the impressive Al Maaden residential and leisure development, and will be the fourth Hyatt-branded hotel in Morocco. For guests interested in rare and intimate experiences, the 181-room hotel will be set against the spectacular backdrop of the Atlas Mountains. The hotel will also feature a resort complex and Moroccan garden-inspired 18-hole golf course, designed by award-winning golf course designer, Kyle Phillips. Renowned architects Didier Lefort, Eduardo Gaggiano, Cheong Yew Kuan and Patrick Genard will collaborate to design the development.
About Hyatt Hotels Corporation
Hyatt Hotels Corporation, headquartered in Chicago, is a leading global hospitality company with a portfolio of 14 premier brands. As of June 30, 2018, the Company’s portfolio included more than 750 properties in more than 55 countries across six continents. The Company’s purpose to care for people so they can be their best informs its business decisions and growth strategy and is intended to attract and retain top colleagues, build relationships with guests and create value for shareholders.
The term “Hyatt” is used in this release for convenience to refer to Hyatt Hotels Corporation and/or one or more of its affiliates.