After weeks of speculation, Hyatt announced Tuesday that it would acquire Standard International, the parent company of The Standard and Bunkhouse Hotels brands.
The deal is expected to close later this year. Hyatt has committed to paying a base purchase price of $150 million, plus $185 million over time as additional hotels are added to the portfolio.
The transaction initially includes the management, franchise and licensing agreements for 21 hotels, including The Standard London and The Standard High Line in New York.
As part of the acquisition, Hyatt will create a lifestyle group based in New York. Amar Lalvani, currently chairman of Standard International, will lead the group as president and creative director.
Standard International’s flagship lifestyle brand, The Standard, was launched in 1999 by hotelier Andre Balazs. In 2013, Lalvani founded Standard International after acquiring The Standard brand from Balazs and subsequently acquiring a majority stake in boutique hotel chain Bunkhouse Group.
The Standard currently has eight hotels in New York, Bangkok, London, Miami Beach, Ibiza, the Maldives and Hua Hin, Thailand. Bunkhouse has nearly a dozen properties in Texas, California, Kentucky and Mexico.
In addition to The Standard and Bunkhouse, Standard International’s brands also include Peri Hotels and The StandardX, which debuted last November as The Standard’s “rebellious little sibling.”
The company also recently unveiled plans for The Manner, a new luxury concept set to debut in New York City’s SoHo neighborhood next month.
The acquisition comes as Standard International continues to expand its portfolio. The group has more than 30 projects in the pipeline, with several scheduled to open next year. These include The Standard Pattaya Na Jomtien and The StandardX Bangkok Phra Arthit in Thailand, and two bunkhouse hotels in Houston – Hotel Saint Augustine and Hotel Daphne.
