Tianfu Minyoun Hospitality and Hyatt Hotels have signed a development agreement to expand Hyatt Place and Hyatt House hotel brands in China.
As per the agreement, Tianfu Minyoun in collaboration with Chinese investors will develop 50 Hyatt Place and Hyatt House hotels over the next five years, the first of which will include Hyatt Place Nanchong Gaoping, Hyatt Place Changchun Jingyue and Hyatt House Changchun Jingyue.
These three hotels will be operated and managed by Tianfu Minyoun, under a franchise agreement, which was signed under the strategic development agreement.
Hyatt Hotels president and CEO Mark Hoplamazian said: “The relationship with Tianfu Minyoun is yet another milestone for Hyatt’s growth in China.
“Hyatt continues to seek innovative ways to build a diversified brand portfolio by collaborating with owners and developers who share our values and our commitment to expanding our brand growth in a country with such significant growth potential.”
Tianfu Minyoun is also preparing to develop hotels under The Unbound Collection by Hyatt and Hyatt Centric brands across China.
Upon opening, these hotels will be part of Hyatt’s loyalty programme, World of Hyatt. Guests can earn World of Hyatt points and redeem them for free night awards and access several benefits at Hyatt locations across the globe.
Hyatt HotelsAsia Pacific group president David Udell said: “Different from exclusive franchise and brand agency models, the cooperation between Tianfu Minyoun and Hyatt is set to make the most of both sides’ respective strengths and resources to boost the development of the Hyatt Place and Hyatt House brands in China.”
Tianfu Minyoun has secured a credit line of CNY30bn ($4.7bn) from Sinhuan Tianfu Bank, which will be spent on the construction and renovation for hotel owners of the projects contemplated by the strategic development agreement.
Additionally, Tianfu Minyoun has partnered with Road King Investment Group to set up an CNY10bn ($1.58bn) industrial fund to support the agreement.