Hyatt buys Mexico City hotel for $190 million

Hyatt announced on Wednesday that it will buy the 756-room Hotel Nikko Mexico, located in Mexico City, from Japan-Mexico Hotel Investment Co. for US$190 million.

Hyatt Hotels Corp., Chicago, said it expects the transaction to close in May. Upon closing, the hotel will be rebranded as Hyatt Regency Mexico City with 734 guestrooms. Hyatt will invest approximately US$40 million in a three-year renovation.

“Acquiring Hotel Nikko Mexico and rebranding it as Hyatt Regency Mexico City is an important step in our broader plans for growth in Mexico and Latin America,” said Steve Haggerty, Hyatt’s global head of real estate and development. “Mexico City is the premier political, business and commercial hub in Mexico. Our strategic investment in this hotel, which has a highly visible presence in Mexico City, will increase awareness of Hyatt in Latin America and will support our long-term goal of becoming the most preferred hospitality company in every segment we serve.”

The hotel is situated in the heart of the upscale Polanco district on Campos Elíseos, where the regional headquarters of international corporations like General Motors, Nestle, and Coca Cola are located.