Hyatt Hotels and Tianfu Minyoun Hospitality have partnered to bring 50 Hyatt Place and Hyatt House hotels to China, with franchise agreements for the first three hotels under the agreement already signed.
Under the strategic development agreement, Tianfu Minyoun will develop the 50 hotels in cooperation with Chinese investors over the next five years, the first three being Hyatt Place Nanchong Gaoping, Hyatt Place Changchun Jingyue and Hyatt House Changchun Jingyue.
The Chinese hospitality company will operate and manage the three hotels.
Additionally, Tianfu Minyoun is planning to develop hotels under The Unbound Collection by Hyatt and Hyatt Centric brands in “unique and attractive” destinations across China.
President and CEO Mark Hoplamazian, Hyatt Hotels Corporation, said: “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 the first authorised third-party management company for franchised Hyatt hotels in China, distinct from exclusive franchise and brand agency models, added Hyatt’s Asia Pacific group president David Udell.
Testament to the capacity of the partnership, Tianfu Minyoun has secured a credit line of RMB30 billion (US$4.7 billion) from Sinhuan Tianfu Bank, which would go towards the construction and renovation loans for hotel owners of the projects contemplated by the strategic development agreement.
Tianfu Minyoun has also teamed up with Road King Investment Group to establish a RMB10 billion industrial fund to support the agreement.