The Hyatt has just announced a surprising expansion in Las Vegas.
Rio Las Vegas will become a Hyatt
The Las Vegas River with more than 2,500 rooms will be renovated and will become a Hyatt hotel. This multi-phase project is expected to bring several full-service Hyatt offerings to Las Vegas.
Here’s what we know so far about this new Hyatt:
- The Las Vegas River with more than 2,500 rooms will undergo a significant remodeling of the current public spaces, including games, retail, food and drinks, spa and gym, and a recreation deck by the pool
- One of the hotel’s existing towers will be renovated and, upon completion, it will become a 1,501-room Hyatt Regency property, with standard rooms averaging 580 square feet
- The rest of Rio’s guest rooms are expected to be branded or affiliated with one or more other full-service Hyatt brands after renovation
- We still don’t have an exact timetable with which all of this will happen
Rio Las Vegas will undergo a significant renovation
The context for this business is interesting:
- Dreamscape is the current owner of Rio; in December 2019 bought the Caesars hotel for $ 516 million
- The deal required the hotel to continue to operate as a Caesars property for at least two years (which takes us through the end of 2021)
- Clearly after that clause expires, Dreamscape has other plans for the property
As Hyatt’s vice president of real estate and development, Kimo Bertram, describes this:
“We are excited that Dreamscape will help us bring several Hyatt full-service brands to Las Vegas, starting with a Hyatt Regency hotel, which we believe will fulfill the Hyatt Regency brand promise to create meaningful connections in modern spaces designed to share, socialize and collaborate . We know that Las Vegas is an important destination for our guests, World of Hyatt members and customers, and this project is a significant step for Hyatt as we continue to expand our brands in the markets that matter most to our loyal travelers. ”
What other Hyatt brands could this hotel be?
I will be curious to see what other brands Hyatt plans to include in this development:
- They will all have full service, so don’t expect a Hyatt Place or Hyatt House
- I don’t think we’re going to see a Grand Hyatt, since Grand Hyatts are typically huge and the Hyatt Regency will already have over 1,500 rooms
- I think we can see an Andaz or Thompson, since they are brands that complement the Hyatt Regency; Thompson seems to be particularly popular at the moment
- Although I am not convinced that this will happen, it would certainly be cool if part of the development became a Park Hyatt
Can we see part of the hotel becoming a Thompson?
Hyatt’s MGM M Life partnership remains in effect
Although this is Hyatt’s first mega hotel in Las Vegas, members of the World of Hyatt have long had good coverage in the city, thanks to Hyatt’s partnership with MGM. It is said that this development does not affect Hyatt’s existing strategic loyalty alliance with MGM, although only time will tell if that is indeed the case.
Soon, Hyatt will have a direct competitor with MGM properties, so we’ll see how MGM feels about it.
Hyatt’s partnership with MGM will not change (from now on)
This is an exciting addition to the Hyatt
Although I personally am not a big fan of Las Vegas, there are many reasons why World of Hyatt members are excited about this property:
- While Hyatt’s partnership with MGM is incredible, it does not offer the same benefits you would receive when staying in a Hyatt
- Hyatt Globalist members have a lot to gain here, from the ability to use suite upgrade awards to confirm a suite, exemption from resort and destination fees (which is huge in Las Vegas) and complimentary breakfast; this could very well become a popular new place to “run mattresses”
This could turn out to be a great mattress race hotel
Result
The Las Vegas River will be renamed the Hyatt after an extensive renovation. The hotel has more than 2,500 rooms – a tower with more than 1,500 rooms will be converted into a Hyatt Regency, while other Hyatt brands are expected to be included in this development as well.
Personally, I think it’s more likely that we’ll also see a Thompson, but I may be wrong, and it’s also possible that we’ll see several additional full-service brands.
What do you think of the new Hyatt Las Vegas and what full-service brands would you like to see included in the development?