Chesapeake Lodging Trust (NYSE:CHSP) (the “Trust”) announced today that it has entered into a Franchise Agreement with a Hyatt affiliate to convert its current property located at 30-32 West 31st Street, New York, NY to the Hyatt Herald Square in the third quarter of 2014. Conversion of the property is expected to occur following the completion of a comprehensive six million dollar renovation. Property operation will close throughout the renovation project which is expected to begin in August and conclude by the end of September 2014.
James L. Francis, Chesapeake Lodging Trust’s President and Chief Executive Officer, stated, “We are very pleased to expand our relationship with Hyatt, by way of up-branding the hotel to the upper-upscale market position in the vibrant midtown area of Manhattan. Hyatt Herald Square will mark our sixth Hyatt property in our growing portfolio of high-quality assets throughout the key markets of North America.”
The design plans are being developed by Paul Vega, founder of VLDG designs of New York and will capitalize on the hotel’s proximity to the Herald Square neighborhood and the nearby Fashion District of Manhattan. The design takes cues from the tactile nature of both industries, creating ideas inspired by the industrial techniques used in each form of production.
The transformational plans include an all-inclusive renovation to each of the 122-guestrooms with custom furniture pieces, new softgoods and seating and extrinsic art influences from the local region. The first floor will be transformed into an intimate upscale lobby and food and beverage experience with gathering spaces geared toward the discerning business and leisure traveler seeking convenient access to business demand generators and the plentiful leisure attractions of Manhattan.
Mr. Francis continued, “The new product will meld perfectly with the roof-top bar experience we created in 2013 which has unparalleled views of the Empire State Building and the surrounding midtown skyline. We expect our new Hyatt hotel will ramp-up very quickly given the robust demand in Manhattan, the strength of the Hyatt brand and our operator’s extensive experience managing hotel properties in New York City. This design centric renovation will perfectly position the hotel for exceptional long-term performance.”
“We are happy to be working with Chesapeake Lodging Trust to be adding our eighth Hyatt-branded hotel in Manhattan to the energetic Herald Square neighborhood,” said Mark Chase, Vice President, Real Estate and Development for Hyatt Hotels & Resorts. “Hyatt Herald Square will offer travelers and city explorers modern boutique accommodations in this vibrant midtown neighborhood and proximate to the fashion district.”
ABOUT CHESAPEAKE LODGING TRUST
Chesapeake Lodging Trust is a self-advised lodging real estate investment trust (REIT) focused on investments primarily in upper-upscale hotels in major business and convention markets and, on a selective basis, premium select-service hotels in urban settings or unique locations in the United States. The Trust owns 20 hotels with an aggregate of 5,932 rooms in eight states and the District of Columbia. Additional information can be found on the Trust’s website at www.chesapeakelodgingtrust.com.
Hyatt hotels are smaller-sized properties conveniently located in diverse business and leisure areas. Hyatt hotels offer guests the opportunity to experience authentic hospitality in a vibrant environment. Customers include individual business and leisure travelers, and Hyatt hotels can accommodate smaller scale business meetings and social gatherings.
ABOUT HYATT HOTELS CORPORATION
Hyatt Hotels Corporation, headquartered in Chicago, is a leading global hospitality company with a proud heritage of making guests feel more than welcome. Thousands of members of the Hyatt family strive to make a difference in the lives of the guests they encounter every day by providing authentic hospitality. The Company's subsidiaries manage, franchise, own and develop hotels and resorts under the Hyatt®, Park Hyatt®, Andaz®, Grand Hyatt®, Hyatt Regency®, Hyatt Place®, Hyatt House®, Hyatt ZilaraTM, and Hyatt ZivaTM brand names and have locations on six continents. Hyatt Residential Group, Inc., a Hyatt Hotels Corporation subsidiary, develops, operates, markets or licenses Hyatt ResidencesTM and Hyatt Residence ClubTM. As of September 30, 2013, the Company's worldwide portfolio consisted of 535 properties in 47 countries. For more information, please visit www.hyatt.com.