Hyatt expands in East Africa

Hyatt will open nine new hotels in Africa by 2020, placing special attention on East Africa.

Hyatt Hotels Corporation (NYSE: H) announced on Wednesday (September 26) nine new hotels in Africa, expected to open by the end of 2020, with the group placing special focus on East Africa.

Fulfilling last year’s goal for the Kenyan market, the announcement focuses on the first dual-branded Hyatt Place and Hyatt hotels on the continent, and Hyatt hotels in three new countries – Ethiopia, Algeria and Senegal.  

East Africa in particular remains a focus for Hyatt with an increasingly favourable business climate and heightened tourism spend, encouraged by relaxed visa rules, travel incentives, and a growing middle-class. Together, these factors are shaping demand for diversified accommodations, ranging from full-service luxury destinations and select-service hotels. According to the ‘UNWTO Tourism Highlights: 2018 Edition’, international tourist arrivals in sub-Saharan Africa have grown by 5.8% from 2005 to 2017, well above the global average of 4.2%. Furthermore, the continent saw a sustained growth of 8.6% in international tourist arrivals last year.

Leveraging global flight reservation information, travel data company ‘Forward Keys’ has stated long-haul international flights to Nairobi have grown by 8% as businesses take advantage of the recent multimillion-dollar expansion of Jomo Kenyatta International Airport, and the newly announced routes from Amsterdam, Paris, London and Accra.

Of Hyatt’s expected nine new hotels, five are market entries and include: Hyatt Regency Addis Ababa in Ethiopia, expected to open in the Kirkos district in the fourth quarter of 2018, featuring 180 guestrooms; Hyatt Place Nairobi/Westlands and Hyatt House Nairobi/Westlands, expected to open in 2020, comprising 233 guestrooms in total. The project marks the introduction of Hyatt’s select-service brands into Kenya with the first dual-brand Hyatt Place and Hyatt House hotel on the continent. The two hotels will offer amenities, including more than 7 500 square feet of meeting space, a restaurant, bar, and a swimming pool; as well as Hyatt Centric Dakar in Senegal and Hyatt Regency Algiers Airport in Algeria, both expected to open early 2019.

In Africa’s established markets, Hyatt is expanding its footprint in Tanzania with the Hyatt Regency Arusha, expected to open mid-2019, the third Hyatt-branded hotel in the country and will feature 174 rooms, as well as Hyatt Regency Cairo West (Egypt) and Park Hyatt Marrakech (Morocco), both set to open in 2020.

 “As part of Hyatt’s long-term plan to expand in sub-Saharan Africa, we will continue to look for further opportunities across countries such as Rwanda, Uganda, Mozambique, Namibia, Cameroon, Madagascar, Ghana, and Côte d’Ivoire,” said Tejas Shah, Hyatt's Regional Vice President of Development for Africa.