Luxury all-inclusive firm Playa Hotels & Resorts is expanding its presence in the Caribbean by adding five properties in Jamaica.
A $100 million deal with Sagicor Group Jamaica will see the five all-inclusive resorts and two adjacent oceanfront sites on the north coast of Jamaica added to the Playa portfolio.
Playa currently owns and operates the Hyatt Zilara Rose Hall and Hyatt Ziva Rose Hall in Jamaica.
The company owns and manages a total of 15 resorts – 6,314 rooms – in Mexico, Jamaica and the Dominican Republic.
The new business combination with Sagicor will make Playa one of the largest resort owners and operators in Jamaica – both in the total number of rooms and number of brands under management.
The agreement includes four existing resorts including the 489-
room Hilton Rose Hall, the 268-room Jewel Runaway Bay, the 250-room Jewel Dunn’s River and the 225-room Jewel Paradise Cove.
It also includes an 88-room hotel tower and spa, two land sites with a potential density of up to 700 rooms and a hotel management contract for the Jewel Grande Palmyra.
Playa Hotels & Resorts chairman and chief executive Bruce Wardinski said: “Playa’s development track record, management expertise, strong regional presence and deep customer relationships will contribute significantly to improving the Sagicor portfolio performance.
“Most importantly, this transaction provides Playa with multi-year built-in growth opportunities, which we expect will drive outstanding financial returns.”
Sagicor chairman Richard Byles added: “This business combination will be a great benefit to the country of Jamaica, and represents a unique opportunity for growth and development for the people of Jamaica and the tourism sector.
“It will also create exceptional financial opportunities for Playa taking advantage of Jamaica’s combined attributes of tropical climate, attractive beachfronts, culture, airlift proximity to US markets, high stabilised occupancy levels verses other Caribbean destinations, and supportive government agencies.”