Starwood Continues to Expand Portfolio in Latin America
On Track to Reach 100 Hotels and Expects Strong Year of Openings
STAMFORD, Conn.--(BUSINESS WIRE)-- Starwood Hotels & Resorts Worldwide, Inc. (NYS: HOT) today announced that, with a continued focus on growth in Latin America, the company aims to have 100 hotels under operation and development in Latin America by the end of 2013. Currently, Starwood has a strong footprint of 71 hotels in 13 countries, and a robust development pipeline of 20 hotels with a total 3,300 new rooms underway.
Building on its aggressive growth strategy in the region, in the last two years, Starwood opened 12 hotels, including the Westin Panama, which opened in January, bringing its current portfolio to 71 hotels with 15,300 rooms representing 33 percent growth since 2007. In the remainder of 2013, Starwood expects to open seven more hotels with a total of 1,300 rooms, covering four brands across five countries.
Currently, the company operates eight unique brands throughout the region, including W Hotels, St. Regis and The Luxury Collection, which make up the company's luxury portfolio; Westin, Le Méridien and Sheraton, in the upper-upscale segment; and fast-growing mid-market or "specialty select" brands, Aloft and Four Points by Sheraton.
"In the last five years, our footprint in Latin America has expanded considerably to fulfill the increasing demand in business and leisure travel that has resulted from rising wealth, global businesses and a digitally connected world," said Osvaldo Librizzi, Co-President of Starwood Hotels and Resorts, Americas. "We believe that demand for travel will continue to increase in Latin America and to meet that demand, we aim to have 100 hotels under operation, development and management contracts by the end of 2013."
"We have seen the growth of all of our brands across the entire spectrum of destinations, including important gateway cities, secondary markets and resorts, reflecting the diversity and maturity of the market," said Ricardo Suarez, Vice-president of Acquisitions and Development for Starwood Latin America. "There is still a great deal of opportunity, in world-class travel destinations like Mexico and Costa Rica, under-hoteled markets such as Brazil, top performers like Chile and Peru, and foreign investment favorites such as Colombia and Panama. We believe that we are best positioned to capitalize on the many opportunities in the market, given the affinity to our brands and our know-how of the region where we've been present for more than 40 years."
Four Points by Sheraton and Aloft Key Drivers of Growth in Latin America
Starwood will introduce three Four Points by Sheraton hotels in key cities in the next year, including Four Points Miraflores in Lima, Peru which will open in March, followed by Four Points Cancun in Mexico in July and Four Points Bogota in January 2014. Fast-growing Four Points by Sheraton, with its popular positioning around comfort, style, and affordability is now Starwood's third largest brand with the second-biggest global pipeline. In Latin America, the brand already has 12 properties, from Mexico to Chile.
The Aloft brand made its debut in Bogota and San Jose less than two years ago and continues to take Latin America by storm. By 2015, six new Aloft branded hotels will open in Latin America bringing the total number to eight. This year, Aloft will debut in Panama and Mexico and by 2015 the brand will arrive in Paraguay and Uruguay.
Sheraton Enjoys Strong Position and Sustained Growth
Sheraton is Starwood's powerhouse brand around the world and is on-track to open its 500th hotel in 2015. In Latin America, the brand has 30 hotels in 11 countries. The next two years will be stellar for Sheraton with four new hotels opening by 2014. Sheraton da Bahia Hotel in Salvador, Brazil's second most important tourist destination, will open in March of this year, followed by Sheraton Tucuman Hotel in Argentina's northern region that same month. In early 2014, Sheraton Cartagena Hotel, a jewel on the city's coastline will make its debut followed by Sheraton Reserva do Paiva & Convention Center in Recife, one of the host cities of the 2014 FIFA World Cup.
Westin Nearly Doubles Portfolio in Latin America
Demand for new Westin hotels in Latin America is also heating up. In just the past two years, Westin has more than doubled its footprint in Latin America as part of the brand's strategic expansion in the region's fastest growing markets. This year's opening of The Westin Panama increased the Westin portfolio in Latin America to 11 hotels, spanning five countries including Panama, Mexico, Peru, Costa Rica and Guatemala.
Le Méridien Returns to Mexico
In 2012, Le Méridien returned to Mexico with the opening of Le Méridien Mexico City in November. Since its 2005 acquisition by Starwood Hotels & Resorts, both Starwood and its hotel ownership groups have transformed Le Méridien into a contemporary, design-led lifestyle brand. The brand has a significant growth pipeline with seven new hotels expected to open within the next 12 months around the globe.
Best Positioned in Luxury
Starwood continues to build on its extensive global luxury portfolio, under the St. Regis, The Luxury Collection, and W Hotels brands. In 2013, the company will open Palacio del Inka, a Luxury Collection hotel in Cusco that will join two other properties in Peru. In addition, the company has signed an agreement to open a new hotel Luxury Collection hotel in Guadalajara, Mexico. With 85 hotels in 30 countries, The Luxury Collection remains Starwood's largest luxury brand, and with its appeal to independent hotel owners it continues to grow, increasing its global footprint by 70% since 2007.
Starwood also plans to open four new W Hotels, including W Bogota in summer 2014, W Santa Fe in Mexico City in 2015, and W Retreat Kanai Rivera Maya and W Panama City in early 2016. And, with already two St. Regis hotels in Mexico, the brand expects to open its third in the country with the inauguration of the St. Regis Kanai Rivera Maya, slated to open in 2016.
For more information, please visit: www.starwoodhotels.com.
About Starwood Hotels & Resorts Worldwide, Inc.
Starwood Hotels & Resorts Worldwide, Inc. is one of the leading hotel and leisure companies in the world with 1,134 properties in nearly 100 countries and 171,000 employees at its owned and managed properties. Starwood is a fully integrated owner, operator and franchisor of hotels, resorts and residences with the following internationally renowned brands: St. Regis®, The Luxury Collection®, W®, Westin®, Le Méridien®, Sheraton®, Four Points® by Sheraton, Aloft®, and ElementSM. The Company boasts one of the industry's leading loyalty programs, Starwood Preferred Guest (SPG), allowing members to earn and redeem points for room stays, room upgrades and flights, with no blackout dates. Starwood also owns Starwood Vacation Ownership, Inc., a premier provider of world-class vacation experiences through villa-style resorts and privileged access to Starwood brands. For more information, please visit www.starwoodhotels.com.
(Note: This press release contains forward-looking statements within the meaning of federal securities regulations. Forward-looking statements are not guarantees of future performance or events and involve risks and uncertainties and other factors that may cause actual results or events to differ materially from those anticipated at the time the forward-looking statements are made. These risks and uncertainties are presented in detail in our filings with the Securities and Exchange Commission. Although we believe the expectations reflected in such forward-looking statements are based upon reasonable assumptions, we can give no assurance that our expectations will be attained or that results and events will not materially differ. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.)
Starwood Hotels & Resorts Worldwide, Inc.
Carrie Bloom, 203-964-5755
KEYWORDS: United States North America South America Connecticut Paraguay
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