Indian Oyo Hotels & Homes, in Partnership with Highgate, Buys Hooters in Las Vegas to rebrand as Oyo
Main Photo: The current Hooters Casino and Hotel, Las Vegas
Date: August 2019
Location: Tropicana Avenue, Las Vegas, Nevada, USA
Name: Hooters Casino Hotel, to become the Oyo Hotel & Casino Las Vegas
No. of Keys: 657
Seller: Trinity Hotel Investors, headed up by Goerge Ruff, Senior Principal…the hotel started life as an Howard Johnson back in 1973. Trinity has some interesting hotels that have been through their hands, such as Boca Raton Resort in Florida, The Mark in New York, Hotel Rafael in Munich, Germany and the boutique Cadogan Hotel in London.
Buyer: In partnership with Highgate, real estate investment and hospitality management company, paid a reported US$135m for the Hooters asset.
The hotel will undergo a refit before reopening later this year, and will be managed by Highgate. Oyo has announced plans to invest US$300m growing its presence in the US hotel and home rental markets.
The hotel will be a conversion of the Hooters Casino Hotel, and will have 657 rooms across 19 floors and a 35,000 square-foot casino. Public space will include two signature restaurants, four bars, a fitness centre and an outdoor pool.
The property will undergo a renovation to be completed this year. Highgate will assume management of the hotel, and Paragon Gaming will continue to operate the casino.
“We are excited to be here as we believe Las Vegas is an exciting city in which to invest as the market continues to evolve with projects such as the new Las Vegas Raiders NFL stadium and the $1 billion expansion of the Las Vegas Convention Center,” said Abhinav Sinha, COO/partner, OYO Hotels & Homes USA. “We are increasingly exploring new ways to connect with our customers, from millennials to young executives and families, in every city we enter,,,We will be undergoing a renovation and will come up with some of the most-loved amenities and experiences that are sure to please Las Vegas visitors from around the world.”
Founder/CEO Ritesh Agarwal noted the company’s $300 million investment in U.S. growth, where it launched earlier this year, and already has 112 hotels open in more than 60 cities in 21 states. “With our newest hotel in Las Vegas, we are excited to cater to a completely different audience segment and are certain that this will be the perfect start to Oyo’s journey in Las Vegas,” he said.
Price: US$135m
Price per Key: US$205,479
THPT Comment: OK we got the Oyo model, of small budget-type hotels in small-town USA, UK, China, India etc…then they added rental homes a la Airbnb with @leisure in Amsterdam, then work spaces with Innov8…and now 650-room Las Vegas Casino-Hotel? At least they have partnered with Highgate, a professionally run hospitality management firm. Not a bad price per room, although Trinity bought the hotel in 2015 for US$70m.
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