Hyatt Targets 90% Asset-Light Business, Plans More Hotel Sales

Key Points

• Hyatt is nearing a milestone with 90% of its earnings projected to come from asset-light operations by 2026.
• The company has recently sold significant hotel assets, including Playa Hotels & Resorts properties, while retaining long-term management agreements.
• Hyatt's asset-light strategy has driven strong fee growth, with gross fees rising nearly 9% in 2025 and continued expansion expected.

Summary

Hyatt is making significant progress toward becoming a predominantly asset-light business, aiming for 90% of its earnings to come from such operations by 2026. The company has accelerated its strategy by selling hotel assets, such as the Playa Hotels & Resorts properties, while maintaining long-term management agreements to secure recurring fees. This approach has shifted Hyatt's income mix, resulting in robust fee growth and positioning management fees as the primary engine of its earnings model.