Wyndham wants to close the year with 36 hotels more in Latam

 

With over 9,300 hotels around the world, Wyndham Hotels & Resorts plans to end 2019 with more than 30 new ventures added to its portfolio in Latin America. “In 2018, we brought 22 hotels to the region. For this year, we want to reach 36 new projects,” says Armando Ramírez, Business Development director for the company in the Southern Cone.

“We have 237 properties in Latin America and the Caribbean. Our goal is to reach the leadership [in the number of hotels in the region] in the coming years,” he remarked when speaking with the GRI Hub team while attending GRI Hotels Brazil 2019. Specifically on the Brazilian market, the company aims to be the largest in the number of enterprises in four years.

The executive says that despite having 20 brands in its portfolio, the network, which originated in the United States, does not expect to exceed seven flags in South America. “Some brands do not make sense for South America, especially for Brazil. So we are likely to focus on six or seven – Wyndham [Hotels and Resorts], Wyndham Garden; Ramada [by Wyndham]; Ramada Encore, a partnership with Vert [Hotels]; Days Inn, which is an economy product, and Tryp by Wyndham.”

Arrival of a new brand

“We will certainly bring [to other South American countries] the Dazzler by Wyndham brand, acquired from the Fën group three years ago, in Argentina. [In the negotiation], 33 hotels were purchased in South America – including in Peru, Uruguay, and Paraguay. It is a brand that makes sense for the region,” says Ramírez while addressing the company’s plans for the nations under his responsibility.

Still lacking a presence in Brazil, Dazzler ventures stand out for being in central locations in the metropolises, offering easy access to local attractions. The third unit of the brand was inaugurated in Peru in early June: The Dazzler by Wyndham Lima San Isidro.

Progress of property multi-ownership in Brazil

An enthusiast of the property multi-ownership model, Armando Ramírez believes there is potential for expansion in the country. “There was no such concept [in Brazil] five or six years ago. This model already exists abroad and, upon arriving here, has been tropicalized.”

Act 13,777/2018, which entered into force in February of this year, regulated multi-ownership – a condominium scheme in which each owner of a property is entitled to a fraction of the time, which corresponds to the option for exclusive use and enjoyment of the property as a whole, to be used by the owners alternately.

The Wyndham director says that because of its experience in this segment, the network has been sought to manage ventures of the type,” mainly because it is necessary to understand the market. It is not managing a hotel, but a condominium in which the customer is still paying for the main product, and it is necessary to deliver what was offered years earlier. We have an appetite [for this model] and are in contact with developers.”

With regard to Brazilian regions, in addition to its presence in the Northeast, Wyndham has an interest in Southern Brazil and in the interior of the State of São Paulo. “These are some of the places where we are going to start operating.”

Other locations will depend on the developer and business partners’ needs. “The key point is to choose the partners well. This is what matters most for any operation to be successful,” he adds.

Brazil GRI 2019

The 10th edition of Brazil GRI is scheduled for November 12 and 13 at the Grand Hyatt Hotel São Paulo. The event will bring together key decision-makers in the real estate industry, including real estate investment funds (FIIs), developers, investors, operators, banks and securitizers, in an environment conducive to networking. In all, there will be about 30 discussion rooms that will address the residential, subdivision, office, hotel, industrial & logistics, and shopping & retail segments. Find out more details.