Hyatt cites sanctions as it cuts ties with Moscow hotel
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HYATT Hotels is ending its relationship with a Moscow hotel in compliance with "applicable sanctions and government directives", the company said in a statement last Friday (Mar 25).
The hotel, the Hyatt Regency Moscow Petrovsky Park, is one of the Chicago-based company's 5 hotels in Russia. The statement did not elaborate on Hyatt's reasons for cutting ties with the property, which opened in 2017 near the VTB Arena.
A representative for Hyatt did not immediately respond to a request for comment.
Hyatt first announced the project in 2012, planning for a hotel with meeting space, food and beverage outlets and a spa in close proximity to FC Dynamo Moscow's soccer stadium. The 298-room property opened in 2017 with a ribbon-cutting ceremony attended by executives from Hyatt and VTB Bank, Russia's second-largest financial institution.
The US Treasury has imposed full-blocking sanctions against VTB Bank in a move intended to "sever a critical artery of Russia's financial system".
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Hyatt is one of several US hotel companies to take a measured approach to Russia operations, promising to pause new development deals in the country while keeping existing properties open. The companies have stressed that they don't own real estate in Russia, but rather license brands and operating systems to local partners.
According to the statement,
Hyatt would terminate contracts with the Moscow hotel at 11.59pm local time on March 25, and guests with questions regarding future stays should contact the hotel directly. BLOOMBERG
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