Wyndham Adds to Caribbean Resorts
Jul 31, 2003 (The Dallas Morning News - Knight Ridder/Tribune Business News via COMTEX) -- Wyndham International Inc. is expanding its portfolio in the Caribbean, its most profitable market.
The Dallas-based hotel company will take over marketing and room-booking duties for seven Viva Resorts properties owned and managed by Club Viva International Inc. The deal will be announced Thursday, Wyndham officials said.
The properties, located in the Dominican Republic, the Bahamas and Mexico, will be re-branded as Viva Wyndham Resorts in December but will continue to be owned and operated by Viva.
Wyndham owns nine Caribbean resorts, and they're the most profitable properties for the struggling company. For the first quarter of the year, the Caribbean resorts' average daily room rate was $202, and daily room revenue was $160.74.
That's well above the companywide average daily rate of $127.88 and room revenue of $89.38.
Wyndham also runs three other Caribbean properties under franchise agreements.
The Caribbean market has been an important part of Wyndham's business, and accounted for 15 percent of total revenue last year. The company has added four other Caribbean resorts, through franchise or management agreements, in the last year.
The Viva deal also gives Wyndham more visibility in Mexico, where it operates one resort on the Pacific coast. The three Viva properties are on the Gulf of Mexico.
Wyndham shares closed Wednesday at 48 cents, down a penny.
By Suzanne Marta
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(c) 2003, The Dallas Morning News. Distributed by Knight Ridder/Tribune Business News.
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