An interesting quote from coverage in the local business sheet:
Quote:
Charles Taylor, owners' representative for Royal Realties, declined to comment on the reasons the agreement fell through.
There was an agreement with Carlson to operate the hotel under the Radisson banner, "… but the two parties didn't completely agree with each other at that time," Taylor said.
Sounds like any agreement was executed in haste. Regardless, with two mgmt. companies having cut bait and run, Royal is starting to look like a real piece of work...I wouldn't be surprised if this place is shuttered by January.
Is there any reason to believe that it won't be shuttered in November?
Not really. I threw out January, figuring that the owners might want to save a little credibility by not closing immediately after Hyatt's departure. Alas, there seems to be no decorum with these bottom feeders.
Detroit proper and nearby environs seem to have become magnets for an especially callous breed of real estate carpetbaggers. I hope Dan Gilbert's efforts downtown provide a tonic to this nausea.
“Due to unforeseen circumstances, Carlson and Royal Realties will not be moving forward with the management agreement,” Charles Taylor, Royal Realties’ owner representative, said in a prepared statement.
He said Thursday that Royal Realties, which has ties to several countries outside the United States, is evaluating its options and will be in the position to comment further as things arise.
Taylor said he couldn’t comment about what would happen if a new operator isn’t found by Nov. 1, and what would happen to the hotel’s roughly 300 employees in that situation.
“There’s too much movement right now,” he said.
Peter McMahon, Hyatt Regency Dearborn general manager, said he broke the news to the staff Wednesday.
“It was difficult, as you can imagine,” he said. “It was very difficult to have that conversation.”
McMahon said he will be leaving the hotel Nov. 1. He also is general manager of two Hyatt hotels in San Antonio, Texas. He came to Dearborn in May.
He also released a prepared statement, on behalf of Hyatt Hotels Corp.
“It is our hope that the owners will continue to operate a full-service hotel supporting Detroit and the Dearborn area as it has for nearly four decades,” the statement said. “Should there be a lapse in management of the hotel, Hyatt will work with the hotel’s owners to offer assistance to employees.
“Hyatt has been proud to serve the Dearborn and the greater Detroit region for the past 36 years, and we thank our associates, community and partners for their support over the years.”
There has been some speculation locally that Accor (Sofitel?) is in the mix. I'm anticipating that we'll hear something by Tuesday; the timing is likely set so close to the 31st so as to manufacture drama.
While I don't disagree with your take on this, I nonetheless find it curious that someone in this insular market--especially a commenter on a story in an effete suburban newsweekly--would actually be at least familiar w/ Sofitel. Perhaps it's indeed the work of a charlatan?
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Updated message on the Dearborn Hyatt website (emphasis Hyatt's):
Quote:
Reservations for arrival dates of November 1, 2012 and beyond are still being accepted and the hotel owner has advised that all future reservations will be honored. Please contact Deborah Cannon, the hotel owner’s representative, by e-mail at dcannon@1cusa.com or by telephone at (678) 903-0400, ext. 202 with any questions about existing and new reservations for dates as of November 1, 2012 and beyond. Hyatt Gold Passport members for arrival dates of November 1, 2012 and beyond will not be eligible to redeem Hyatt Gold Passport free nights, or receive program benefits, including Hyatt Gold Passport points and stay credits.