What was the total debt for Caption By Hyatt as of December 31, 2024?
Caption_By_Hyatt Franchise · 2025 FDDAnswer from 2025 FDD Document
Variable Rate Term Loan—During the year ended December 31, 2024, we entered into a credit agreement with Bank of America to correspond with the total amount of the secured financing receivable we issued to the buyer in conjunction with the sale of Park Hyatt Zurich (see Note 7) for a CHF 41 million (approximately $45 million outstanding at December 31, 2024) variable rate term loan, which matures in 2029.
Floating Average Rate Loan—During the year ended December 31, 2012, we obtained a secured construction loan with Banco Nacional de Desenvolvimento Econômico e Social - BNDES ("BNDES") in order to develop Grand Hyatt Rio de Janeiro. The loan was split into four separate sub-loans. Sub-loans (a) and (b) mature in 2031 and bear interest at the Brazilian Long Term Interest Rate - TJLP plus 2.02%, and when the TJLP rate exceeds 6%, the amount corresponding to the TJLP portion above 6% is required to be capitalized daily. Sub-loans (c) and (d) matured during the year ended December 31, 2023. At December 31, 2024, the weighted-average interest rates for the sub-loans we have drawn upon is 8.02%. At December 31, 2024 and December 31, 2023, we had Brazilian Real ("BRL") 119 million, or $19 million, and BRL 136 million, or $28 million, outstanding, respectively.
Source: Item 21 — Financial Statements (FDD pages 84–85)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, Caption By Hyatt's parent company, Hyatt Hotels Corporation, had several notable debts as of December 31, 2024. These debts include a variable rate term loan and a floating average rate loan. The variable rate term loan, obtained through a credit agreement with Bank of America, amounted to approximately $45 million. This loan corresponds to secured financing receivable issued to a buyer in connection with the sale of Park Hyatt Zurich and matures in 2029.
Additionally, Hyatt Hotels Corporation had a floating average rate loan related to the development of Grand Hyatt Rio de Janeiro. As of December 31, 2024, the outstanding balance for this loan was Brazilian Real ("BRL") 119 million, which is equivalent to approximately $19 million. The weighted-average interest rate for the sub-loans drawn upon was 8.02%. These loans have varying terms, with some sub-loans maturing in 2031.
It is important to note that these figures represent specific debts of Hyatt Hotels Corporation and do not necessarily reflect the financial obligations a franchisee of Caption By Hyatt would incur. A prospective franchisee should review the financial statements and consult with the franchisor to understand the specific financial obligations and debt structure associated with operating a Caption By Hyatt franchise.