DEARBORN, MICH.—The 773-room Hyatt Regency Dearborn will open its doors as the Adoba Hotel Dearborn/Detroit on November 1, 2012. The hotel, which overlooks Ford World Headquarters, the Henry Ford Museum and the Detroit suburb of Dearborn, will be managed by Atmosphere Hospitality Management. Atmosphere is the owner and operator of the Adoba brand.
“We are thrilled to be part of this community and excited to resume business as usual,” says Jim Henderson, CEO/president of Atmosphere. “Most importantly, we look forward to serving our guests and working with such a well-regarded team of employees, as the Adoba team begins a process of due diligence, with the intent to purchase this hotel.”
The seller of the hotel is Royal Realties LLC. Carlson Rezidor Hotel Group had previously agreed to purchase the hotel but that deal fell apart earlier this month just two weeks after it had been announced. According to Crain’s Detroit Business, the hotel was left without a management company in May of this year when Hyatt pulled out of the property.
LEED Certification a Goal
As per every Adoba property that it owns and manages, Atmosphere will pursue LEED certification for the hotel.
“We intend over the next 36 months to renovate it to some level of LEED,” Henderson says. “Currently, it is a four-star hotel. We intend to keep it at that level.”
Henderson said the hotel’s location, so close to Ford, as well as the upward swing in the local and U.S. lodging market, made the hotel an attractive acquisition.
“The market is up significantly this year compared to last,” he said. “The long-term projections are very promising. The green meetings market will enjoy the renovation. Hyatt has done an amazing job with this property over the last 36 years.”
Brand Introduced in 2010
Atmosphere introduced the Adoba brand on Earth Day 2010. In February of this year, Atmosphere announced it had assumed management of a downtown Rapid City, S.D., property now called the Adoba Eco Hotel Rapid City. That property, not quite finished with its green renovation, is doing well, Henderson says. The hotel has experienced an $11 increase in average daily rate and a significant jump in profitability in 2012.
“People are willing to pay more for luxury green products,” Henderson says.
Henderson told Green Lodging News that his company has additional Adoba hotels in the pipeline.
