Global hospitality giant Hyatt Hotels Corporation has projected significant financial setbacks from Hurricane Melissa’s impact on its Jamaican operations, anticipating up to $20 million in adjusted EBITDA losses for 2026. The Chicago-based company revealed during its recent earnings call that eight all-inclusive resorts will remain closed through November 2026, resulting in approximately $15 million in lost gross booking fees.
President and CEO Mark Hoplamazian characterized the disruption as a temporary setback rather than a permanent impairment of assets. “We’re going to take a hit in 2026,” Hoplamazian acknowledged, while expressing strong confidence in Jamaica’s recovery prospects. “2027 presents an opportunity to far exceed our original underwriting for these properties.”
The delayed reopening timeline strategically positions Hyatt to capitalize on the 2027 winter tourism season with fully renovated properties. The company’s expanded Jamaican portfolio stems from its $2.6 billion acquisition of Playa Hotels & Resorts in June 2025, which added 1,203 rooms across four properties to its existing 899 rooms from the Apple Leisure Group acquisition.
Hoplamazian praised the Jamaican government’s reconstruction efforts, noting rapid infrastructure restoration and regulatory support including waived import duties on building materials. All affected properties have filed business interruption insurance claims, though reimbursement timelines remain uncertain according to CFO Joan Bottarini.
The hurricane’s financial impact previously prompted Hyatt to reduce its 2025 EBITDA outlook for Playa by $10 million. Despite near-term challenges, leadership remains optimistic about Jamaica’s long-term potential, with Hoplamazian noting the government’s commitment to preserving tourism-dependent jobs through extensive recovery efforts.