Playa Hotels & Resorts Overview
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Playa Hotels & Resorts Overview
2020
This document contains information confidential and proprietary to Playa Hotels & Resorts N.V. (“Playa”) and its affiliates.
The information may not be used, disclosed or reproduced without the prior written authorization of Playa, and those so
authorized may only use the information for the purpose of its evaluation consistent with authorization. Reproduction of
any section of this document must include this legend.
Forward-Looking Statements
This presentation may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and
similar expressions concerning matters that are not historical facts. You can identify these forward-looking statements by the use of terminology such as
“outlook,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “could,” “seeks,” “approximately,” “predicts,” “intends,” “plans,” “estimates,”
“anticipates” or the negative version of these words or other comparable words or phrases. Such forward-looking statements are subject to various risks and
uncertainties, including those described under the section entitled “Risk Factors” in our most recent Annual Report on Form 10-K filed with the SEC, as such
factors may be updated from time to time in our periodic filings with the SEC, which are accessible on the SEC’s website at www.sec.gov. Accordingly, there
are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. These factors should
not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in this presentation and in Playa’s
filings with the SEC. While forward-looking statements reflect Playa’s good faith beliefs, they are not guarantees of future performance. Playa disclaims any
obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, new information, data or
methods, future events or other changes after the date of this press release, except as required by applicable law. You should not place undue reliance on
any forward-looking statements, which are based only on information currently available to us (or to third parties making the forward-looking statements).
Use of non-GAAP Financial Measures
This presentation includes non-GAAP financial measures. Please refer to our most recent Annual Report on Form 10-K filed with the SEC for detailed
definitions of these measures and reconciliations of these measures to the nearest comparable GAAP measures. Our definitions of these measures may
not be comparable with measures used by other companies.
Third-Party Information
This presentation also contains information and statistics relating to the travel and tourism industry and the all-inclusive segment in certain markets. Playa
has derived such information and data from third-party reports or other sources without independent verification. No assurance can be given regarding the
accuracy or appropriateness of such information and data. You should not place undue reliance on such information and data in this presentation.
| 2
INDEX
1. Company Overview
2. Branding Benefits
3. Capital Allocation
Strategy
4. Appendix
| 3
Company Overview
| 4
COMPANY OVERVIEW
Playa’s Strategy
As the only public company in the sector, Playa’s strategy is to leverage its liquidity, institutional
expertise, and globally recognized brand partnerships to capitalize on the gap between the 14% of
Caribbean supply that is U.S. brand affiliated, and the 50%+ of guests that come from the U.S., to
drive outsized returns for our shareholders and enhance the lives of associates and the
communities in which we operate (1)
“We’ve known Playa for quite some time, and
once you visit their hotels, you will see, and
customers will see, that they have really figured
out the secret sauce [for running all-inclusive
resorts],…… They have the service, the
standards — all the things people want in all-
inclusive — but they were missing a small piece:
distribution. We have those nearly 80 million
Hilton Honors members who want to earn and
redeem. We both bring complementary
attributes.”
- Hilton vice president of development for Latin America,
Juan Corvinos
1) This includes the Mexican Caribbean. If we were to exclude the U.S. centric markets of Puerto Rico, Aruba, Cayman, Virgin Islands, Puerto Rico and the Bahamas, U.S. brand affiliated
supply drops to just 8%. | 5
Source: TripAdvisor, Playa Hotels & Resorts research
COMPANY OVERVIEW
Premier Collection of All-Inclusive Resorts
Hyatt Ziva and Hyatt Zilara Rose Hall Hyatt Ziva Cancún Hyatt Zilara Cancún
Hilton Playa del Carmen Hyatt Ziva Los Cabos Hyatt Ziva and Hyatt
Panama JackZilara
CancunCap Cana
(1) (2)
21 8,172 34.0% $210
All-Inclusive Total room 2019 Comparable Owned Resort 2019 Comparable
Resorts Count EBITDA Margin RevPAR
1) Includes management contracts
2) Rooms as of EOP 3Q20
| 6
BUSINESS
OUR BRANDS
OUR STORY
Since 2006, Playa Hotels & Resorts has become the leading owner,
operator, manager and developer of all-inclusive resorts in prime beach
front locations.
United Dominican
Mexico Jamaica
States Republic
OUR TEAM:
Total
12,000 Employees
Worldwide
GRAND OPENINGS AND MILESTONES
Formed a strategic alliance with Hilton
Launched Hyatt Zilara and Hyatt Ziva First 3rd- party management Completed renovation of Hilton
resulting in the transformation of three
brands, with the Hyatt Zilara Cancun, Hyatt Ziva contract with Sanctuary Cap Playa del Carmen and the Hilton La
resorts, and allowing for the conversion
Los Cabos, & the Hyatt Ziva/Zilara Rose Hall Cana Romana
of up to 8 additional resorts by 2025
2 013 2013 2 017 2017 2018 2018 2019 2019
Acquired Real Resorts Acquired Jewel Resorts & Opened Hyatt Ziva & Zilara Cap Cana
Listed on NASDAQ
& The Ritz Carlton Rose Hall Hilton Rose Hall in the Dominican Republic
| 7
BUSINESS
Playa Hotels & Resorts portfolio consists of owned, operated and managed all-inclusive resorts in prime oceanfront locations in Mexico, Jamaica and
The Dominican Republic. These all-inclusive resorts include adults-only properties exclusively for guests 18 years and older as well as all-ages
properties.
EBITDA by Region Brands by Rooms (%)
Jamaica Hyatt 39%
Cancún /
30%
Riviera Maya
44% Hilton 22%
1
Mexico Dominican
1 Dreams 17%
7 Republic
Panama
Dominican 6 Jack
9%
Republic
9%
7
Jewels 5%
Pacific Jamaica
Coast
17% Capri 4%
OUR PROPERTIES Sanctuary 4%
M EXICO
Hyatt Zilara Cancun Jamaica Dominican Republic
Hyatt Ziva Cancun Hyatt Zilara Rose Hall Sanctuary Cap Cana
Hyatt Ziva Los Cabos Hyatt Ziva Rose Hall Dreams Palm Beach
Hyatt Ziva Puerto Vallarta Jewel Paradise Cove Beach Resort & Spa Dreams Punta Cana
Hilton Playa Del Carmen Hilton Rose Hall Resort & Spa Hilton La Romana Adult Resort
Panama Jack Resorts Cancun Jewel Grande Montego Bay Resort & Spa Hilton La Romana Family Resort
Panama Jack Resorts Playa del Carmen Hyatt Zilara Cap Cana
Capri Hotel Hyatt Ziva Cap Cana
Dreams Puerto Aventuras
1) 2019 EBITDA percentages, and rooms EOP Q3 2020. Percentages don’t sum to 100 due to rounding. | 8
COMPANY OVERVIEW
Geographic Footprint
Cancún / Riviera Maya Rooms
EBITDA by Region (1)
Jamaica 1. Hyatt Ziva Cancún 547
30% 2. Hyatt Zilara Cancún 310
3. Hilton Playa del Carmen 524
Cancún /
Riviera Maya 4. Dreams Puerto Aventuras 305
44%
5. Capri Hotel 291
Dominican 6. Panama Jack Cancún 458
Republic
7. Panama Jack Playa del Carmen 287
9%
Total Cancún / Riviera Maya 2,722
Percentage by Region 33%
Pacific Coast Rooms
Pacific 1. Hyatt Ziva Los Cabos 591
Coast 2. Hyatt Ziva Puerto Vallarta 335
17%
Total Western Mexico 926
Percentage by Region 11%
Dominican Republic Rooms
1. Hilton La Romana 774
Pacific Coast Cancún / Riviera Maya Jamaica Dominican Republic 2. Dreams Palm Beach 500
3. Dreams Punta Cana 620
Hyatt Ziva & Zilara 4. Hyatt Ziva & Zilara Cap Cana 750
Rose Hall Dreams Punta Cana
5. Sanctuary Cap Cana (2)(3) 323
Jewel Grande
Total Dominican Republic 2,967
Hyatt Ziva Cancun
Percentage by Region 36%
Panama Jack Cancun
Hyatt Ziva
Los Cabos Hyatt Zilara Cancun Jamaica Rooms
Hilton Rose Hall
Capri Hotel Hyatt Ziva & Zilara 1. Hyatt Ziva Rose Hall 276
Jewel Paradise Cove
Cap Cana
Hilton Playa del Carmen 2. Hyatt Zilara Rose Hall 344
Sanctuary Cap Cana
Hyatt Ziva Panama Jack Hilton La Romana 3. Hilton Rose Hall 495
Puerto Vallarta Playa del Carmen Dreams Palm Beach 5. Jewel Paradise Cove 225
Dreams Puerto Aventuras 7. Jewel Grande (Owned) 88
8. Jewel Grande (Managed)(2) 129
Total Jamaica 1,557
Percentage by Region 19%
Managed by Playa Hotels & Resorts Managed by AMResorts (Apple Leisure) Total Rooms: 8,172
1) 2019 EBITDA percentages
2) Room count as of EOP Q3 2020 | 9
3) Denotes management contract
COMPANY OVERVIEW
Award-winning all-inclusive resorts
(1)
TripAdvisor
Rating
Hotels Price Range Certificate of
(Out of 5.0) Ranking No. of Hotels in Region AAA Four Traveler’s Choice Excellence
Hyatt Ziva/Zilara Cap Cana Luxury 4.5 1/2 162 New
2015-2016, 2018-
Hyatt Ziva Cancún Luxury 4.5 12 235
✓ 2016-2019
✓ 2019
✓ 2019
2011-2012, 2016,
Hyatt Zilara Cancún Luxury 4.5 17 235
✓ 2011–2019
✓ 2012-2013, 2016-
2018 ✓ 2019
Hyatt Ziva/Zilara Rose Hall Luxury 4.5 3 8
✓ 2015-2019
✓ 2018
✓ 2016-2019
Hyatt Ziva Los Cabos Luxury 4.5 21 54 ✓ 2014-2019 ✓ 2012 ✓ 2011-2018
Hyatt Ziva Puerto Vallarta Luxury 4.5 19 142
✓ 2015-2019
✓ 2012-2014
✓ 2012-2019
Capri Hotel Luxury 4.5 68 271 ✓ 2007-2019 ✓ 2006, 2008 ✓ 2011-2018
Hilton Playa del Carmen Luxury 4.5 33 271
✓ 2011-2019
✓ 2016, 2018-2019
✓ 2015, 2017-2019
Dreams Puerto Aventuras Upscale 4 14 18
✓ 2014
✓ 2012-2014
Hilton La Romana Upscale 4.5 2 24
✓ 2014-2015
✓ 2017-2019
Dreams Punta Cana Upscale 4.5 51 162
✓ 2011-2019 2018
✓ 2015-2016, 2018
Dreams Palm Beach Upscale 4.5 52 162 ✓ 2011–2019 ✓ 2012, 2014 ✓ 2012, 2016
Hilton Rose Hall Upscale 4 8 8
✓ 2012, 2015-2019 ✓ 2011-2019
Panama Jack Playa del Carmen Mid-range 4.5 34 271 ✓ 2012-2014,
2019
2016-
Panama Jack Cancún Mid-range 4 19 235 ✓ 2016, 2018-2019
Jewel Paradise Cove Mid-range 4.5 2 17
✓ 2014
✓ 2015-2019
Jewel Grande Mid-range 4.5 1 8
✓ 2018-2019
✓ 2019
1) Trip Advisor ratings as of 11/15/2020
2) Represents RCI premier all-inclusive awards | 10COMPANY OVERVIEW
Property Breakdown
PLAYA HOTELS & RESORTS N.V.
PLAYA RESORTS HOLDING B.V.
MANAGEMENT COMPANY
2 RESORTS
Sanctuary Cap Jewel Grande (1)
Cana (129 rooms)
19 RESORTS
Hyatt Zilara Cap Hilton Panama Jack Panama Jack Hyatt Ziva Hyatt Ziva Rose
Cana La Romana: family Cancún Playa del Carmen Cancún Hall
Hyatt Ziva Cap Hilton Playa del Hyatt Zilara Hyatt Ziva Hyatt Ziva Hyatt Zilara Rose
Cana Carmen Cancún Los Cabos Puerto Vallarta Hall
Key
Jewel Hilton Hilton Dreams Palm Dreams Punta Dreams Puerto
Paradise Cove Rose Hall La Romana: adults Beach Cana Aventuras
Managed by Managed By Playa Playa Management Capri
AMResorts Hotels & Resorts Contract Hotel
1) In addition to the 129 room management contract, Playa owns an 88 room hotel tower at the Jewel Grande. The 129 room tower and the 88 room tower are counted as one resort. | 11COMPANY OVERVIEW
The Power of The All-Inclusive Business Model
All-Inclusive Model Traditional (European) Hotel Model
▪ Quoted rate includes lodging, food,
▪ Quoted rate is strictly for the room and
beverages, kids club, taxes and many
recreational activities Vs. does not include any food, beverages,
WiFi, kids club, incidentals, taxes, and
▪ Increased ability to yield manage and often a hefty resort fee which are billed
staff separately
▪ Great value for guest given higher and ▪ Shorter length of stay, higher cost per
more predictable utilization guest (lower margin)
▪ Stress-free budgeting ▪ Guests often complain of feeling “nickel
and dimed”
▪ Saves time
▪ The longer you stay, the lower your per
▪ Guest arrives with fresh wallet driving night spend
high-margin premium sales
▪ Hotel taxes and gratuities are usually not
▪ Increased length of stay, which lowers included
costs and increased revenue per guest
| 12COMPANY OVERVIEW
The All-Inclusive Model vs. Traditional European Model
ALL-INCLUSIVE MODEL EUROPEAN MODEL
• Quoted rate includes lodging, food, beverages, and many • Quoted rate is strictly for lodging; food and incidentals
recreational activities provided by the hotel are billed separately
• Includes hotel taxes and gratuities • Hotel taxes, resort fees, and gratuities are usually not
included
Off-Season Peak-Season
(Four nights - Two adults, two kids) (Six nights – Two adults, two kids)
$4,500 $12,000
36% Savings $4,044 25% Savings
$4,000 $10,078
$10,000
$3,500
30%
$3,000 $2,609 $2,228
55% $8,000
$7,599 $3,043
Total Cost
Total Cost
$2,500
$6,000
$2,000
70%
$1,500 $4,000 $7,599
$2,609 $7,035
45%
$1,000
$1,816
$2,000
$500
$0 $0
Playa (All-Inclusive) Competitor (European Model) (3) Playa (All-Inclusive) Competitor (European Model)
(3)
(1) (2) (1) (2)
Room Rate Additional Charges Total Room Rate Additional Charges Total
1) Playa (All-Inclusive) room rates include: Food & Beverage, Most activities, Taxes, and Fees
2) Additional charges typically include: Food & Beverage, Activities, Taxes, and Fees | 13
3) Competitor rates are averages of comparably ranked hotels obtained from JW Marriott, Hyatt, etc.COMPANY OVERVIEW
Competitive Advantages
Benefits for Owners of All-Inclusive Higher EBITDA Margins (1)
▪ Guests book and pay further in LTM 12/31/2018 Adjusted EBITDA Margins
advance with fewer cancellations
Predictable 29.9% 29.9%
▪ More accurate planning of resources 28.5%
Revenue and (e.g. in F&B) leads to the efficient use 24.4%
22.6%
Occupancy of labor and less waste
▪ Leverage economies of scale
▪ All-inclusive price includes
Greater Share of – Room
Customer Wallet – Food & Beverage
Playa Leisure Upscale Global Hotel Emerging
– Entertainment Companies Lodging Companies Markets
▪ High-margin premium services not REITS Hotel
included in the all-inclusive package Companies
Generate – Spa Rapidly Growing All-Inclusive Segment (2)
Additional – Fine wine/premium alcohol Traditional Plan (2.3% CAGR 1990 – 2017)
Revenue Through – Wedding packages All-Inclusive (7.5% CAGR 1990 – 2017)
High-Margin – Room upgrades Total Rooms
180 166
Premium Services ▪ Guests more likely to buy upgrades at 160 20
the resort since their stay is paid in 140 124
advance 120 13
100
▪ Value for money - less expensive 74
80
12 146
High Customer than purchasing items a la carte 60 110
40 30
Satisfaction ▪ Total cost certainty 9 62
20
21
▪ Convenient one-stop shopping 0
1990 2000 2010 2017
1) Other companies may calculate Adjusted EBITDA differently than Playa, and therefore, Playa’s Adjusted EBITDA may not be directly comparable to similarly titled measures of other
companies.
2) Markets include Cancún/Riviera Maya, Los Cabos, Puerto Vallarta, Punta Cana, La Romana and Montego Bay. | 14
Sources: JLL, SECTUR, Barometro Turistico, Punta Cana Hotel Association, Ministry of Tourism, Jamaica Tourism BoardCOMPANY OVERVIEW
Brand Differentiation
Playa Brands vs. Other Brands
◼ The all-inclusive resort segment is saturated with brands that have limited U.S. consumer recognition.
◼ Many of these resorts are owned and managed by smaller operators who often lack capital resources.
◼ Playa has the unique opportunity to leverage Hyatt’s, Hilton’s, and Panama Jack’s world-renowned brands in the all-inclusive market.
| 15Branding Benefits
| 16Branding Benefits
Industry Leading Brand Partners
Hyatt and Hilton Have The Strongest & Most Consistent Customer
Reputations In Our Chain Scale Segments
Brand Upper Upscale Luxury
Playa Partners
Umbrella Ranking Ranking Average
Hyatt 3 1 2
Hilton 4 2 3
InterContinental 1 5 3
Marriott 2 4 3
Starwood THE STRATEGIC
6 PLAN 3 4.5
Wyndham 5 5
Best Western 7 7
Carlson Razidor 9 6 7.5
Choice 8 8
InTown Suites 11 7 9
Red Roof Inn 10 10
Notes: Brands include those with over 100 hotels and presence in the upper upscale and luxury segments. Lower numbers indicate stronger reputations
• Anderson, C.K., & Han, S. (2018) Indexing hotel brand reputation. Cornell Hospitality Report, 18(7), 1 – 16.
| 17Branding Benefits
The Guests Perspective
▪ Brands instill a sense of
familiarity, reliability, and lower
risk
▪ Reduce customers’ search
costs
▪ Increase the perception of the
resort being a high quality
value proposition
▪ Have a stronger influence on
guests’ perceptions than
location or chain scale
| 18Branding Benefits
Playa’s Global Brand Partners
▪ Hyatt’s and Hilton’s selection of Playa as its strategic partner in the
development and management of all-inclusive resorts throughout the
Caribbean, Mexico and Latin America reflects their confidence and
conviction in Playa’s best-in-class stewardship of all-inclusive resorts
▪ The benefits of branding:
▪ Efficiently introduces Playa to new guests given the global brand
partner’s broad geographic sales and marketing footprint,
particularly in the group space
▪ Brand familiarity is attractive to “first-time all-inclusive” customers
▪ Facilitates conversion of first-timers to Playa’s other properties,
brands, and geographies
▪ Lowers customer acquisition costs
▪ Immediate access to Hyatt and Hilton’s nearly 100 million
loyalty members
▪ Increases propensity to book direct
▪ Increases RevPAR index premiums; Hilton’s current US
RevPAR index premium system-wide is 1.15(1)
▪ Limited cannibalization of existing assets given high percentage of
redemptions and minimal overlap of top tier loyalty members
▪ Benefits of scale – purchasing, marketing, share of voice
▪ Partnerships contributes a second set of eyes aimed at maximizing
returns and guest satisfaction
• Source: Hilton’s 4Q18 & 4Q19 earnings conference call
| 19Branding Benefits
The Owner/Manager’s View
▪ Branding generates immediate customer recognition for a new or converted
property
▪ Assists in attracting new customers and retaining current customers
▪ A brand conveys a certain level of quality and service
▪ Exposure to new customers, who may not be familiar with All-Inclusive
▪ Increases the propensity for cross pollination and repeat visitation
▪ Brands are the #1 corollary with online reputation scores
▪ TripAdvisor, Expedia, Booking.com
▪ Brands have been proven to reduce price sensitivity and encourage purchase
decisions, resulting in higher revenues
▪ Globally recognized brand leaders provide access to marketing and PR scale
• Anderson, C.K., & Han, S. (2018) Indexing hotel brand reputation. Cornell Hospitality Report, 18(7), 1 – 16.
• Carvell, S. A., Canina, L., & Sturman, M.C. (2016). A comparison of the performance of brand-affiliated and unaffiliated hotel properties. Cornell Hospitality Quarterly, 57 (2), | 20Branding Benefits
The Owner/Manager’s View - Continued
▪ "Occupancy Insurance“
▪ Branded properties run 5.9 percentage points higher occupancy, on
average
▪ In secondary markets, branded properties generate premium ADRs and
premium RevPARs
▪ Branded properties' fundamentals outperform in downturns
▪ Branded hotels have lower failure rates
▪ Branded hotels have higher rates of group business
▪ Strategic alliances with leading global franchisors limits competition,
particularly for the key US brands
▪ Higher NAV for branded hotels affiliated with global franchisors
| 21Branding Benefits
The Role of Branding in Loyalty
▪ Brands have higher rates of customer loyalty and
engagement
▪ 80% of frequent business travelers use loyalty
programs as part of their booking decision
▪ Loyalty program members have been shown
to spend 62% more room nights with their
preferred chain than non-members, and spend
3.10x the amount of non-members annually,
on average
▪ Top-tier guests have been shown to spend on
average $16,800 a year at their preferred
chain vs. $470 annually for non-member
guests, and $860 for entry-tier guests
▪ Loyalty program members can contribute upwards
of 60% of occupancy on average on any given night
▪ And an even higher percentage of revenues as
tiered guests spend more
▪ Limited overlap in highest tier loyalty members
• Source: Deloitte, Winning the Race for Guest Loyalty, 2014: Jennings, S. & Giorgio, P.
• Hyatt Hotels 2016 analyst day slide deck | 22Branding Benefits
Branding Lowers Customer Acquisition Costs
Branding provides immediate access to loyalty program members
and billions in unredeemed loyalty program points
100
MILLION
Immediate access to over 100 million loyalty members, with over
$2 billion worth of unredeemed loyalty points
Loyalty Members Brands Current Properties Rooms in Pipeline
141 MM 30 7,205 495K
THE STRATEGIC PLAN
103 MM 18 6,110 387K
22 MM 20 913 101K
Ziva & Zilara have the highest share of redemption room nights with Hyatt.
Brands approximately sell 50% of room supply with loyalty customers.
• Source: All information sourced from the companies SEC Q3 2019 Quarterly Filings, company press releases or 2019 Annual Reports
| 23Branding Benefits
Branding Lowers Customer Acquisition Costs
▪ Lower customer acquisition costs
overall given access to OTA rates
and customer databases, higher
percentage of book direct at
brand.com
▪ Industry wide, reservations booked
at brand.com have customer
acquisition costs 11.6 percentage
points below those of the average
OTA booking, and 18.6 percentage
points below the average wholesaler
▪ Immediate access to the brand's
lower OTA rates, a 10 percentage
point savings
| 24Branding Benefits
Breakdown of Customer Acquisition Costs by Channel
Upper-Upscale Customer Acquisition Cost by Channel
Channel Acquisition Cost
Playaresorts.com 3% - 8%
Property Direct 2% - 3%
Voice 5% - 6%
Brand.com 5% - 6%
Group 6% - 7%
GDS 13% - 14%
OTA 17% - 18%
FIT/Wholesale 24% - 25%
• Source: All metrics with the exception of Playaresorts.com are industry estimates . Kalibri Labs., company estimates. | 25Branding Benefits
Breakdown of Channel Mix
Playa Resorts Management
Other
Group 2%
9%
Tour Operator
32%
Consumer Direct
23%
OTA's
34%
| 26Branding Benefits
Benefits To The Brand Company
▪ Highly valuable and desirable point
redemption opportunity
▪ A differentiated product offering vs.
current resort and leisure
alternatives
▪ Price certainty for guests
▪ High levels of guest satisfaction with
customer ratings averaging 4.5 on
TripAdvisor
▪ Consistent with their asset light and
low capital intensity business models
▪ Highly acclaimed locally experienced
owner-operator partner
| 27Branding Benefits
Financial Benefits of Branding
▪ Increased access to capital owing to lower
volatility and occupancy, outperformance
in downturns, higher NAVs, and in non-
primary markets, higher ADRs
▪ Lower cost of financing for properties
affiliated with top tier brands
▪ Access to key money and mezzanine
loans
▪ Higher NAVs for properties affiliated with
global franchisors
▪ Brand partners are a second set of eyes,
focused on maximizing returns
▪ Access to purchasing scale and the
commensurate cost and margin benefits
| 28TECHNOLOGY INITIATIVES
Initiative Description Launch Status
We are now live with this system in nearly
Dynamic RMS system that all of our hotels. We’ll operate the new
Yield Management helps optimize segments and system in parallel with our current
Q1 2019
System room type mix to achieve forecasting process for at least one year to
improvements in ADR fine tune it. Expecting the benefits to start
materializing in 2021.
Our ability to geo-target guests in
Built and launched a solid,
international markets and display
stable website and booking
competitive pricing was completed and
New Website platform, with enhanced Mid 2018
launched in Q4 2019. We continue to refine
usability to convert users at a
our targeting to capture more direct
higher percentage.
revenue from international markets.
Use sophisticated algorithms to
The full rollout of our room upsell technology
identify new revenue
and the addition of airport transfers in the
Upsell Technology opportunities via the sale of Q1 2019
booking process was completed and
ancillary items and services in
launched Q4 2019.
real time.
Enables travel agents to book The next evolution of our Travel Agent portal
directly through our site without launched in Q1 2020, giving Travel Agents
Travel Agent Portal Q4 2018
the need for a tour operator; the ability to package their Hotel, Air,
saving 7-9% per booking. Transfers and Insurance in one bundle. | 29Capital Allocation Strategy
| 30CAPITAL ALLOCATION STRATEGY
Creating Value Through Branding Partnerships - Case Studies
Current Branded Locations Positive Impact
Pre Post
$325
ADR $225
($)
(1) (1)
Hyatt Zilara Cancún Hyatt Ziva Cancún 2013A 2019A
$266
$169
RevPAR
($)
Hyatt Ziva / Zilara Rose Hall (1) (1)
2013A 2019A
$80
Adjusted
EBITDA
$31
($M)
(1) (1)
Hyatt Ziva Puerto Vallarta Hyatt Ziva Los Cabos 2013A 2019A
Playa’s historical fully stabilized conversion and expansion projects have generated an average
(1)
34% cash on cash return
(1) Includes Hyatt Ziva Cancún, Hyatt Zilara Cancún, Hyatt Ziva Los Cabos & Hyatt Ziva Puerto Vallarta. ADR & RevPAR calculated Year-to-Date as of 12/31/2013 and 12/31/2019 | 31CAPITAL ALLOCATION STRATEGY
Hilton Playa Del Carmen - Rebranding & Renovation Plan
Rebranding & Renovation
▪ The resort was re-branded as an all-inclusive
Hilton Hotel & Resort on November 1, 2018
▪ Conversion and renovation will be completed
in three phases from November 2018 through
November 2019
▪ Current estimate of discretionary capital
Adjusted EBITDA ($mm) investment to be spent is ~$13M to $15M
$35.0 ❑ ~$25k - $29k per key
$26 - $27
$30.0 ❑ Expected stabilized year range is 2022 - 2023
$25.0
$23.5
$20.0
$15.0
$10.0
$5.0
$-
2018A Stabilized Year
Redevelopment Cash-on-Cash Return (1)
▪ Estimated Project Cost: ~$13M - $15M ▪ Stabilized Year: ~18% - 27%
(1) Cash-on-Cash return calculated by dividing the incremental EBITDA generated by the renovation (Stabilized Year incremental EBITDA over 2018) by the redevelopment cost. Project cost is net of | 32
key money and VAT.CAPITAL ALLOCATION STRATEGY
Hilton La Romana - Rebranding & Renovation Plan
Rebranding & Renovation
▪ The resort was re-branded as an all-inclusive
Hilton Hotel & Resort in November 2018, at
which time, Playa began to manage the resort
▪ The conversion and renovation are expected
to be completed in 4Q19 and will be conducted
in 2 phases
Adjusted EBITDA ($mm)
▪ The current 756 room hotel has been
$30.0 converted into two Hilton Hotels & Resorts:
$23 - $24
$25.0 ❑ 344-room Hilton all-inclusive adults only resort
$20.0 ❑ 412-room Hilton all-inclusive all-ages resort
$15.0 $16.5
▪ Current estimate of discretionary capital
investment to be spent is $39M - $41M
$10.0
❑ $51.5k - $54k per key
$5.0
❑ Expected stabilized year range is 2022 - 2023
$-
2018A Stabilized Year
Redevelopment Cash-on-Cash Return (1)
▪ Estimated Project Cost: ~$39M - $41M ▪ Stabilized Year: 15% - 17%
(1) Cash-on-Cash return calculated by dividing the incremental EBITDA generated by the renovation (Stabilized Year incremental EBITDA over 2018) by the redevelopment cost. Project cost is net of
key money and VAT. | 33CONCLUSION
Leading Owner Operator with Significant Growth Opportunity
Premier Collection of All-Inclusive
▪ Prime oceanfront real estate
Resorts with best in class brand ▪ Preeminent destination markets
partners in Highly Desirable
Locations
▪ Less reliant on demand from business travelers
▪ Attractive price-to-value leisure destination
Differentiated, Resilient Business ▪ High degree of cost certainty provides more control /
Model flexibility in cost management
▪ Guests more likely to upgrade to high-margin premium
services, since their stay is paid in advance
▪ Successful strategic alliance with Hyatt, resulting in higher
rate and occupancy
Success at Strategic Alliances and ▪ Real 4-pack acquisition demonstrating Playa’s ability to
Investments identify premium assets with upside potential
▪ Strategic alliance with Hilton should fuel direct bookings and
drive outsized returns
▪ Direct to consumer strategy
▪ Significant embedded growth from recently renovated
Significant Growth Opportunity portfolio
▪ Fragmented industry provides acquisition opportunities
▪ Pursue capital-light strategy
| 34Appendix - Experienced Leadership
| 35APPENDIX: EXPERIENCED LEADERSHIP
Bruce Wardinski, CEO, has a long history of maximizing returns to investors in the real estate industry
Bruce Wardinski: CEO of Playa Hotels & Resorts N.V.
Starts at Marriott
1987
▪ Founded Playa Hotels & Resorts in 2006, retains 2% personal stake
in the company
▪ Previously served as Chairman, President, and CEO of Barceló
Marriott establishes Host Marriott
Crestline Corporation (BCC) 1993
▪ Former Chairman and CEO of Crestline Capital (NYSE: CLJ) after its
spin-off from Host Marriott when Host Marriott converted to a REIT
▪ Founded and served as Chairman of Board of Highland Hospitality Formation of Crestline Capital
Corporation (NYSE: HIH) from 2003 – 2007, a self-advised real 1998
estate investment trust
▪ Served as Senior VP and Treasurer of Host Marriott and spent six
years at Marriott Corporation prior to that
2002 Sale of Crestline to Barcelo
▪ Oversaw REIT conversions, spin-offs, IPOs, and company sales in
broad global markets (Europe, Latin America and Asia) throughout
his executive experiences
Formation of Highland Hospitality
History of Creating Shareholder Value 2003
Crestline Capital Highland Hospitality
250 250
Formation of Playa
35.8% IRR (1)
24.3% IRR (2)
2006
200 200
Indexed to 100
Indexed to 100
150 150
Sale of Highland Hospitality
100 100 2007
50 50
CEO of Playa Hotels &
Resorts N.V.
Crestline Capital S&P 500 Highland Hospitality S&P 500 Present
(1) Stock Price: $10.00 – $34.00
(2) Stock Price: $10.00 – $19.50
| 36APPENDIX: EXPERIENCED LEADERSHIP
Executive Team
Years in Time at
Industry Playa Previous Experience
Alex Stadlin
45 years 12 years ▪ Joined Playa in 2008 as CEO of Playa Resort Management
▪ Extensive career at Marriott, holding numerous leadership positions in the U.K., Germany and
Mexico, as well as in many Middle Eastern and African markets
▪ Played a key role in Playa’s expansion, managing the development of the 619-room Barceló Los
Cabos that opened in 2009, and coordinating the brand repositioning of Playa’s Dreams resorts in
the Dominican Republic
▪ Successfully launched the first all-inclusive brands within Hyatt (Ziva and Zilara), expanding to 6
hotels and setting the new standard in all inclusive lodging
▪ Notable and diverse accolades from many sectors within the hospitality industry
CEO of Playa Resorts ▪ Served as Chairman of the Polanco Hotel Association
Management ▪ Served on the BOD of the Mexican Hotel Association and American Chamber of Commerce
Kevin Froemming
23 years 6 years ▪ Joined Playa in 2013 after 10 years of serving as President of Unique Vacations (worldwide
representative for Sandals and Beaches resorts)
▪ Previously served as COO of The Mark Travel Corporation’s owned brands where he was
responsible for bottom line profitability, and led the acquisition and integration team that was
responsible for the addition of several travel companies
EVP & Chief Marketing
Officer of Playa Hotels &
Resorts
Ryan Hymel 18 years 14 years ▪ Has been with Playa since founding in 2006
▪ Began career with the hotel owner and operator, Crestline Capital (NYSE: CCJ) Barcelo Crestline
Corporation
▪ Previously held the positions of Treasurer and Senior Vice President of Treasury & Planning
▪ Responsible for managing all aspects of investor relations, financial planning & analysis, capital
market & debt activities, along with treasury and cash management
EVP & Chief Financial
Officer of Playa Hotels &
Resorts
| 37APPENDIX: EXPERIENCED LEADERSHIP
Executive Team
Years in Time at
Industry Playa Previous Experience
31 year 0 Years ▪ 31 years legal experience
Tracy Colden ▪ Prior law experience includes: General Counsel, Executive Vice President and Corporate
Secretary with Highland Hospitality Corporation (NYSE: HIH) and Crestline Capital Corporation
(NYSE: CLJ); and Assistant General Counsel at Host Hotels & Resorts (formerly the Host Marriott
Corporation), and associate at Hogan Lovells (formerly Hogan & Hartson).
▪ For the past 11 years, she acted as principal of The Law Offices of Tracy M. J. Colden in Miami
and outside counsel for Chesapeake Lodging Trust (NYSE: CHSP).
EVP & General Counsel of
Playa Hotels & Resorts
18 years 14 years ▪ Has been with Playa Hotels & Resorts since its inception in 2006 and currently heads its
Acquisitions Group
Fernando Mulet ▪ Last served as Director of International Investment & Asset Management with Highland
Hospitality
▪ Started his career within the hospitality industry at Barceló Hotels & Resorts holding different
positions both at the corporate and hotel level in Mexico, Spain and in the US.
Executive Vice President
of Development
| 38Appendix: Portfolio Overview
| 39APPENDIX: PORTFOLIO OVERVIEW
Yucatan Peninsula
1 2 3
Hyatt Zilara Cancún Hyatt Ziva Cancún Panama Jack Cancún
4 5 6
Panama Jack Playa del Carmen Hilton Playa del Carmen Capri Hotel
Signficant (1)
Year Built Renovation Rooms
1 Hyatt Zilara Cancún Cancún, Mexico 2006 2013 310
2 Hyatt Ziva Cancún Cancún, Mexico 1975 2015 547
3 Panama Jack Cancún Cancún, Mexico 1985 2018 458
4 Panama Jack Playa del Carmen Playa del Carmen, Mexico 1996 2018 287
5 Hilton Playa del Carmen Playa del Carmen, Mexico 2002 2019 524
7
Dreams Puerto Aventuras 6 Capri Hotel Riviera Maya, Mexico 2003 2003 291
7 Dreams Puerto Aventuras Riviera Maya, Mexico 1991 2009 305
1) Includes renovations, repositionings and expansions.
| 40APPENDIX: PORTFOLIO OVERVIEW
Pacific Coast & Dominican Republic
8 9 10/11
Hyatt Ziva Puerto Vallarta Hyatt Ziva Los Cabos Hilton La Romana
12 13 14 15
Dreams Palm Beach Dreams Punta Cana Hyatt Ziva & Zilara Cap Cana
Signficant (1)
8 Year Built Renovation Rooms
Hyatt Ziva Puerto Vallarta Puerto Vallarta, Mexico 1969 2014 335
9
Hyatt Ziva Los Cabos San Jose del Cabo, Mexico 2007 2015 591
10
Hilton La Romana, All-ages La Romana, Dominican Republic 1997 2019 418
11 Hilton La Romana, Adults La Romana, Dominican Republic 2019 356
12 Dreams Palm Beach Punta Cana, Dominican Republic 1994 2008 500
13 Dreams Punta Cana Punta Cana, Dominican Republic 2004 2004 620
16 14 Hyatt Ziva Cap Cana Cap Cana, Dominican Republic 2019 - 375
Sanctuary Cap Cana
15 Hyatt Zilara Cap Cana Cap Cana, Dominican Republic 2019 - 375
(2)
16 Sanctuary Cap Cana Cap Cana, Dominican Republic 2008 2018 323
1) Includes renovations, repositioning and expansions
2) Management contract | 41APPENDIX: PORTFOLIO OVERVIEW
Jamaica
19
Hilton Rose Hall
17 18
Hyatt Ziva & Zilara Rose Hall
20
Jewel Paradise Cove
Signficant
Year Built Renovation(1) Rooms
17 Hyatt Zilara Rose Hall Montego Bay, Jamaica 2000 2017 344
18 Hyatt Ziva Rose Hall Montego Bay, Jamaica 2000 2017 276
19 Hilton Rose Hall Montego Bay, Jamaica 1974 2016 495
20 Jewel Paradise Cove St. Ann’s Bay, Jamaica 1977 2013 225
21 Jewel Grande (owned) Montego Bay, Jamaica 2010 2017 88 21 22
(2)
Jewel Grande
22 Jewel Grande (managed) Montego Bay, Jamaica 2010 2017 129
1) Includes renovations, repositionings and expansions.
2) Management contract. Both Grande towers are considered one resort. | 42| 43
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