Board approves Hyatt management deal, airport bonds and hotel financing after debate over market impact

The Board of Supervisors voted on Dec. 1, 2015 to approve a hotel management agreement with Hyatt Corporation for a new on-airport hotel at San Francisco International Airport and to authorize related bond financing.

Supervisors approved three related items together: a resolution to award the hotel management and cash-management agreements to Hyatt (item 14), a resolution to approve issuance of up to $243,000,000 in San Francisco Airport Commission capital plan bonds and up to $225,000,000 in specialty facility bonds to finance the hotel (item 15), and an ordinance to appropriate approximately $473,000,000 of proceeds and other financing sources for hotel development (item 16). Supervisor Mark Farrell was recused from the vote.

The measures passed on a roll call after discussion of market competition concerns. The final tally recorded ten votes in favor and no recorded opposition among the remaining supervisors: President London Breed, Supervisor Campos, Supervisor Christensen,…