DEARBORN, Mich. -

After nearly 40 years in business, the Hyatt Regency Hotel in Dearborn is checking out.

The hotel isn't closing, but the Hyatt Group operators said they haven't been able to reach a new management agreement. So, the group is stepping away from the property to allow new leadership to take over.

 “Hyatt has decided to exercise its termination rights and allow the ownership to pursue alternative options to operate the property. We are working to establish a date that ensures a smooth transition,” said Hyatt and Royal Realities LLC.

Royal Realties LLC, owners of the Hyatt Dearborn since April 2011, issued the following statement:

 

"After nearly one year of negotiations, we were notified last week that Hyatt plans to exercise its termination rights and allow the ownership to pursue alternative options with regards to operations at the Hyatt Dearborn property.

 

We anticipated this outcome, and for months we have been in active discussions with other major hotel brands regarding the ongoing operation of the Dearborn property. We are working hard to identify a four-star hotel operator that shares our commitment to the long-term success and profitability of the hotel.

 

We are investing in the future of the hotel and the region. Plans are currently underway for an all-encompassing, multi-million dollar property renovation that includes major improvements to guest rooms, meeting rooms, public space and food and beverage outlets.

 

We do not plan any mass layoffs of staff, and we certainly do not plan to close the hotel.

 

We understand the hotel’s significance to the region, and especially to the city of Dearborn. We are optimistic about the metro Detroit region, and we look forward to making this a successful long-term investment for all involved."