Hyatt Hotels Corporation and Kiraku, Inc. have announced that ATONA, the modern hot spring ryokan (Japanese-style inn) brand, will open properties in Yufu, Yakushima, and Hakone in 2026.

The brand was announced in 2022 under a joint venture between a Hyatt affiliate and Kiraku, a Japanese company dedicated to preserving valuable assets for future generations. In addition to announcing the opening destinations and date for the first three properties, the two companies also announced the first close of Atona Impact Fund, a real estate fund that will actively invest in ATONA ryokan development projects, securing an initial funding of 10 billion yen (approximately $64 million US). First round investors include affiliates of Hyatt and Kiraku, as well as Takenaka Corporation, a leading Japanese construction firm. The fund is aiming for a final target of 20 billion yen (approximately $128 million US).

The name “ATONA,” which combines the two old Japanese words for “me” and “you,” is an expression of deep connection. Each ATONA ryokan will embrace a “small luxury”-concept focused on hot springs and unique destinations, with wellbeing and culinary experiences unique to their locales. They will feature a modern design grounded in Japan’s rich cultural heritage and history, and will typically have 30 to 50 guestrooms. They will also feature restaurants with open kitchens and bars showcasing seasonal ingredients.

“Hyatt is a leading global hospitality company that is synonymous with elevated contemporary luxury. Aside from reaching valuable guests through World of Hyatt, the industry’s fastest growing loyalty program, this collaboration enables us to leverage Hyatt’s global expertise to deliver high operational efficiency and exceptional guest experience and focus on long-term capital appreciation and substantial investor returns,” said Kou Sundberg, founder and chief executive officer of Kiraku. “We are delighted to have identified prime locations for the first ATONA ryokans and successfully secured funding for the Atona Impact Fund. Having already partnered with Takenaka Corporation to restore a heritage sake brewery in Nagano, we are excited to expand our collaboration with more regional revitalization projects.”

“Through the ATONA brand, we look forward to introducing Japan’s hot springs and new destinations to our World of Hyatt members, and international and domestic travelers alike. With Kiraku’s expertise in deal sourcing, asset management and business development, the ATONA brand is poised to meet the rising demand for high-end ryokans,” said Sam Sakamura, Hyatt’s vice-president, Japan and Micronesia.