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Jorge Giannattasio, chief of Latin American operations, said the deals included a "multimillion-dollar investment to bring the hotels up to our standards," making Starwood the first U.S. company to commit major money to Cuba since Fidel Castro and his bearded rebels overthrew a pro-American government on Jan. 1, 1959.

Castro quickly nationalized the tourism industry and made the Habana Hilton the new government headquarters for months.

Cuba's tourism industry has boomed since the December 2014 rapprochement with the United States. International visitors rose 17 percent to a record 3.5 million in 2015, including a 77 percent increase in American visitors to 161,000.

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