Marriott International has announced its acquisition of citizenM, a select-service lifestyle brand, to accelerate its global expansion in lifestyle and select-service lodging. This strategic move reflects Marriott’s commitment to providing innovative options for guests and Marriott Bonvoy members worldwide.
citizenM: A Unique Lifestyle Offering
Founded in 2008, citizenM has established itself as a trailblazer in the hospitality sector with:
- 36 operational hotels across 20+ cities, including New York, London, Paris, and Rome.
- A pipeline of three under-construction hotels with 600+ rooms, set to open by mid-2026.
- A focus on art, design, and technology-driven experiences, catering to value-conscious travellers.
The brand features smart room designs, indoor and outdoor common spaces with immersive art, collaborative workspaces, grab-and-go F&B options, and rooftop decks for social gatherings.
Terms of the Acquisition
Marriott will pay $355 million at closing for the brand and its intellectual property. The citizenM portfolio, including hotels owned and leased by the seller, will transition under long-term franchise agreements with Marriott.
Stabilised fees for citizenM’s current and pipeline properties are projected to generate $30 million annually, with additional earn-out payments up to $110 million based on future growth over a multi-year period starting in the fourth year post-closing.
Leadership Comments
Anthony Capuano, President and CEO of Marriott International, shared: “We are thrilled to welcome citizenM into our portfolio, adding a unique, differentiated offering to our select-service brands. This acquisition strengthens Marriott’s presence in a valuable market segment, leveraging our global development ecosystem and the power of our Marriott Bonvoy loyalty programme.”
Rattan Chadha, Founder and Chairman of citizenM, expressed enthusiasm: “Marriott shares our values and culture, and I’m confident in their dedication to preserving citizenM’s DNA as we continue to grow globally.”
Lennert de Jong, CEO of citizenM, added: “This partnership provides access to Marriott’s vast distribution capabilities, enabling us to reach modern travellers and expand into new destinations. We will continue to own our real estate and operate our hotels, working together to maximise returns.”
Future Growth Prospects
With citizenM’s integration into Marriott’s development engine, the brand is well-positioned for significant expansion across Marriott’s global regions. This acquisition is expected to enhance Marriott’s select-service offerings, deliver innovative guest experiences, and further solidify its leadership in the hospitality sector.
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