Marriott International (Nasdaq: MAR) has announced an exciting leap forward in its global expansion strategy by reaching an agreement to acquire citizenM. citizenM is a bold and highly regarded lifestyle brand in the select-service hotel segment. The $355 million transaction reflects Marriott’s ongoing commitment to diversifying its portfolio and offering travelers and Marriott Bonvoy members even more unique, experience-driven lodging options worldwide.
This acquisition couldn’t come at a more pivotal time. According to recent insights from the industry, including a study referenced in Choice Hotels’ latest campaign, 95% of U.S. travelers now prioritize unique experiences during parts of their trips. As travelers increasingly seek out tech-savvy, art-infused, and authentically local stays, Marriott’s move to embrace citizenM’s innovative brand ethos is both strategic and timely.
citizenM: A Brand Synonymous with Innovation and Artful Living
Founded in 2008, citizenM has distinguished itself with a distinctive offering: smartly designed rooms, tech-forward service, immersive art and design, and social, collaborative common spaces. With 36 open hotels across the U.S., Europe, and Asia Pacific in major hubs such as New York, London, Paris, and Rome, citizenM is already a global player with a strong pipeline. Three additional hotels are under construction and expected to open by mid-2026.
Anthony Capuano, President and CEO of Marriott International, shared his enthusiasm:
“As we continue to drive best-in-class experiences for travelers, today’s announcement builds upon Marriott’s commitment to enhance options for guests and Marriott Bonvoy members,” he said. “We are thrilled to add citizenM as a unique, differentiated offering to our select-service brand portfolio as we continue to strengthen Marriott’s foothold in this valuable market segment around the world.”
citizenM’s appeal to a new generation of value-conscious, experience-driven travelers perfectly complements Marriott’s broader strategy to deliver exceptional stays that blend technology, culture, and comfort. The brand’s properties, featuring vibrant rooftop decks, creative meeting spaces, and grab-and-go F&B options, speak directly to modern preferences for flexibility and local immersion.
A Future of Global Growth and Deeper Guest Connections
At closing, citizenM’s hotels will join the Marriott system under new long-term franchise agreements, while real estate ownership and operations will remain with the seller. The deal anticipates annual stabilized fees of approximately $30 million, with potential earn-outs up to $110 million based on the brand’s future growth. Marriott expects the acquisition to contribute to net rooms growth approaching 5% in 2025.
Rattan Chadha, Founder and Chairman of citizenM, expressed confidence in the partnership: “We are very excited about our agreement with Marriott and look forward to this pivotal next step for our future growth. I envisage this relationship will greatly enhance citizenM’s global reach and brand impact. Marriott as an organization shares our values and culture, and I am confident in their deep commitment in continuing our brand’s DNA into the future.”
With the transaction expected to close in 2025, subject to regulatory approval, Marriott’s acquisition of citizenM signals a dynamic new chapter in the hospitality giant’s growth. a stronger, more varied future for travelers seeking unforgettable experiences across the globe.
