Marriott acquires Mexico hotel chain
Marriott International announced an agreement with Hoteles City Express, to acquire the City Express brand portfolio.
It marks Marriott’s entry into the affordable midscale segment and becomes its 31st brand.
The portfolio currently comprises 152 hotels, with 17,356 rooms across 75 cities in Mexico and three additional countries in Latin America.
Upon closing of the transaction, the brand will become part of Marriott’s franchise system.
Marriott will also acquire the franchise rights to five under-construction projects in the pipeline, representing an additional 676 rooms.
Marriott expects to update the brand name with its signature ‘by Marriott’ endorsement.
Marriott is paying $100 million for Hoteles City’s brand portfolio (City Express, City Express Plus, City Express Suites, City Express Junior, and City Centro), trademarks and related intellectual property, along with the City Premios loyalty program.
“This transaction with Hoteles City Express is a strategic win for Marriott and our customers, associates and owners and franchisees,” said Anthony Capuano, Chief Executive Officer, Marriott International.
“We’re excited to enter a new lodging category – the popular affordable midscale segment where we see significant potential.”
Hoteles City Express was founded in México in 2002 by Luis Barrios.
The company’s portfolio offers urban, suburban, and extended stay offerings in Mexico, Costa Rica, Colombia, and Chile.
Marriott expects the transaction tp close between the end of 2022 and the first half of 2023.
Learn more about : Marriott ( N. America )
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