Marriott International to Acquire the citizenM Brand
Marriott International (MAR) has announced an agreement to acquire the citizenM brand for $355 million, with potential earn-out payments up to $110 million based on future growth. The acquisition includes 36 open hotels with 8,544 rooms across the U.S., Europe, and Asia Pacific, plus three under-construction properties adding 600 more rooms by mid-2026.
The deal aims to expand Marriott's select-service and lifestyle lodging portfolio. citizenM, founded in 2008, is known for its tech-savvy experience, efficient space usage, and focus on art and design. The brand caters to value-conscious travelers with smart room design and collaborative workspaces.
Post-acquisition, the citizenM portfolio will join Marriott's system under long-term franchise agreements, with stabilized fees expected at approximately $30 million annually. The transaction, subject to U.S. regulatory approval, is expected to close in 2025, potentially driving Marriott's full-year 2025 net rooms growth to approach 5%.
Marriott International (MAR) ha annunciato un accordo per acquisire il marchio citizenM per 355 milioni di dollari, con possibili pagamenti aggiuntivi fino a 110 milioni di dollari legati alla crescita futura. L'acquisizione comprende 36 hotel operativi con 8.544 camere distribuite negli Stati Uniti, Europa e Asia Pacifico, oltre a tre strutture in costruzione che aggiungeranno altre 600 camere entro metà 2026.
L'operazione punta ad ampliare il portafoglio di Marriott dedicato agli hotel select-service e lifestyle. citizenM, fondata nel 2008, è nota per la sua esperienza tecnologica avanzata, l’uso efficiente degli spazi e l’attenzione all’arte e al design. Il brand si rivolge a viaggiatori attenti al rapporto qualità-prezzo, offrendo camere intelligenti e spazi di lavoro collaborativi.
Dopo l’acquisizione, il portafoglio citizenM entrerà a far parte del sistema Marriott tramite accordi di franchising a lungo termine, con commissioni stabilizzate previste intorno ai 30 milioni di dollari annui. L’operazione, soggetta all’approvazione regolatoria statunitense, dovrebbe concludersi nel 2025, contribuendo a far crescere del 5% circa il numero netto di camere Marriott nel corso dell’intero anno 2025.
Marriott International (MAR) ha anunciado un acuerdo para adquirir la marca citizenM por 355 millones de dólares, con posibles pagos adicionales de hasta 110 millones de dólares basados en el crecimiento futuro. La adquisición incluye 36 hoteles operativos con 8.544 habitaciones en Estados Unidos, Europa y Asia Pacífico, además de tres propiedades en construcción que añadirán 600 habitaciones más para mediados de 2026.
El acuerdo busca ampliar la cartera de Marriott de alojamientos select-service y de estilo de vida. citizenM, fundada en 2008, es reconocida por su experiencia tecnológica avanzada, uso eficiente del espacio y enfoque en el arte y el diseño. La marca se dirige a viajeros conscientes del valor, ofreciendo habitaciones inteligentes y espacios colaborativos para trabajar.
Tras la adquisición, el portafolio citizenM se integrará en el sistema de Marriott mediante acuerdos de franquicia a largo plazo, con tarifas estabilizadas que se esperan en aproximadamente 30 millones de dólares anuales. La transacción, sujeta a la aprobación regulatoria en EE.UU., se espera que cierre en 2025, impulsando un crecimiento neto de habitaciones de Marriott cercano al 5% para todo el año 2025.
메리어트 인터내셔널(MAR)이 시티즌M 브랜드을 3억 5,500만 달러에 인수하기로 합의했으며, 향후 성장에 따라 최대 1억 1,000만 달러의 추가 지급 가능성이 있습니다. 이번 인수에는 미국, 유럽, 아시아 태평양 지역에 걸쳐 36개의 운영 중인 호텔과 8,544개의 객실이 포함되며, 2026년 중반까지 600개의 객실을 추가하는 3개의 건설 중인 호텔도 포함됩니다.
이번 거래는 메리어트의 셀렉트 서비스 및 라이프스타일 숙박 포트폴리오를 확장하는 것을 목표로 합니다. 2008년에 설립된 시티즌M은 첨단 기술 경험, 효율적인 공간 활용, 예술과 디자인에 중점을 둔 것으로 알려져 있습니다. 이 브랜드는 스마트한 객실 디자인과 협업 공간을 제공하여 가성비를 중시하는 여행객을 대상으로 합니다.
인수 후, 시티즌M 포트폴리오는 장기 프랜차이즈 계약을 통해 메리어트 시스템에 편입되며, 안정화된 수수료는 연간 약 3,000만 달러로 예상됩니다. 이번 거래는 미국 규제 당국의 승인을 조건으로 하며, 2025년에 완료될 예정으로, 메리어트의 2025년 전체 객실 순증가율이 약 5%에 이를 것으로 기대됩니다.
Marriott International (MAR) a annoncé un accord pour acquérir la marque citizenM pour 355 millions de dollars, avec des paiements complémentaires potentiels pouvant atteindre 110 millions de dollars en fonction de la croissance future. L’acquisition comprend 36 hôtels ouverts totalisant 8 544 chambres aux États-Unis, en Europe et dans la région Asie-Pacifique, ainsi que trois établissements en construction qui ajouteront 600 chambres supplémentaires d’ici la mi-2026.
Cette opération vise à étendre le portefeuille d’hébergements select-service et lifestyle de Marriott. citizenM, fondée en 2008, est reconnue pour son expérience technologique avancée, son utilisation efficace de l’espace et son attention portée à l’art et au design. La marque cible les voyageurs soucieux de la valeur, en proposant des chambres intelligentes et des espaces de travail collaboratifs.
Après l’acquisition, le portefeuille citizenM rejoindra le système Marriott dans le cadre d’accords de franchise à long terme, avec des redevances stabilisées attendues à environ 30 millions de dollars par an. La transaction, soumise à l’approbation des autorités réglementaires américaines, devrait être finalisée en 2025, ce qui pourrait permettre à Marriott d’atteindre une croissance nette des chambres d’environ 5 % sur l’ensemble de l’année 2025.
Marriott International (MAR) hat eine Vereinbarung zur Übernahme der Marke citizenM für 355 Millionen US-Dollar bekanntgegeben, mit potenziellen Earn-out-Zahlungen von bis zu 110 Millionen US-Dollar basierend auf zukünftigem Wachstum. Die Übernahme umfasst 36 offene Hotels mit 8.544 Zimmern in den USA, Europa und im asiatisch-pazifischen Raum sowie drei im Bau befindliche Objekte mit weiteren 600 Zimmern, die bis Mitte 2026 fertiggestellt werden sollen.
Der Deal zielt darauf ab, Marriotts Portfolio im Bereich Select-Service und Lifestyle-Unterkünfte zu erweitern. citizenM, gegründet 2008, ist bekannt für seine technikaffine Erfahrung, effiziente Raumnutzung sowie den Fokus auf Kunst und Design. Die Marke richtet sich an preisbewusste Reisende mit intelligent gestalteten Zimmern und gemeinschaftlichen Arbeitsbereichen.
Nach der Übernahme wird das citizenM-Portfolio in das Marriott-System unter langfristigen Franchiseverträgen integriert, wobei stabilisierte Gebühren von etwa 30 Millionen US-Dollar pro Jahr erwartet werden. Die Transaktion steht unter dem Vorbehalt der Genehmigung durch die US-Regulierungsbehörden und soll 2025 abgeschlossen werden, was das Netto-Wachstum der Marriott-Zimmer für das Gesamtjahr 2025 auf etwa 5% anheben könnte.
- Strategic expansion into select-service and lifestyle segment
- Immediate addition of 8,544 rooms across 36 properties in prime locations
- Expected $30 million annual stabilized fees from existing portfolio
- Pipeline of 600+ rooms under construction
- Potential for significant global expansion through Marriott's development ecosystem
- Integration with Marriott Bonvoy loyalty program enhances value proposition
- Substantial initial investment of $355 million plus potential $110 million in earn-outs
- Transaction subject to regulatory approval risks
- Integration challenges and execution risks in maintaining brand DNA
- Earn-out payments delayed until fourth year post-closing
Insights
Marriott's $355M acquisition of citizenM brings strong lifestyle brand with $30M annual fees into portfolio, enhancing select-service growth strategy.
Marriott International's
The acquisition offers compelling financial metrics. The current citizenM portfolio includes 36 open hotels with 8,544 rooms across 20+ global gateway cities, plus three under-construction properties adding 600+ rooms by mid-2026. Marriott expects stabilized fees of approximately
The deal structure includes potential earn-out payments up to
From a growth perspective, Marriott now expects its 2025 net rooms growth to approach
This acquisition complements Marriott's portfolio with a brand known for technology-driven accommodations and space efficiency that appeals to value-conscious modern travelers, potentially enhancing Marriott's competitive positioning in the high-growth lifestyle segment.
Marriott strategically expands lifestyle footprint with citizenM acquisition, gaining innovative brand with strong urban presence and growth potential.
The acquisition of citizenM represents a significant strategic enhancement to Marriott's select-service and lifestyle lodging portfolio. Founded in 2008, citizenM has built a distinctive position in the hospitality market with its focus on efficient room design, technology integration, and art-forward public spaces.
The brand's current footprint of 36 properties across prime locations in the US, Europe, and Asia Pacific gives Marriott immediate scale in key gateway markets like New York, London, Paris, and Rome. These urban-centric locations typically command premium rates and attract the highly coveted demographic of frequent travelers that Marriott aims to capture.
What makes citizenM particularly valuable is its unique product positioning. The brand offers smart in-room design, creative meeting spaces, grab-and-go dining options, and collaborative workspaces - features increasingly demanded by today's travelers. This acquisition fills a specific gap in Marriott's brand architecture, providing a distinctive option for tech-savvy, design-conscious travelers seeking value.
The transaction structure is equally noteworthy - by acquiring only the brand while the seller maintains ownership and operations under franchise agreements, Marriott continues its asset-light growth strategy. This approach allows for rapid scaling without the capital intensity of real estate ownership.
For the hospitality industry, this move signals Marriott's confidence in the continued growth of lifestyle-focused accommodations and represents another step in the ongoing consolidation of distinctive hotel brands under major loyalty programs. The integration with Marriott Bonvoy creates immediate distribution advantages that should accelerate citizenM's development pipeline beyond its current trajectory.
Acquisition Supports Company's Growth in Innovative Lifestyle Offerings
The citizenM global portfolio currently consists of 36 open hotels, comprising 8,544 rooms, across more than 20 cities spanning the
The citizenM brand is known for its genuine service, tech-savvy in-hotel experience, highly efficient use of space, and focus on art and design. The brand, founded in 2008, caters to a growing demographic of value-conscious travelers looking for technology-driven accommodations with features like smart in-room design, indoor and outdoor common spaces featuring immersive artwork and local artifacts, comfortably appointed living rooms that serve as collaborative workspaces, creative meeting rooms, grab-and-go food and beverage options, and lively rooftop decks.
"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," said Anthony Capuano, President and CEO of Marriott International. "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. Marriott has a proven track record of growing acquired brands significantly by leveraging our global development ecosystem, the benefits of our industry-leading affiliation cost structure, and the power of our award-winning Marriott Bonvoy loyalty platform."
At closing of the transaction, Marriott will pay
"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," said Rattan Chadha, Founder and Chairman of citizenM.
"I am excited about citizenM's future with Marriott International. citizenM was created for frequent travelers, and Marriott's distribution capabilities will allow us to welcome new modern guests. With the strength of Marriott's development engine, we look forward to the prospect of many additional citizenM properties in new destinations around the world. We will continue to own our real estate and operate all our hotels. This relationship will allow us to work together to maximize returns," said Lennert de Jong, CEO of citizenM.
The closing of the transaction is subject to various customary conditions, including
Assuming closing of the transaction in 2025, Marriott now expects full year 2025 net rooms growth to approach 5 percent.
Morgan Stanley & Co. International plc and Eastdil Secured acted as financial advisors to the seller in this transaction.
Access the full gallery of high-resolution citizenM property images here.
NOTE ON FORWARD-LOOKING STATEMENTS
All statements in this press release are made as of April 28, 2025. Marriott undertakes no obligation to publicly update or revise these statements, whether as a result of new information, future events or otherwise. This press release contains "forward-looking statements" within the meaning of federal securities laws, including statements related to Marriott's expectations regarding closing the transaction; future growth opportunities, plans and expectations; anticipated fees; the benefits of the transaction; net rooms growth in 2025; and similar statements concerning possible future events or expectations that are not historical facts. Marriott cautions you that these statements are not guarantees of future performance and are subject to numerous evolving risks and uncertainties that the company may not be able to accurately predict or assess, including failure to satisfy the conditions to the consummation of the transaction, including the receipt of required regulatory approvals; the effect of the announcement or pendency of the transaction on citizenM's business; Marriott's ability to successfully integrate and grow the citizenM brand after the transaction closes; and the other risk factors that Marriott describes in its
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FAQ
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