Marriott International Inc (NYSE:MAR) said on Monday it has reached a deal to acquire citizenM, a Netherlands-based lifestyle hotel brand, for $355 million, expanding its portfolio in the fast-growing select-service and lifestyle segments.
The deal is expected to accelerate Marriott’s global expansion and strengthen its offerings for value-conscious and tech-savvy travelers, the company said.
CitizenM operates 36 hotels with 8,544 rooms across more than 20 cities, including New York, London, Paris, and Rome.
The brand, founded in 2008, is known for its tech-driven, design-focused hotels featuring smart in-room controls, collaborative workspaces, and rooftop decks.
Following the closing of the deal, expected in 2025, citizenM hotels will operate under new long-term franchise agreements with Marriott, while the seller will continue to own and lease the properties. Stabilized fees from the open and under-construction portfolio are projected to reach about $30 million annually.
The transaction also includes potential earn-out payments of up to $110 million, tied to future growth of the brand over a multi-year period.
“We are thrilled to add citizenM as a unique, differentiated offering to our select-service brand portfolio,” Marriott CEO Anthony Capuano said. “This acquisition enhances options for our guests and Marriott Bonvoy members around the world.”
CitizenM CEO Lennert de Jong said the brand would continue to own and operate its hotels, while benefiting from Marriott’s global reach and development platform.
Assuming the deal closes as planned, Marriott said it expects its full-year 2025 net rooms growth to approach 5%.