Marriott reaches agreement to buy City Express brands

Marriott International reported this Wednesday that it has reached an agreement with City Express Hotels to acquire the City Express brand portfolio for 100 million dollars, which means the group’s entry into the limited services segment with its 31st brand.

The parties agreed to purchase City Hotels (City Express, City Express Plus, City Express Suites, City Express Junior and City Centro), associated brands, domains and related intellectual property, as well as the City Premios loyalty program, and other assets and liabilities related to the brand and the franchise stabilization fee is anticipated to be approximately $10 million for the existing portfolio.

In a statement it was detailed that the portfolio is currently composed of: 152 Hotelsincluding 17,356 rooms in 75 cities in Mexico and three additional countries in Latin America.

Upon closing of the transaction, the brand and hotel portfolio will become part of the Marriott franchise system. The company will also acquire franchise rights to five construction projects under development, representing an additional 676 rooms. Marriott looks forward to updating the brand name with its exclusive “by Marriott” endorsement.

“This transaction with Hoteles City Express it is a strategic victory for Marriott and our customers, associates, owners and franchisees. We are excited to enter a new category of hosting: the popular limited service segment, where we see significant potential. With City Express by Marriott, we’ll give our customers more choice with a new, affordable, and affordable priceincreasing opportunities for owners and franchisees, as well as associates,” said Marriott International CEO Anthony Capuano.

For his part, the founder of the Mexican brand, Luis Barrios, commented: When we started thinking about City Express, we were convinced that a modern, efficient and affordable brand would be very attractive to the local traveler. After our first 20 years, we are very excited and honored to work alongside Marriott, a company we have always admired, to take the brand to the next level.