Net rooms grew 4.7% to over 1.597 million;
company development pipeline ended 2023 at a record 573,000 rooms,
an increase of 15 percent from the previous year
BETHESDA, Md., Jan. 22,
2024 /PRNewswire/ -- At the Americas Lodging
Investment Summit (ALIS), Marriott International, Inc. (NYSE: MAR)
announced the company's record year of global signings with 52
percent more organic rooms signed in 2023 than in 2022, as it
continues to expand offerings for owners, franchisees, and guests.
The company also announced that it achieved strong net rooms growth
of 4.7 percent in 2023.
During 2023, the company signed a record number of organic
management and franchise agreements—an average of nearly 2.5 deals
a day—representing approximately 164,000 rooms globally.
In the United States &
Canada, Marriott's largest region,
the company signed a record 91,000 rooms, 37,000 of which were the
result of the company's strategic licensing agreement with MGM
Resorts International. The company also saw robust signings growth
outside of the U.S. & Canada
with a record of nearly 73,000 organic rooms signed across 74
countries and territories, with particularly strong signings in
China, Vietnam, Japan, United Arab
Emirates, Mexico,
Turkey, Saudi Arabia, and India. At year-end 2023, Marriott's global
development pipeline totaled nearly 3,400 hotels and roughly
573,000 rooms, an increase of over 15 percent over a year
ago.
At the end of 2023, Marriott's industry-leading worldwide system
consisted of nearly 8,800 properties and more than 1,597,000 rooms
in 139 countries and territories. Marriott added over 400
properties and nearly 64,000 organic gross rooms in 2023. The
company also completed its acquisition of the City Express brand
portfolio, bringing an additional 150 properties and approximately
17,500 rooms into Marriott's system during the year.
As Marriott continues to expand its offerings, the company
notably increased the breadth of its portfolio, providing more
opportunities for owners, franchisees, and guests. Marriott
expanded its lead in luxury, announced its entry into the
affordable midscale segment globally, increased its portfolio of
branded residences, announced the planned the launch of the MGM
Collection with Marriott Bonvoy, and continued to grow its share in
the all-inclusive segment.
"Marriott remains focused on offering more best-in-class brands
and experiences to meet the strong consumer demand for travel,"
said Marriott International President and CEO Anthony Capuano. "As we continue to expand our
global brand portfolio, grow our Marriott Bonvoy loyalty platform,
and provide innovative offerings to our owner and franchise
community, we continue to meet the needs of guests across all stay
purposes around the world. I am excited about our momentum as we
strive to connect people through the power of travel."
Growing Marriott's Global Leadership in Luxury
With 623 open properties spanning 70 countries and territories,
Marriott's luxury portfolio remains unmatched. In 2023, the company
signed a record 58 deals for luxury hotels and resorts, bringing
Marriott's luxury portfolio in the global development pipeline to
245 hotels, including more than 20 hotels expected to open in
2024.
This past year also reflected W Hotels' ambitious new chapter,
as it continued its brand refresh and global expansion into new
destinations, including the debut of W
Budapest, the brand's first hotel in Hungary, and W
Edinburgh, the second W hotel in the United Kingdom.
Other highlights from the year include the opening of Rissai
Valley, a Ritz-Carlton Reserve, marking the company's
500th hotel in Greater
China. The Ritz-Carlton brand debuted in the U.S. Pacific
Northwest with The Ritz-Carlton Portland, the St. Regis brand
debuted in the U.S. Midwest with The St. Regis Chicago, and three
luxury hotels were signed in Vietnam (JW Marriott Trang An Resort &
Spa, The Luxury Collection Resort, Hon Thom
Island, and The Ritz-Carlton Reserve, Hon Thom Island).
Offering New Possibilities for Guests and Owners
in Affordable Midscale
Marriott entered the high-growth affordable midscale segment in
2023 with the acquisition of the City Express brand portfolio in
the Company's Caribbean and
Latin America (CALA) region. With
approximately 17,500 rooms across Mexico, Costa
Rica, Colombia, and
Chile, the deal increased
Marriott's footprint in the CALA region by approximately 45
percent. In 2024, the City Express by Marriott brand is expected to
expand to additional countries across CALA.
Marriott is continuing its expansion in the affordable midscale
segment with the announcement of StudioRes, a brand aimed at
providing reasonably priced, modern comfort for guests seeking
longer stay accommodations in the U.S. & Canada. On January 17,
2024, Marriott celebrated the first groundbreaking for the
brand in Fort Myers, Florida, with
approximately 300 other potential deals under discussion in 150
markets.
In September 2023, Marriott
announced the launch of Four Points Express by Sheraton, a
conversion-focused midscale brand designed in response to growing
consumer demand for reliable and affordable accommodations in
Marriott's Europe, Middle East and Africa (EMEA) region. Through year end 2023,
the company signed six Four Points Express by Sheraton deals in the
United Kingdom and Turkey.
Accelerating Momentum in Conversions and
All-Inclusive
Conversions once again helped drive growth, with 25 percent of
Marriott's room openings coming from conversions. In 2023, the
company signed a record 184 conversion properties, representing
nearly 65,000 rooms, including MGM. Marriott's collection brands
including Autograph Collection Hotels, The Luxury Collection, and
Tribute Portfolio, represented 29 percent of global conversion
rooms signed. Conversions to our collection brands offer a unique
value proposition for owners and franchisees as they leverage
well-established brands, an award-winning loyalty program,
competitive affiliation costs, and the company's powerful revenue
generation engines.
Meeting rising consumer demand for stress-free and
multi-generational travel, Marriott also grew its all-inclusive
resort portfolio, providing not only new opportunities for
travelers, but also for owners interested in entering this growing
segment. Marriott continues to see global interest in
all-inclusive, signing three deals in its EMEA region in 2023,
bringing its portfolio to 49 open and pipeline properties located
across 12 markets and 10 brands, with another six anticipated
openings in 2024.
Strengthening Branded Residences
Portfolio
In 2023, customer demand fueled Marriott's expansion of its
branded residences portfolio to exciting and growing markets around
the world. With 134 open locations and 115 pipeline
residential projects across 49 countries and territories and 16
brands, Marriott International is the industry leader in the
branded residential segment. In the past five years, the company
has added 48 residential locations across 14 brands and continues
to see growth in the segment. Recent highlights include the
openings of The St. Regis Residences, Cairo, Egypt, The Residences at Sheraton Cebu
Mactan Resort, Philippines, The
Ritz-Carlton Residences, Portland, and The Ritz-Carlton Residences
Mexico City.
Growing Apartments by Marriott Bonvoy
Launched in 2022, Apartments by Marriott Bonvoy provides
developers a unique option to convert an existing residential
building, pursue a new build, or integrate as part of a mixed-use
property, with a dedicated welcome lounge, outdoor space, and other
amenities. The company opened the first Apartments by Marriott
Bonvoy property in Casa Costera, Isla Verde
Beach, San Juan, Puerto
Rico, in December 2023 and
expects to continue growing its global presence, with additional
signed agreements in the United
States, Italy, and
Saudi Arabia.
Launching MGM Collection with Marriott
Bonvoy
In July 2023, Marriott announced
the signing of an exclusive long-term strategic licensing agreement
with MGM Resorts International and the creation of the MGM
Collection with Marriott Bonvoy, which is expected to launch
in early 2024. The agreement encompasses 17 of MGM's
unrivaled resorts, representing more than 40,000 rooms in
Las Vegas and other cities across
the U.S.
The deal is expected to increase Marriott's global rooms
distribution by 2.3 percent and position the company to provide
even more options for group travel needs, while offering incredible
entertainment, sports, and culinary experiences through Marriott
Bonvoy Moments.
As Marriott continues to expand its offerings, the Company is
uniquely positioned to capitalize on the breadth and depth of its
portfolio, with investment and development opportunities for all
types of real estate investors.
To learn more about Marriott's latest brand and development
news, visit the Marriott News Center at news.marriott.com.
Note on Forward-Looking Statements
This press release contains "forward-looking statements" within
the meaning of United States
federal securities laws, including statements related to deal
signings, expected future project openings and portfolio growth;
our development pipeline; the pace and momentum of development
activity, conversion activity and growth in certain product tiers;
future growth opportunities; owner interest in certain offering
types; the company's expansion plans related to other market
segments and new product offerings; customer demand trends and
preferences; travel and lodging demand trends and expectations; and
similar statements concerning anticipated future events and
expectations that are not historical facts. We caution you that
these statements are not guarantees of future performance and are
subject to numerous evolving risks and uncertainties that we may
not be able to accurately predict or assess, including the risk
factors that we identify in our U.S. Securities and Exchange
Commission filings, including our most recent Annual Report on Form
10-K or Quarterly Report on Form 10-Q. Any of these factors could
cause actual results to differ materially from the expectations we
express or imply in this press release. We make these
forward-looking statements as of the date of this press release and
undertake no obligation to publicly update or revise any
forward-looking statement, whether as a result of new information,
future events or otherwise.
About Marriott International
Marriott International, Inc. (NASDAQ: MAR) is based in
Bethesda, Maryland, USA, and
encompasses a portfolio of nearly 8,800 properties across more than
30 leading brands in 139 countries and territories. Marriott
operates and franchises hotels and licenses vacation ownership
resorts all around the world. The company offers Marriott Bonvoy,
its highly awarded travel program. For more information, please
visit our website at www.marriott.com, and for the latest company
news, visit www.marriottnewscenter.com. In addition, connect with
us on Facebook and @MarriottIntl on X and Instagram.
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SOURCE Marriott International, Inc.