Marriott International, the hotel giant behind brands such as Ritz-Carlton and Sheraton, has struck a $355 million deal to acquire Citizen M, marking a major move into the fast-growing “affordable luxury” sector.
The acquisition will see Marriott take ownership of the Citizen M brand and its related intellectual property, adding a distinctive, design-led hotel chain to its expanding portfolio. The group said the deal would “enhance options” for its guests and members of Marriott Bonvoy, its global rewards programme.
Founded in 2008 with a flagship property at Amsterdam’s Schiphol Airport, Citizen M now operates 8,544 rooms across 36 hotels in more than 20 cities across Europe, Asia and the United States. A further three hotels, adding around 600 rooms, are under construction and due to open next year.
The sellers—Dutch pension provider APG, Citizen M founder Rattan Chadha, and Singapore’s sovereign wealth fund GIC—could also earn up to an additional $110 million in payments, depending on the brand’s growth over the next several years. Marriott noted that these payments would not begin until the fourth year following the deal’s completion.
Driven by the preferences of younger travellers seeking “authentic” and locally inspired experiences, lifestyle hotel brands like Citizen M have become increasingly attractive acquisition targets for major players such as Marriott, Hilton and InterContinental Hotels Group.
Anthony Capuano, president and chief executive of Marriott, said: “We are thrilled to add Citizen M 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.”
Chadha, founder and chairman of Citizen M, welcomed the deal, saying: “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 Citizen M’s global reach and brand impact.”
For Marriott, headquartered in Bethesda, Maryland, the deal is part of a broader strategy to expand its global footprint and appeal to a wider demographic of travellers. The company, which operates more than 9,300 properties under more than 30 brands, reported net room growth of 6.8 per cent last year, adding 123,000 rooms to bring its total to 1.7 million worldwide.
Assuming the Citizen M deal is completed this year, Marriott expects full-year net room growth to approach 5 per cent in 2025. The transaction remains subject to customary closing conditions, including US regulatory approval.
The acquisition echoes Marriott’s landmark 2016 purchase of Starwood Hotels & Resorts Worldwide for $12.2 billion, a deal that cemented its position as the world’s largest hotel group. With Citizen M, Marriott is now making a strategic bet on the growing demand for stylish, high-quality yet affordable accommodation—a segment increasingly shaping the future of global travel.