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On location: Marriott International’s CaLa region expansion

  • HOTELSMag.com
  • 26 September 2024
  • 3 minute read
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This article was written by HotelsMag. Click here to read the original article

HOTELS Magazine recently visited two Marriott properties in Costa Rica: Marriott Costa Rica Hacienda Belen, a colonial hacienda turned urban resort, and the beachfront property Los Sueños Marriott Ocean & Golf Resort.

A large lodging company like Marriott is perpetually in global expansion mode and the Caribbean and Latin America region is no exception. Costa Rica is one of Marriott’s key CaLa locations: The country has the most Marriott-branded properties after Mexico. And while gazing at the myriad tiles lining each corridor of the Los Sueños resort, you can’t help but wonder: What Marriott brand is next? Well, the answer is out: The first Ritz-Carlton in Central America, Nekajui, a Ritz-Carlton Reserve, Papagayo, is slated to open later this year.

It is just one of its many upcoming projects in the country and in the region. With nearly 500 properties spanning 25 brands across 37 countries and territories in the Caribbean and Latin America, Marriott expects its journey to continue robustly and steadily. “Our goal is to align with the evolving trends and preferences of the modern traveler while maintaining our commitment to excellence,” said Jose Gonzalez, VP of development for Marriott International in the Caribbean and Latin America.

Los Sueños Marriott Ocean & Golf’s floors are covered in hand-painted tiles by Costa Rican artisans.

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Marriott’s upcoming expansion plans expand from Mexican coasts to the Amazon forest to Argentinian territories. Recently, the company announced the opening of Santo Domingo Marriott Hotel Piantini, marking the brand’s debut in the Dominican Republic. On a similar note, the Tropical Hotel Manaus in Manaus, the capital city of the Amazonas, was just signed a couple of weeks ago as the first Tribute Portfolio Hotel in Brazil.

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In July, Marriott welcomed Marriott Cancun, An All-Inclusive Resort, in the highly competitive Mexican city. Other all-inclusive openings expected for 2024 include Almare, a Luxury Collection All-inclusive Resort Isla Mujeres (Mexico), W Punta Cana, All-Inclusive (Dominican Republic), and the rebranding of several Elegant Hotels properties (Treasure Beach, The House and Waves) into the Autograph Collection brand in Barbados, which will bring Marriott’s global all-inclusive roster to 49 open and pipeline properties across 12 markets and 10 brands.

Over the past years, Marriott has been establishing and expanding its presence in the luxury and upscale segments throughout the CaLa region, said Michael Leon, senior director of development for CaLa at Marriott. “We are also identifying regionally relevant products in South America while reaching new customers in high-growth markets across the Southern Hemisphere,” he said.

Other future luxury openings include The Brown, Guatape, Autograph Collection (Colombia – Q3, 2024), W Sao Paulo (Q3, 2024) and Yacht Golf Club Paraguayo, a Tribute Portfolio (Q4, 2024).

A look at Nekajui, a Ritz-Carlton Reserve, Papagayo, the first Ritz-Carlton hotel in Central America.

In South America, the priority is to keep extending the footprint in high-growth markets, such as Argentina, where Marriott has five properties totaling 600 rooms in the development pipeline; Brazil, with six projects and more than 1,600 rooms; and Colombia, with four properties and more than 840 rooms. In the midscale segment, Marriott expects to keep growing the City Express by Marriott brand across the region with 10 properties and more than 1,260 rooms in the pipeline.

When asked about challenges associated with these projects, Leon commented that managing clear expectations regarding the required work and operational needs, as well as understanding the associated costs in building a brand, is crucial. “Marriott in the CaLa region continues to evolve while staying true to our roots by driving unprecedented value for owners with our powerful portfolio of brands, leading loyalty program, dynamic sales and marketing platform and significant economies of scale that drive efficiencies,” he said.

Despite the challenges, Marriott remains undeterred, leveraging its global platforms and economies of scale to drive profitability for owners and investors. For instance, last year, the company introduced its Marriott Bonvoy partnership with Rappi, the Latin America technology company that serves more than 20 million users across Argentina, Brazil, Chile, Colombia, Costa Rica, Ecuador, Mexico, Peru and Uruguay.

Please click here to access the full original article.

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