Marriott International is preparing to roll out City Express by Marriott in the U.S. and Canada. This step will see Marriott foray into the affordable midscale transient segment in the region.
Initially referred to as ‘Project Mid-T by Marriott,’ the brand’s expansion is part of Marriott’s strategy on cementing its foothold in the budget midscale segment and offering “regionally relevant” lodging options for all travel purposes and every price point.
Marriott acquired the City Express brand portfolio in Caribbean and Latin America (CALA) in May 2023. As part of the deal, Marriott agreed to pay $100 million for Hoteles City’s brand portfolio (City Express, City Express Plus, City Express Suites, City Express Junior and City Centro), associated trademarks, domains and related intellectual property, the City Premios loyalty program, and other assets and liabilities related to the brand.
The City Express by Marriott includes 152 hotels, totaling more than 17,000 rooms, across 75 cities in Mexico, Costa Rica, Colombia and Chile. The acquisition of the brand helped Marriott increase its presence in the region by 45%, the hospitality giant said in a statement.
Ever since Marriott ventured into the affordable midscale space in the CALA region, there has been a tremendous interest for the brand, said Diana Plazas-Trowbridge, senior vice president and global brand leader, select brands. “With this announcement, Marriott is excited to continue our growth in the affordable midscale segment and provide a new welcoming, affordable and reliable option for value-conscious travelers in the U.S. and Canada.”
Marriott said it has already received “extensive interest” from owners and franchisees and expects to sign agreements, with possible hotel openings, across the U.S. and Canada within four months.
Following the acquisition, consumer and owner interest has driven the brand’s growth. Marriott now plans to expand the brand’s reach further than the original markets to upcoming markets, such as Nicaragua and Bolivia. Marriott has also announced plans to launch City Express by Marriott in Brazil.
“Marriott remains focused on providing best-in-class offerings and a wide-range of investment opportunities for our development stakeholders and the initial reaction to our midscale products has been extremely positive,” said Noah Silverman, global development officer, U.S. and Canada.
Marriott has been taking feedback from owners and franchisees to design an efficient operating model, Silverman said, adding that the brand will offer a strong value proposition for those planning to invest in a transient midscale brand in the U.S. and Canada.
City Express by Marriott is meant to be conversion-friendly, with an opportunity for new-build projects in the future. With a “light operational model and functional modern design,” the brand enables owners to capitalize on consumer demand, while benefitting from Marriott’s sales, distribution and marketing resources.
Existing City Express by Marriott properties have been integrated into the Marriott Bonvoy program and can be booked from Marriott’s channels to earn and redeem points.