Marriott says 300 potential deals are currently under consideration for its StudioRes hotel brand across 150 markets.
Construction began on the first hotel for the new midscale, extended stay brand in January, with completion and opening of the hotel in Fort Myers, Florida expected in the next 12 months.
This comes as the company continues work on a new US transient midscale brand for both new-build and conversions, Marriott President & CEO Anthony Capuano said during the company’s fourth-quarter and full-year 2023 earnings call.
Marriott’s reported operating income totalled $718 million in Q4 2023 compared to 2022’s $996 million. Reported net income totaled $848 million in the 2023 fourth quarter, up 26 per cent from 2022’s $673 million. Full-year global revenue per available room rose 15 per cent year-over-year. For the last quarter of the year, worldwide RevPAR increased 7.2 percent compared to Q4 2022.
Marriott’s development team signed a record 164,000 rooms globally in 2023 and added 558 properties with 81,281 rooms to its worldwide portfolio. At the end of the year, the company’s worldwide development pipeline totalled 3,379 properties.
What they said
Marriott President & CEO Anthony Capuano said: “We think there's a tremendous market opportunity for midscale from a demand perspective. There is deep appetite from our franchise community. We think the cost of developing midscale will help our partners navigate what is still a challenging financing environment.”