What is the story about?
What's Happening?
The Ascott Limited has announced that its Citadines brand has surpassed 200 properties globally, driven by a strategic focus on asset-light growth through management and franchise agreements. The brand, which targets the upper-midscale segment, has seen rapid expansion with 205 properties and approximately 35,000 units. This growth is largely attributed to conversions, which accounted for 61% of Ascott's unit openings globally in the first seven months of 2025. Citadines has expanded into 18 new cities, including locations in France, Australia, the UK, Indonesia, Vietnam, India, Morocco, and Kuwait. The brand's franchise model is gaining traction, particularly in China, where several new franchise agreements have been signed. Citadines plans to open 20 more properties by the end of 2026, continuing its expansion across Asia Pacific, the Middle East, and Africa.
Why It's Important?
The expansion of Citadines reflects favorable trends in the upper-midscale hospitality segment, which has consistently outperformed other segments before and after the COVID-19 pandemic. This growth is driven by rising disposable incomes and a growing demand for value-driven accommodation, particularly among emerging middle-class populations worldwide. Citadines' asset-light growth strategy and franchise model offer flexibility and operational efficiency, making it an attractive option for property owners. The brand's expansion into new markets and its ability to quickly convert existing properties highlight its agility and appeal to owners seeking swift market entry. As the brand continues to grow, it is well-positioned to capitalize on the expanding demand for midscale accommodations.
What's Next?
Citadines plans to open 20 more properties by the end of 2026, with upcoming launches in Australia, Cambodia, the Philippines, China, Indonesia, and Morocco. The brand's continued expansion is expected to strengthen its presence in high-potential tier-2 and tier-3 markets, offering smartly designed stays with amenities that fuel discovery for guests. As Citadines evolves into a multi-typology brand, it is expanding beyond urban centers to include resort destinations, such as Citadines Selavia Phu Quoc in Vietnam and Citadines Mactan Cebu Resort in the Philippines. These developments will further enhance the brand's appeal to global travelers seeking both familiarity and adventure.
Beyond the Headlines
Citadines' growth strategy aligns with broader industry trends, including the increasing importance of franchise agreements in the hospitality sector. The brand's ability to offer a flexible, conversion-friendly model is particularly appealing to owners looking to enter the market quickly and efficiently. As Citadines continues to expand, it is likely to play a significant role in shaping the future of the upper-midscale hospitality segment, offering scalable growth opportunities and strong customer appeal. The brand's focus on delivering experiences that resonate with guests, along with its loyalty program, Ascott Star Rewards, will further strengthen its position as a trusted, versatile brand for global travelers.
AI Generated Content
Do you find this article useful?
