2011
126
$18,000,000
$90,000
$18,000,000
No
AC Hotels by Marriott is a modern, European-inspired lifestyle hotel brand that blends sophisticated design with exceptional functionality, catering to the needs of contemporary travelers. Known for its sleek minimalism, social lobby spaces, and curated guest experiences, AC Hotels delivers the perfect balance between style and comfort. As part of the globally renowned Marriott International portfolio, franchisees gain access to one of the world’s most trusted hospitality networks, backed by Marriott Bonvoy’s massive loyalty program and industry-leading booking systems. In the USA, AC Hotels is strategically positioned in high-demand urban markets, targeting business professionals, millennial travelers, and leisure guests who appreciate upscale simplicity at a competitive price point.
Unique Selling Points (USPs)
Distinctive Design & Experience: Modern, minimalist aesthetic with curated European touches. Features like the AC Lounge®, AC Kitchen, and flexible communal spaces set it apart from traditional hotel chains.
Marriott International Backing: Full access to Marriott’s global reservation network, revenue management tools, loyalty programs, and marketing power.
Strong Lifestyle Brand Positioning: Ideal for the growing boutique hotel segment, appealing to travelers seeking both quality and personality.
USA Market Demand & Consumer Trends
Rapid growth in lifestyle and boutique hotel demand, particularly in urban and mixed-use developments.
Rising preference for experiential travel, where guests prioritize atmosphere, location, and brand authenticity.
AC Hotels aligns with the growing segment of select-service upscale properties, offering lower operational costs than full-service hotels while maintaining premium guest experiences.
Growth Potential & Brand Popularity
Over 175 AC Hotels worldwide with a growing footprint in the USA, including key markets like New York, Miami, Chicago, and Austin.
Strong recognition among Marriott Bonvoy members, driving repeat business and high occupancy rates.
Profitability
High revenue potential through a mix of room sales, food & beverage outlets, meeting/event spaces, and ancillary services.
Streamlined operations reduce staffing needs and overhead compared to full-service hotels.
Established Year:
AC Hotels was founded in 2011 as a result of a strategic joint venture between Marriott International and Spanish hotelier Antonio Catalán. The concept itself originated earlier in Spain, where Catalán launched the AC Hotels brand in 1998 as a stylish, urban-centric hotel chain catering to business travelers and cosmopolitan guests.
Founder & Brand Origin:
The brand was the brainchild of Antonio Catalán, a visionary in the European hospitality space. His goal was to create a modern, design-forward hotel that delivered the quality and service of a high-end property but with a streamlined, minimalist style. In 2011, recognizing the global potential of the brand, Marriott International partnered with Catalán, acquiring the AC Hotels brand and integrating it into its portfolio. This partnership gave AC Hotels access to Marriott’s global distribution, operational expertise, and loyalty network.
Brand Journey & Expansion:
Initially, AC Hotels operated mainly in Spain and Italy, appealing to urban business travelers.
Post-acquisition, Marriott rebranded and standardized the properties under the AC Hotels by Marriott banner.
In 2014, the first AC Hotel in the USA opened in New Orleans, marking the brand’s entry into the North American market.
Since then, AC Hotels has rapidly expanded in the USA, targeting prime urban markets, business districts, and high-traffic leisure destinations.
As of 2024, the brand has more than 175 hotels worldwide, including 126 in the USA (118 franchised, 8 company-owned).
Ownership:
Today, AC Hotels is fully owned and operated under Marriott International, one of the world’s largest and most respected hospitality companies, headquartered in Bethesda, Maryland. This gives the brand unmatched access to Marriott’s booking platforms, Marriott Bonvoy loyalty program, and proven hotel management systems.
Market Presence in the USA:
AC Hotels is strategically located in cities like New York, Miami, Chicago, Dallas, Denver, Seattle, and Los Angeles. Many properties are positioned near airports, convention centers, and entertainment hubs, catering to both business and leisure travelers.
Industry Category:
AC Hotels by Marriott operates in the upper-upscale, select-service lifestyle hotel segment. This category is highly attractive to investors because it combines the appeal of premium guest experiences with lower operational complexity compared to full-service hotels, leading to potentially higher margins and faster scalability.
Pre-Launch Support
Assistance with site selection, market analysis, and feasibility studies.
Architectural and interior design guidance to meet brand standards.
Access to Marriott’s approved vendor network for construction, FF&E, and supplies.
Operational Support
Comprehensive onboarding in Marriott’s property management and reservations systems.
SOP manuals for housekeeping, F&B, guest services, and maintenance.
Marketing Support
Inclusion in Marriott’s global marketing campaigns and digital platforms.
Participation in Marriott Bonvoy loyalty promotions.
Ongoing PR, social media, and brand awareness initiatives.
Ongoing Support
Continuous operational consulting and quality assurance audits.
Access to brand updates, technology upgrades, and training modules.
Revenue management and pricing optimization support.
An AC Hotels by Marriott franchise is best suited for experienced and well-capitalized hospitality investors who share the brand’s commitment to design-forward, lifestyle-oriented guest experiences. Marriott seeks partners who not only have the financial means to develop a multi-million-dollar hotel but also the operational expertise—or access to an experienced management team—to successfully run a high-end, select-service property in competitive urban markets.
Business Background & Experience:
Prior experience in hotel ownership, hospitality management, or real estate development is highly preferred.
Multi-unit franchise owners from other industries with a proven track record in large-scale operations may also qualify, especially if they partner with an established hotel management company.
Familiarity with urban market dynamics, tourism trends, and corporate travel demand is an advantage.
Passion & Brand Alignment:
Strong appreciation for modern design, minimalist aesthetics, and elevated service standards—core values of AC Hotels.
Commitment to delivering consistent guest experiences that meet Marriott’s global quality benchmarks.
An entrepreneurial mindset that blends operational discipline with creative guest engagement strategies.
Financial Capability:
Minimum liquid assets: Generally several million USD to cover initial capital requirements and working capital.
Net worth: Sufficient to qualify for $18M+ total project investment (excluding land costs).
Ability to finance construction, FF&E, marketing, and pre-opening expenses without cash-flow strain.
Location Preferences:
Primary focus: Urban downtowns, corporate hubs, mixed-use developments, and high-traffic leisure destinations.
Secondary markets: Thriving mid-sized cities with strong convention, corporate, and tourism demand.
Sites near airports, entertainment districts, and transportation hubs are highly attractive.
Operational Mindset:
Willingness to work closely with Marriott’s corporate team during site selection, design, and pre-opening phases.
Open to adopting Marriott’s proprietary systems for reservations, revenue management, and guest engagement.
Prepared to invest in ongoing staff training, marketing initiatives, and brand compliance programs to sustain performance.
Total Investment Required (100–150 rooms): $18.18M – $48.07M
Total Investment Required (151–200 rooms): $26.98M – $59.04M
Minimum Investment: Around $18M (excluding land costs)
Franchise Fee: $90,000 – $115,000
Infrastructure & Build-Out Costs: $10M+ depending on location and size
Marketing Fund Contribution: ~3% of monthly gross room sales
Royalty Fee: ~6% of monthly gross room sales
Working Capital: $500,000+ recommended for initial operations
Expected ROI: Typically mid- to long-term, influenced by occupancy, ADR, and market performance
Break-Even Time: Usually 3–5 years depending on market conditions and financing
Operating an AC Hotels by Marriott property gives franchisees multiple revenue channels beyond standard room sales. The brand’s select-service lifestyle model is designed to maximize per-guest spend while maintaining operational efficiency.
Occupancy-based income from individual leisure travelers, business travelers, and group bookings.
Dynamic pricing strategies supported by Marriott’s revenue management systems help optimize ADR (Average Daily Rate) and RevPAR (Revenue per Available Room).
Demand fueled by Marriott Bonvoy loyalty members, corporate travel agreements, and online booking partnerships.
AC Kitchen: Breakfast service with European-inspired offerings (revenue from either per-guest charges or bundled rates).
AC Lounge®: Evening tapas, cocktails, and curated wine selections—popular with guests and local walk-ins.
Grab-and-go sales from AC Store, offering snacks, beverages, and travel essentials.
Many AC Hotels include flexible meeting rooms or event spaces catering to corporate events, small conferences, and social gatherings.
Revenue from room rental fees, catering services, and AV equipment charges.
Marriott Bonvoy members often book directly through Marriott channels, reducing third-party booking commissions and increasing net revenue.
Loyalty redemptions encourage repeat stays, especially from business travelers.
Premium Wi-Fi upgrades, late check-out fees, parking fees, and valet services.
Laundry and dry-cleaning services for business travelers.
Local experience packages in partnership with nearby attractions or tour operators.
Collaborations with local restaurants, transportation providers, or wellness companies for commission-based referrals.
Sponsorship deals or brand activations within lobby spaces.
Negotiated rates with corporate accounts, airlines, and travel management companies for extended-stay or high-volume bookings.
