Choice Hotels Mexico, a subsidiary of Choice Hotels International, has signed an exclusive multiunit agreement with SI Operaciones, a Mexican private equity fund, to develop 20 new-construction Sleep Inn hotels over the next five years.
The agreement is expected to add 2,000 rooms in top markets, like Mexico City and Guadalajara, and more than triple the size of the brand's footprint in the country.
“At Choice Hotels, international expansion and multiunit development are key pillars of our growth strategy. We are actively seeking new opportunities to increase our presence in strategic markets and our agreement with SI Operaciones will allow us to do just that,” said Mark Pearce, SVP, international division, Choice Hotels, in a statement. “Choice Hotels is well poised for major growth in Latin America, and we look forward to building upon our relationship to bring the Sleep Inn brand to more guests worldwide.”
SI Operaciones currently owns and operates five Sleep Inn hotels throughout Mexico with locations in Culiacan, Mazatlan, Hermosillo, Tijuana and Mexicali. The company's sixth Sleep Inn is already under construction in Queretaro and slated to open in late 2019.
“There is tremendous opportunity for hotel development in Mexico and we are thrilled to continue our collaboration with Choice Hotels to grow our portfolio,” said Mario Cordova, chairman of the board of SI Operaciones.
Choice Hotels first entered the Mexican market in 2004 and currently has 32 hotels in 25 cities across the country, with more than 3,500 rooms available to guests under the Comfort, Quality Inn and Sleep Inn brands.
Earlier this year, Choice Hotels International partnered with Spanish hotel operator and franchiser Sercotel Hotels to expand into Spain and Latin America.