Marriott International has revealed further details about its upcoming transient midscale brand, currently referred to as Project Mid-T by Marriott. This new concept, introduced by President and CEO Anthony Capuano, was discussed during the NYU International Hospitality Industry Investment Conference. While an official name has yet to be announced, the focus will be on conversion opportunities in the U.S. and Canada, with options for new-build developments as well. Although no specific launch date was disclosed at the conference, Marriott aims to capitalize on the growing demand for midscale accommodations.
Capuano initially mentioned the brand during Marriott’s fourth-quarter and full-year 2023 earnings call, highlighting the significant market opportunity and strong interest from franchise partners. The emphasis on conversion-friendly brands is particularly relevant in the current financing environment, where challenges in the debt markets persist.
Project Mid-T by Marriott will feature a light operational model and functional modern design to meet consumer demand while leveraging Marriott’s sales, distribution, and marketing capabilities. The brand will adopt a “kit of parts” conversion approach, allowing for flexibility in adapting to various building configurations. Additionally, a comprehensive furniture, fixtures, and equipment program will be implemented to facilitate conversions.
Marriott plans to offer a bundled fee structure, encompassing franchise royalty, per-square-foot, loyalty, and marketing fees, totaling 10.5 percent. This approach aims to simplify the fee structure for owners and aligns with Marriott’s commitment to supporting its franchise community in navigating the evolving hospitality landscape.