Branded Residences Emerging As Large Licensing Opportunity for Hotel Brands: Bernstein Analysis

In an analysis of non-hotel room licensing opportunity for hotel brand, Bernstein Research wrote in a report this week that branded residences are proving to be a bigger opportunity for the likes of Marriott, Accor and IHG. Luxury dominates the branded residence market with the top brands being Four Season, RitzCarlton, and St Regis. Accor’s and IHG’s entry into this market was largely fueled by their respective purchases of Fairmont and Six Senses, the report says.

Dubai is the leading market for branded residents with 35 projects (and a further 25 in the pipeline), followed by Miami, New York and London. The fastest growing markets include São Paulo, Cairo and Mumbai. The data comes from Savills Branded Residences report in 2021, this chart below shows Ritz Carlton is the clear leader at the individual level, with Marriott being the biggest player at chain level: