Marriott CFO Explains Why Conversions Now Fuel European Growth
Photo Credit: Marriott CFO Leeny Oberg speaking at the Annual Hospitality Conference 2025 in Manchester, UK. AHC 2025 / Simon Callaghan
Skift Take
Marriott is pivoting hard to hotel conversions across Europe as tight credit squeezes new-build economics. It has been adding conversion-friendly brands and relaxing standards for operators to be more locally relevant.
Marriott International is shifting its emphasis to hotel conversions in Europe as new construction becomes costlier, partly by adding relevant soft brands and localizing brand standards.
“We know that new build in many markets right now that are dependent on debt, it is tougher,” said Chief Financial Officer and EVP of Development Leeny Oberg on Monday. “Tougher to make the numbers work, tougher to make the investment horizons work. So conversions have been a really important element of growth.”
“When I started being CFO for Marriott, the conversion space in soft brands was overwhelmingly in the U.S., and frankly, outside the U.S., there was a bit of reluctance. Now we actually find that that’s one of our hottest growth areas,”
