Hilton has expanded its portfolio through an exclusive franchise deal with YOTEL.
The deal gives YOTEL access to Hilton's distribution and technology platforms as well as its Honors loyalty program.
YOTEL, which has 23 hotels and hopes to triple that number in the coming years, will become the first brand under Select by Hilton and will continue to manage and license its brand.
Chris Charnaux, EVP and chief development officer for Hilton described the deal as an example of the group’s “commitment to capital-efficient growth through a relationship that is complementary to our existing brand portfolio.”
YOTEL’s CEO Phil Andreopoulos said the agreement allowed it to expand reach while “staying true to who we are.”
“What changes for YOTEL is access—not identity—in a capital-light and scalable way,” he said.
The Hilton-YOTEL deal feeds into the recent trend of large hotel groups seeking to integrate different lifestyle concepts into their portfolios while providing reach and technology to the smaller hospitality providers.
Different takes on the trend include Hyatt's acquisition of boutique and luxury hotel platform Mr & Mrs Smith three years ago, doubling the number of boutique properties in Hyatt’s web and mobile booking channels.
Meanwhile, Hilton announced a strategic agreement with Small Luxury Hotels of the World in early 2024, while Marriott has had a strategic deal with Design Hotels for several years. Last year Marriott announced the acquisition of the CitizenM brand.
It said at the time that the move “builds upon Marriott's commitment to enhance options for guests and Marriott Bonvoy members.”
Marriott also sought to boost its rentals portfolio through a "strategic licensing agreement" announced with Sonder in August 2024. The deal was called off in late 2025, with Marriott blaming a default on Sonder's part.