Choice Hotels International to Make Landmark Entry into Africa Starting with Three Hotels in Kenya

Rhea-AI Summary

Choice Hotels (NYSE: CHH) announced entry into Africa with three directly franchised hotels in Kenya expected to open in early 2026 and a master development agreement to add at least 15 more properties by 2030.

The Kenyan openings include an Ascend Collection property in Maasai Mara and Clarion and Quality Inn hotels in Nairobi CBD. Choice said its EMEA portfolio approaches 64,000 rooms (up 7% YoY) and its international division generates approximately $3 billion in gross rooms revenue while targeting doubled profitability by 2027.

Positive

• 3 hotels in Kenya expected to open in early 2026
• Master development agreement: ≥15 properties by 2030
• EMEA portfolio: ~64,000 rooms (+7% YoY as of Q3)
• International gross rooms revenue: ~$3 billion

Negative

• Forward-looking risks: construction delays or financing availability could alter openings
• Profitability targets are forward-looking and subject to execution and market risks

Insights

International development strategist

Choice Hotels' Kenya entry and a 15-hotel minimum Africa deal materially expand its international footprint.

Choice signs three directly franchised hotels in Kenya expected to open in early 2026, including an Ascend Collection property in the Maasai Mara and two city hotels in Nairobi. The company also executed a master development agreement that commits to at least 15 additional properties across sub-Saharan and southern Africa by 2030.

These moves add distribution to Choice Privileges and enlarge the EMEA portfolio that approaches 64,000 rooms and grew 7% year-over-year as of Q3. The international division now generates approximately $3 billion in gross rooms revenue and aims to double profitability by 2027, per the disclosure.

Watch openings in early 2026 and the rollout against the 15-hotel minimum through 2030 as concrete milestones. Risks noted include construction timing and financing, which the company explicitly cites as potential causes for changes to its expectations.

Franchise economics analyst

Franchising three properties plus a master development deal signals scalable revenue and loyalty-network growth.

Direct franchising and the master development agreement should increase franchise fee streams and royalty-related revenue as properties open. The expansion also expands Choice Privileges access across hotel tiers and geographies, adding international inventory to an over-150,000-room portfolio outside the U.S.

The announcement cites current metrics: the EMEA portfolio near 64,000 rooms and $3 billion in international gross rooms revenue. The company expects high single-digit international room growth this year and targets doubled profitability by 2027, which anchor near-term financial expectations in the statement.

Key items to monitor are the timing of the Kenyan openings in early 2026, pace of the 15-hotel roll-out to 2030, and any disclosures about financing or construction delays in future filings.

Global franchisor accelerates its EMEA growth strategy with new properties in one of Africa's fastest-growing hospitality markets and a master development agreement that will add at least 15 additional hotels in the continent by 2030.

NORTH BETHESDA, Md., Nov. 19, 2025 /PRNewswire/ -- Choice Hotels International, Inc. (NYSE: CHH), one of the world's largest and most successful lodging franchisors, today announced plans to enter the African market with the signing of three directly franchised properties in Kenya that are expected to open in early 2026. The company also signed a master development agreement that will drive further expansion in the continent with a minimum of 15 additional properties across the sub-Saharan and southern Africa regions by 2030.

The Kenyan portfolio will feature an Ascend Collection property in the Maasai Mara National Reserve, one of Africa's most visited safari destinations. The hotel will offer boutique, upscale accommodations for travelers seeking an immersive nature experience. Two additional hotels—a Clarion hotel and a Quality Inn hotel will open in Nairobi's central business district. The hotels will serve growing demand for both business and leisure travel in one of the continent's most dynamic cities. The hotels will also grow the number of destinations available through Choice Privileges, the award-winning loyalty program that enables members to earn and redeem points at over 7,100 hotels worldwide, including more than 1,000 international properties.

"Our international business represents the most significant growth opportunity for Choice Hotels, and we've built a scalable global platform that will accelerate our gains in the near future," said Pat Pacious, President and Chief Executive Officer. "Our fast-growing footprint and performance results prove that Choice Hotels is well-positioned to help franchisees succeed in more destinations than ever before. Entering Africa is an important milestone in that journey and presents a unique opportunity to bring our world-class hospitality to one of the continent's fastest-growing hospitality markets."

Aniket Shroff, who currently franchises with Choice Hotels in the U.S., is leading this development, marking his first venture with the company internationally.

"Working with Choice Hotels was an easy decision," said Shroff. "Beyond a strong global brand portfolio, the company provides the tools, resources, and guidance that have already helped me grow my business. That level of support gives me confidence these hotels will thrive, and it reflects the kind of franchisee partnership built to succeed in both international and domestic markets."

The addition of the three hotels in Kenya further strengthens Choice Hotels' Europe, Middle East, and Africa (EMEA) portfolio, which now approaches 64,000 rooms and has grown by 7% year-over-year as of Q3. This expansion follows robust growth across the region, including the doubling of the company's portfolio in France through the addition of 50 Quality Suites hotels.

The new properties also extend Choice Hotels' streak of new market entries worldwide. Earlier this year, the company announced a significant expansion in China through a master franchise and distribution agreement with SSAW Hotels & Resorts, adding more than 9,500 rooms to Ascend Collection Hotels and committing to grow Comfort Hotels and Quality to 100 properties in the country. The company also established a new presence in Argentina and Suriname with the addition of Radisson Blu Bariloche,Radisson RED Funes in the greater Rosario area, along with the opening of Radisson Hotel Paramaribo .

"As Choice Hotels grows its presence in new markets, we're creating more opportunities for our franchisees to thrive," said Ricardo Losada Revol, Senior Vice President & General Manager, International. "It's a testament to what sets us apart: We deliver the brands and support systems designed to help our franchisees achieve growth and profitability globally."

As a result of its development momentum, Choice Hotels' international division now generates approximately $3 billion in gross rooms revenue and is on track to double profitability by 2027. With its continued expectation of achieving high single-digit international room growth this year, Choice Hotels remains confident in the accelerated expansion of its international portfolio, which now exceeds 150,000 rooms outside the U.S. The company continues to be actively engaged in long-term opportunities to further scale its global footprint and broaden market share across high-value regions. Additional achievements for its international portfolio in the last year include: 

• The debut of its extended stay business in Australia with the launch of MainStay Suites. This marked the brand's first expansion outside of North America and grew Choice Hotels' Australian portfolio to 7,487 rooms and 163 hotels, solidifying the company's position as one of the largest direct franchise players in this market.
• The acquisition of its remaining stake in Choice Hotels Canada, transitioning to a direct franchising model and positioning the company for new levels of growth. Choice Hotels' Canadian portfolio includes 355 hotels and more than 26,000 rooms, with more than 2,800 rooms in the pipeline as of Q3 2025.
• A 20-year renewal of its master franchise agreement with Atlántica Hospitality International in Brazil, which encompasses 70 hotels with more than 10,000 rooms across segments.

About Choice Hotels®

Choice Hotels International, Inc. (NYSE: CHH), is one of the largest lodging franchisors in the world, with over 7,500 hotels, representing nearly 650,000 rooms, in 47 countries and territories. A wide-ranging portfolio of 22 brands that includes full-service upper upscale, midscale, extended stay, and economy properties enables Choice® to meet travelers' needs in more places and for more occasions while driving more value for franchise owners and shareholders. The award-winning Choice Privileges® rewards program and co-brand credit card options provide members with a fast and easy way to earn reward nights and personalized perks. For more information, visit www.choicehotels.com.

Forward-Looking Statements
This communication includes "forward-looking statements" about future events, including anticipated development and hotel openings. Such statements are subject to numerous risks and uncertainties, including construction delays, availability and cost of financing and the other "Risk Factors" described in our Annual Report on Form 10-K and our Quarterly Reports on Form 10-Q, any of which could cause actual results to be materially different from our expectations.

Addendum
This is not an offering. No offer or sale of a franchise will be made except by a Franchise Disclosure Document first filed and registered with applicable state authorities. A copy of the Franchise Disclosure Document can be obtained through contacting Choice Hotels International at 915 Meeting St Ste 600, North Bethesda, MD 20852, email: development@choicehotels.com.

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SOURCE Choice Hotels International, Inc.

FAQ

What did Choice Hotels (CHH) announce on November 19, 2025 about Africa expansion?

Choice Hotels announced three franchised hotels in Kenya and a master development agreement to add at least 15 more properties by 2030.

When will the new Choice Hotels (CHH) properties in Kenya open?

The three Kenya hotels are expected to open in early 2026.

How will the Kenya openings affect Choice Hotels' international footprint (CHH)?

The openings expand Choice's international presence and loyalty reach; the company reports its international portfolio now exceeds 150,000 rooms outside the U.S.

What brands will Choice Hotels (CHH) operate in Kenya under the announcement?

The Kenyan portfolio includes an Ascend Collection property in Maasai Mara, plus a Clarion and a Quality Inn in Nairobi.

What financial metrics did Choice Hotels (CHH) cite for its international business?

Choice reported approximately $3 billion in international gross rooms revenue and said it is on track to double profitability by 2027.

Does the Choice Hotels (CHH) announcement identify risks to the Kenya openings?

Yes; the company cautioned that construction delays, financing availability and other risks could affect timing and results.