Marriott and KKR Launch Four Points Express by Sheraton in Japan

Marriott International collaborates with KKR to introduce the Four Points Express by Sheraton, marking their entry into Japan's midscale hotel market with 14 properties set to open in 2024.

Marriott International Partners with KKR to Debut Midscale Hotels in Japan

Marriott International, in collaboration with global investment firm KKR, has announced the launch of the Four Points Express by Sheraton brand in Japan, signaling both companies' expansion into the midscale hospitality sector. This move comes after KKR’s acquisition of Unizo Hotel Company, Limited, including a portfolio of 14 hotels across Japan, which will be converted into Four Points Express by Sheraton properties.

Strategic Expansion Across Key Japanese Cities

The new Four Points Express by Sheraton hotels are strategically located in major tourist destinations across 10 Japanese cities including Hakodate, Morioka, Utsunomiya, Yokohama, Kanazawa, Nagoya, Osaka, Kyoto, Kobe, and Hakata. Slated to open in the second half of 2024, these properties will add over 3,600 rooms to Marriott’s and KKR’s hotel portfolios in the region.

Tailored Guest Experience and Operational Efficiency

Four Points Express by Sheraton is designed to cater to value-conscious consumers seeking reliable and straightforward accommodation without compromising on location or quality. The brand is built around principles of reliability, simplicity, and value, focusing on efficient operational designs to support an effective pricing strategy for franchisees and sustainable growth for Marriott.

Rajeev Menon, President of Marriott International Asia Pacific (excluding China), emphasized the strategic intent behind the expansion, stating, "Our goal is to be everywhere our guests want us to be, with the right property in the right location, at the right price point. This collaboration with KKR will greatly enhance our capability to meet the growing demand for affordable accommodations in the region."

Boosting Japan’s Tourism with Affordable Luxury

KKR’s Managing Director of Real Estate, Kensuke Kudo, highlighted the post-pandemic recovery and growth of tourism in Japan as a key driver for this venture. "As demand for midscale hotels grows rapidly, we see a tremendous opportunity to offer high-quality and comfortable accommodation at great value," Kudo remarked. He expressed enthusiasm about partnering with Marriott to provide outstanding yet affordable lodging experiences that cater to both international and domestic travelers.

Integration with Marriott Bonvoy and Global Sales

The new midscale brand will be integrated into Marriott’s award-winning loyalty platform, Marriott Bonvoy®, which boasts over 200 million members globally. It will leverage Marriott’s Global Sales Organization and robust digital platforms, including Marriott.com and the Marriott Bonvoy mobile app, to drive direct bookings.

KKR’s Continued Investment in Japanese Real Estate

This initiative is part of KKR’s ongoing investment in Asia Pacific real estate, building on previous ventures in Japan’s sector including significant investments in Shinjuku’s full-service hotels, multifamily properties in Tokyo, and various office assets across the country.

As Marriott and KKR gear up to open the new Four Points Express by Sheraton hotels in Japan, this partnership is set to redefine midscale hospitality, offering a perfect blend of comfort, convenience, and value for travelers.