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Choice Hotels on Expansion Spree, Expands Everhome Suites Nationwide

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Choice Hotels International, Inc. (CHH - Free Report) is accelerating growth in the extended stay segment with its Everhome Suites brand, adding six new hotel openings and three more groundbreakings across key U.S. markets. This expansion reflects Choice’s growing foothold in a market increasingly driven by demand for midscale, purpose-built accommodations designed for longer stays.

Choice Hotels currently has 14 Everhome Suites open, 19 under construction and more than 60 in the development pipeline. The brand is on pace to have nearly 25 locations operating by year-end.

Texas is leading the charge in this growth, with recent openings in Bastrop, Waco, Brownsville and El Paso, each strategically placed near major employers such as SpaceX, Samsung, and multiple healthcare and educational institutions. Amarillo is set to open in June 2025, while Georgetown, a booming tech corridor north of Austin, broke ground in March and is targeting a 2026 debut.

Outside Texas, Everhome Suites is also advancing its national reach. A new property is set to open in Yuma, AZ, this July, serving military, medical and seasonal travel demand. In the Pacific Northwest, construction began in April on a Salem, OR, location that will serve government, healthcare and recreation-focused guests. Ohio is also joining the expansion wave, with a Dayton site breaking ground this June. Located at a major highway interchange, it is poised to benefit from high traffic and proximity to military, hospital and airport infrastructure.

Choice Hotels’ momentum with Everhome Suites highlights its strategic positioning in a resilient, underserved market. As the brand expands into high-growth corridors, CHH is demonstrating its ability to capitalize on both demand and developer interest, offering compelling upside for long-term stakeholders.

CHH’s Price Performance

In the past year, the company’s shares have gained 17.9% compared with the industry’s growth of 17%.
 

Zacks Investment Research
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The company is benefiting from domestic RevPAR growth, unit expansion and franchising efforts. In first-quarter 2025, the company’s total worldwide rooms increased 2.8%, driven by strong developer demand in the extended-stay and midscale segments. Going forward, CHH’s pipeline remains focused on higher-yielding brands. Also, the focus on strategic partnerships and rewards programs bodes well.

CHH currently has a Zacks Rank #3 (Hold).

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