Wyndham Hotels & Resorts is expanding its Super 8 hotel brand into Spain and Portugal, intensifying competition among global hospitality giants for Europe’s middle-class travelers.
The hotel group said on Wednesday it had signed an exclusive 10-year development agreement with Portugal-based Soliteight Hotel Projects to open 40 Super 8 hotels over the next decade.
The first Super 8 property will open in Leiria, Portugal, in late 2027.
The initiative underscores Wyndham’s strategy to appeal to budget-conscious travelers as Europe’s tourism sector experiences a rebound. Spain had 94 million international tourists last year, while Portugal has notched several records for inbound tourism in recent years.
Spain and Portugal’s post-pandemic travel surge has translated into strong hotel performance, with revenue per available room (RevPAR) up 142% since 2019, Soliteight said, citing CoStar data.
“Spain and Portugal continue to lag other European markets in branded economy hotels, with a 10% gap in budget brand penetration,” said Alpalhão.
Wyndham’s strategy may help it carve out a space in Europe’s fragmented budget market, particularly in Spain, which was recently ranked the top-performing economy among Europe’s 37 countries last year by The Economist.
Wyndham, the world’s largest hotel franchisor with roughly 9,300 hotels across 95 countries, currently operates 14 Super 8 properties in Europe and the Middle East, including locations in Germany, the UK, and Saudi Arabia.
Soliteight, a joint venture between FundBox Holdings and Estoril 8023, will develop the new properties using asset-light investment models, prioritizing long-term lease agreements. Many of the planned properties will be newly constructed using modular, or pre-fab, designs aimed at boosting efficiency and sustainability.
This latest move adds to a broader trend of global hotel groups vying for middle-class travelers in Europe.Â
Last year alone, Marriott and IHG each signed deals to open about 100 hotels in the region, many through local development partnerships. Wyndham is taking a similar path, leveraging its 114 million-member loyalty program to drive occupancy in a way that smaller independent hotels can’t without of distribution from costly online travel agencies.
The Super 8 expansion also aligns with one of Skift’s 2024 Megatrends — the rising importance of middle-class travelers in shaping the future of hospitality. As travelers seek options that combine affordability with reliability, particularly in secondary cities and transit hubs, global chains are moving quickly to capture share in this underserved niche.
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