InnVest has sold its 50% stake in Choice Hotels Canada to longtime joint-venture partner Choice Hotels International.

Toronto-based InnVest will now serve as the largest Choice franchisee in Canada, with 50 of its owned and operated hotels bearing the Comfort brand. 

Choice said the deal is valued at US$112 million. The acquisition gives North Bethesda, Md.-based Choice 100% ownership of its Canadian subsidiary.

With the deal, Choice transitioned from a master-franchising business model to a fully direct franchising model in Canada.

“This milestone reflects our confidence in the Canadian market and the exceptional capabilities and legacy of success of our local team,” said Patrick Pacious, president and CEO of Choice Hotels International. “By consolidating operations in Canada and expanding Choice Hotels Canada’s owner-success system from the current eight hotel brands to our full portfolio of 22 brands, we are opening doors to remarkable opportunities for our franchisees and guests, while paving the way for accelerated growth across Canada.”

The transaction, completed in July, funded through available cash and Choice’s existing credit facility. The business is expected to generate approximately $23 million in fee revenue and $18 million in EBITDA for full-year 2025.

As of June 30, 2025, Choice Hotels’ Canadian portfolio included 350 hotels and 30,000 rooms, with more than 2,500 rooms in the pipeline — including the company’s first Cambria Hotel in Canada, four Radisson hotels, and more than 20 Comfort, Quality, and Ascend Collection hotels.

“This is an exciting moment for Choice Hotels Canada and our franchisees,” said Brian Leon, CEO of Choice Hotels Canada. “With the full backing of Choice Hotels International, we are well-positioned to deliver even greater value to our franchisees and guests as we write the next chapter of our success story.”

Canada remains a key growth market, with the hospitality sector projected to grow at an average annual rate of more than 5% through 2030, reaching above $50 billion, said Choice. Leon, who has been with the company for 18 years, will continue to lead Canadian operations.

Pictured: A Choice Hotels Canada Quality Inn.

Photo: Choice Hotels