PAI Partners checks in as majority owner of Motel One to turbocharge global expansion

PAI Partners entered into a strategic partnership with Motel One Group, acquiring an 80% stake in the European budget design hotel chain to support its international expansion. 

Founder Dieter Müller will retain his role as Chairman while continuing to develop the company’s spun-off real estate division.

Motel One, founded in 2000, has built a strong reputation for combining affordable pricing with prime city locations and high-end design. The brand has grown significantly, attracting over 10 million guests in 2024. With 99 hotels across 13 countries—including the UK, France, and the US—the company has expanded beyond its initial DACH market. Growth has been further boosted by the launch of its new lifestyle brand, The Cloud One Hotels, with properties in New York, Hamburg, Düsseldorf, Prague, and Gdańsk.

PAI Partners brings extensive experience in hospitality investments, having successfully developed brands such as B&B Hotels, Roompot, and European Camping Group. The firm aims to accelerate Motel One’s expansion while preserving its core identity.

Dieter Müller expressed confidence in PAI’s expertise, stating that the partnership would drive further international growth. Motel One’s Co-CEOs, Daniel Müller and Stefan Lenze, welcomed PAI’s backing, highlighting the firm’s ability to bring new momentum to the business.

PAI Partners’ Bertrand Monier and Ralph Heuwing emphasised their commitment to supporting Motel One’s next phase while maintaining the unique vision established by its founder. The transaction is subject to regulatory approvals and is expected to close in Q2 2025.