Guide to Hotel Management Companies 2025

A comprehensive guide to the largest hotel management companies, their functions, structure, and business models.

In this material, we will cover:
- What a hotel management company is
- How hotel management works today
- What hotel management companies do
- How they make money
- How management contracts are structured
- The Top 10 hotel management companies for 2025

How to choose the right management company for your hotel

This is a translation of the study based on interviews with leading industry experts, including:
- David Chu, Senior Vice President at GAM Hospitality
- Mark Keiser, Chief Development Officer at EOS Hospitality
- Scott Curran, Chief Operating Officer at Reneson Hotels
- Susan Barry, Principal at HIVE and former Starwood Hotels executive

What is a Hotel Management Company

A hotel management company is an organization that manages the operations of a hotel or a group of hotels on behalf of their owners.

Its responsibilities include:
- Hiring, training, and managing staff
- Implementing marketing and commercial strategies
- Managing budgets and financial flows
- Controlling service quality and business profitability

The Modern Hotel Management Model

To understand the role of management companies, it’s important to view them in the context of the broader hotel ecosystem.

Susan Barry (HIVE) explains it this way:
“Brands are the signs we see on hotel façades: IHG, Best Western, Wyndham, Hilton, Marriott. They license the use of their name and operational ‘playbook’ to ownership groups. The owners, in turn, invest the money, own the real estate, and profit from day-to-day operations. Typically, the brand requires the owner to sign a contract with a professional management company that will handle operations on their behalf.”

Scott Curran (Reneson Hotels) adds:
“Brands set standards and ensure consistency. Our job is to represent the brand correctly and operate so that if a guest has a great weekend in Napa, they’ll want to stay at a Hilton Garden Inn in New York, too.”

What Hotel Management Companies Do

Hotel management companies oversee the day-to-day operations of a property in accordance with brand standards and investor expectations.

Their main areas of responsibility include:
- Recruiting and training staff
- Managing and leading teams
- Marketing, sales, and revenue management
- Operational efficiency and cost control
- Financial management
- Maintaining high guest satisfaction

The main goal is to maximize profitability for the owner.

David Chu (GAM Hospitality) notes:
“Investors don’t want to get involved in operational details. They hire managers to run the asset and report back regularly.”

How Hotel Management Companies Make Money

Most management companies earn income through a fee based on operational revenue. A typical rate is around 3% of total (topline) revenue, explains Susan Barry (HIVE). Sometimes the model is based on gross operating income, and according to David Chu, such commissions usually range between 3–5%, with potential bonuses tied to KPIs.

Mark Keiser (EOS Hospitality) clarifies:
“It’s not only about what percentage the owner pays but how the contract is structured. A 3% contract with no profitability incentive may be less advantageous than a 4% agreement where the fee is balanced between revenue and operating profit.”

How Management Contracts Are Structured

According to David Chu, a typical hotel management contract runs for 3–5 years, with options for renewal and renegotiation. This format provides a balance between partnership stability and flexibility.

Former hotel owner Randy Efron notes:

“A management contract is a tool for allocating risk and responsibility. It defines not only financial terms but also operational reporting standards, KPIs, and termination conditions.”

Top 10 Hotel Management Companies in the U.S. for 2025

Aimbridge Hospitality
The largest hotel management company in the world — over 1,500 hotels in 20+ countries. Aimbridge operates across major brands including Wyndham, Marriott, Hilton, Hyatt, and IHG, and actively develops its own digital platforms. The company emphasizes a “people first” culture focused on staff growth and guest experience.

Hotel Equities (HE)
Over 30 years of experience managing midscale and upscale hotels. The company specializes in development, repositioning, and operations for more than 250 properties in the U.S. and Canada, with a focus on guest satisfaction and owner profitability.

HHM Hotels (Hersha Hospitality Management)
Manages 185+ hotels across 30 U.S. states. HHM is a key partner of Marriott, Hilton, Hyatt, and IHG, and also operates over 30 independent boutique brands.

Pyramid Global Hospitality
Manages 220 hotels, resorts, and conference centers in the U.S., Caribbean, and Europe. The company’s portfolio exceeds $3 billion in annual revenue. Headquartered in Boston.

Highgate
A leader among independent operators with assets in New York, Miami, London, and Barcelona. Highgate is known for innovative revenue management and proprietary demand forecasting systems.

Concord Hospitality Enterprises
Employing more than 4,000 people, Concord has received numerous awards for operational excellence. The company emphasizes innovation and sustainability while ensuring consistent returns for owners.

GF Hotels & Resorts
Has managed over 700 properties across 46 states. Partners include Hilton, Hyatt, IHG, Wyndham, Choice, and others.

TPG Hotels & Resorts
Focused on staff development and internal training, TPG fosters an entrepreneurial culture within hospitality operations and helps employees grow into leadership roles.

Davidson Hospitality Group
One of the industry’s oldest companies, with nearly 50 years of experience. Its philosophy: “Creating value for every guest, every time.” Davidson manages premium properties and invests actively in innovation.

Crestline Hotels & Resorts
One of the largest independent management companies in the U.S., with 123 hotels and nearly 18,500 rooms. Partners include Hilton, Hyatt, Marriott, Westin, Crowne Plaza, and others.

How to Choose a Hotel Management Company

When choosing a partner, it’s important to evaluate:
- Experience with your property type (brand, segment, location)
- Track record of operational performance
- Range of services (HR, marketing, revenue management, IT)
- Fee structure and contract terms
- Reputation and investor references
- Team dynamics and collaboration culture

David Chu emphasizes:
“A good management company should never be a ‘black box.’ Before signing a contract, you need to know who these people are and how they work — your asset’s success depends on it.”

Mark Keiser adds:
“The key is alignment between the owner and the operator. A contract should motivate both sides — for topline growth and for profitability.”

Brian Proctor (Leeds Hospitality Group) explains:
“Choose partners who share your philosophy. The best operators think like owners — they don’t just manage a hotel, they build its long-term value.”

Conclusions

Modern management companies are not just external operators — they are strategic partners aligning the interests of investors, brands, and guests.

In 2025, success will depend on three key factors:
- Team professionalism and culture
- Technological maturity and adaptability
- Alignment of strategies between owner and operator