Compact-cabin hotel brand Yotel is plotting its biggest expansion yet: growing from roughly 24 properties to 100 by 2031, with two new formats in the works. CEO Phil Andreopoulos told Skift the company is in active conversations to launch a more upscale hotel, one that keeps the brand's tech-heavy, space-smart DNA but trades up on location, room size and price.
The premium version would offer slightly bigger rooms, upgraded bathrooms and a proper food-and-drink offering, while sticking to Yotel's famously lean staffing model. In other words: same self-service efficiency, fewer compromises on comfort. Andreopoulos said there is "definitely demand" for an upgraded product, and that talks with partners are already under way.
The second string to the bow is a small city-centre hotel modelled on YotelAir, the brand's airport format. Anyone who has passed through Singapore Changi, Amsterdam Schiphol or London Gatwick will know the concept: smart cabins you can book by the hour, with adjustable beds, rain showers and everything controlled from a tablet. Shrinking that idea down and dropping it into downtown locations could be a smart play for short city breaks, where travellers often care more about location and a great bed than a lobby bar.
Asia is flagged as a growing priority for the expansion, alongside the group's existing three brands: the core Yotel, YotelAir and the long-stay YotelPAD, which is aimed at guests who need weeks rather than nights. The India tag on the interview suggests the subcontinent is firmly on the radar.
For travellers, this matters in a practical way. Yotel built its name on the sweet spot between a hostel and a full-service hotel — you give up space and service frills, you get a cleverly designed room in a spot you couldn't otherwise afford. A premium tier would stretch that formula to people who liked the concept but wanted a bit more room to swing a suitcase. And if the YotelAir-derived city format lands, expect a new option for one- and two-night city trips: pay for the hours you actually need, check in fast, skip the queue.
There are caveats. Both formats are still in development — the upscale brand has no name, no confirmed openings and no opening dates yet. The 100-hotel target by 2031 is ambitious for a group sitting at around 24 properties today, and expansion plans in this industry slip all the time. But if you've stayed in a Yotel cabin and thought "I'd pay more for a slightly bigger version of this," it sounds like the company has been listening.
Watch this space: when Yotel confirms its first upscale signing, likely in Asia, it'll be a genuine new option for city breakers who want efficient design without the budget-bin feel.
Original reporting: Skift.
