Choice Hotels Buys RV Club Harvest Hosts for $130 Million
Choice Hotels has agreed to acquire RV membership club Harvest Hosts for approximately $130 million in cash, marking CEO Dom Dragisich's first deal.
Stock photo for illustration only, not from the actual event
- Choice Hotels is acquiring Harvest Hosts for approximately $130 million in cash.
- This is the first deal and first move outside hotels under new CEO Dom Dragisich.
- Harvest Hosts features 11,200 host locations and a community exceeding 500,000 RVers.
Choice Hotels has announced an agreement to acquire Harvest Hosts, a membership club for recreational vehicle travelers, for roughly $130 million in cash. The hotel franchisor stated that the transaction will be funded using cash on hand and its revolving credit facility, adding that it will not materially impact this year's results.
This acquisition represents the first major deal under Dom Dragisich, who was appointed as permanent president and CEO last month, as well as the company's inaugural venture outside of the traditional hotel sector. Choice is purchasing the business from Stripes, a New York growth equity firm that acquired it for $37 million in 2021, meaning the valuation has surged roughly 3.5 times in four years.
Stock photo for illustration only, not from the actual event
Harvest Hosts operates as a subscription-based model rather than a traditional lodging provider. Members pay an annual fee ranging between $99 and $179 for access, while host locations collect no direct fees. The network connects RV owners with 11,200 host sites—including wineries, farms, breweries, and museums—where members can park overnight for free. The company reports that its community has spent more than $200 million at these host businesses since 2010.
Choice Hotels' entry into the outdoor lodging sector highlights a strategic focus on loyalty marketing and ecosystem expansion. Because RV travelers often share overlapping demographic traits with traditional hotel guests, converting this half-million-member base could drive long-term room growth. However, the true test for CEO Dom Dragisich will be demonstrating a clear conversion path from RV memberships to actual hotel stays.
Despite the buyout, Harvest Hosts will retain its brand identity and operate as a standalone business, with CEO Joel Holland remaining at the helm. Choice executives noted that the strategic rationale centers on loyalty, pointing out that their existing program members over-index among RV travelers, though specific marketing plans to bridge the two audiences have not yet been detailed.
The acquisition positions Choice as the last of the major four U.S. franchisors to enter the outdoor lodging race. Its larger rivals established their presence earlier, with Hilton partnering with AutoCamp, Hyatt aligning with Under Canvas, and Marriott acquiring Postcard Cabins and Trailborn under its Outdoor Collection by Marriott Bonvoy umbrella.
Source: Skift
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